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Twitter to take legal action after Musk terminates deal

Twitter’s chairman Bret Taylor tweeted that the company’s board is planning legal action to enforce the merger agreement that allows Elon Musk to take over the company for US$44 billion.

“The Twitter Board is committed to closing the transaction on the price and terms agreed upon with Mr. Musk and plans to pursue legal action to enforce the merger agreement. We are confident we will prevail in the Delaware Court of Chancery,” Taylor wrote.

Musk’s lawyers said in a filing that Twitter had failed to respond to multiple requests for information about fake accounts or spam accounts on the platform, which is fundamental to the company’s business performance.

The billionaire also said he is walking away because of the company’s decision to fire senior executives and a third of its talent-acquisition team, which Musk noted was in violation of Twitter’s obligation to “preserve substantially intact the material components of its current business organizations.”

According to a person familiar with the matter, Twitter hopes the trial will begin in a few weeks and will be decided in a few months.

The sources for this piece include an article in Reuters.

IT World Canada Staff
IT World Canada Staffhttp://www.itworldcanada.com/
The online resource for Canadian Information Technology professionals.

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Jim Love, Chief Content Officer, IT World Canada

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