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Former Twitter executives together with CEO Parag Agrawal, Chief Monetary Officer Ned Segal, head of authorized Vijaya Gadde and Basic Counsel Sean Edgett filed a brand new lawsuit towards Elon Musk and X Corp. in federal courtroom arguing that they’re owed $128 million in unpaid severance.
Of their grievance, attorneys for the ex-Twitter executives say that after Musk backed himself right into a deal to buy Twitter, now X Corp., for $44 billion, he took revenge towards these executives personally, and tried to get better a few of his bills by “repeatedly refusing to honor other clear contractual commitments.”
Musk and X Corp. have been “stiffing employees, landlords, vendors, and others” since they took over Twitter, the attorneys allege, an allusion to greater than 25 vendor nonpayment lawsuits filed towards the social media enterprise by firms together with software program and repair suppliers and a landlord.
“Musk doesn’t pay his bills, believes the rules don’t apply to him, and uses his wealth and power to run roughshod over anyone who disagrees with him,” the grievance says.
The grievance additionally alludes to feedback Musk made to his official biographer, Walter Isaacson, that “he would ‘hunt every single one of’ Twitter’s executives and directors ’till the day they die.'”
The ex-Twitter executives’ attorneys argue, “These statements were not the mere rantings of a self-centered billionaire surrounded by enablers unwilling to confront him with the legal consequences of his own choices. Musk bragged to Isaacson specifically how he planned to cheat Twitter’s executives out of their severance benefits in order to save himself $200 million.”
The swimsuit, Agrawal et al v. Musk et al, was filed in California’s Northern District and follows information that settlement talks between X Corp. and ex-Twitter managers broke down in a associated case in Delaware, Woodfield v. Twitter Inc., the place $500 million in unpaid severance to former Twitter managers and engineers is in dispute.
Representatives for X Corp. and Elon Musk didn’t instantly reply to CNBC’s request for remark.
Learn the complete grievance beneath:
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