Elon Musk Subpoenas Jack Dorsey In Twitter Lawsuit

Elon Musk has summoned Twitter Founder and Former CEO jack dorsey It was established in a lawsuit between the social media platform and billionaire Tesla that Once wanted to buy it.

A flurry of summons by both sides is descending regularly Delaware Chancery Court Ever since a judge or chancellor is called to the busiest business tribunal in the country, set an october test date,

Twitter sued Musk last month That’s when it broke an agreement it made in late April to buy the company for $44 billion, or $54.20 per share, in cash. There was a $1 billion breakup fee, but Twitter says it’s only if one party withdrew for good reason. Its lawsuit claimed that the termination was due to buyer’s remorse, which would not apply. Musk has accused Twitter of under-reporting the number of fake or spam accounts on his site. The Musk camp has filed a retaliatory lawsuit against Twitter.

Monday’s summons said that Dorsey, a friend and associate of Musk during the acquisition process, “is hereby ordered, all business and excuses to be set aside, to respond to this summons in writing and on books.” To produce, documents, or tangible inspection and copying. Things requested by the defendant that are in your possession, custody, or control”—particularly regarding the merger deal and documents “false or Nothing about “referring to, or relating to, the effect or effect of spam accounts”.

In a hearing on July 19, Chancery Court Judge Kathleen McCormick moved the trial to a five-day trial in October. Twitter asked in September to expedite the four-day proceedings, while Musk’s lawyers wanted a late February date. The ruling supported Twitter because the judges agreed with the company’s argument that the delay could cause irreparable harm to it.

Dorsey stepped down as Twitter’s CEO for the last time and remained director until May when his term ended. He supported Musk’s bid and his mockery of the board. While in deal mode, Musk had contacted some other Twitter stockholders, including Dorsey and Prince Alwaleed bin Talal, about maintaining equity investments after the merger and contributing shares of common stock to take the company private.

Twitter is holding a special shareholder meeting on September 13 to vote on the combination. This is the final procedural step needed to close the deal — other than forcing Musk to pay. Musk recently sold $6.9 billion worth of Tesla shares, a concession that he may need cash. Twitter’s board, which approved the merger, is trying to gather as many votes as possible ahead of time and today pushed back shareholders once again. The transaction “requires an affirmative vote of the majority of the outstanding shares, your vote is very important, no matter how many shares you hold.”

“Please help Twitter avoid additional solicitation costs by voting today. You can vote by telephone, via the Internet, or by signing, dating, and returning a hard-copy proxy card or voting instruction form. If you have received this reminder by email, you can also vote by clicking the “Vote Now” button in the attached email.

Shares of Twitter closed down 2.2% at $43.01 in a down market, but were up in later trading.

It has filed dozens of subpoenas in a fast-track suit including Musk Advisors, bankers and lenders Binance, Factorial Funds, Benefit Street, Bandera Partners, Founders Fund Growth II Management, Citadel CEO Ken Griffin, Oracle CEO Larry Ellison, David Sachs, and others. Steve Jurvetson, Marc Andreessen, former WWE CFO Christina Saleen, Ellison trustee Philip Simon, former Intel CEO Bob Swan and Tesla board member Antonio Gracias.

Musk has summoned Twitter advisors including Allen & Company, Goldman Sachs and JPMorgan Chase, among others.