Tesla shareholders have decided to sue Elon Musk over one of his old tweets. Their goal is to prevent the billionaire from saying what he wants on the platform.
In 2018, Elon Musk attempted a bluff on Twitter by explaining that he intended to take Tesla out of the stock market. The CEO of the company then assured that he had the means to do so. In the same tweet, he promised to buy back each share at a set price.
The speculative effect worked perfectly, with the company’s value jumping 11% after this announcement. But at that time, the brand was not yet profitable and Musk had given in to shareholder concern. Moreover, after its rebound, the stock price had finally fallen lower than its value before Musk’s tweet.
He then received a sanction from the American Exchange Commission (SEC). As a result, he had quit his role as Tesla chairman and promised to have his use of social media overseen.
But that era seems well and truly over, after the billionaire said last week he wanted to buy Twitter. It was on the platform that he announced his intention, but this reinforces the action of the plaintiffs against him.
Musk says he never lied about Tesla privatization
Last weekend, at a conference in Vancouver, Elon Musk returned to this period and his announcement at the time. He assured that he had, at that time, the ability to buy Tesla.
Treating SEC employees as “bastards”, he explained that his social media deal was a matter of life and death for Tesla. According to him, in fact, the banks no longer wanted to lend money to the firm if he did not admit his mistake.
But the focus of the shareholders attacking him isn’t just about those tweets. Indeed, they want to reduce his right to express himself on the legal proceedings currently in progress.
According to them, “Musk engaged in a high-profile public campaign to present a contradictory and false story”. This brings us back to the sanction of the SEC, which accused the businessman of causing disruption to the entire market.
Now, the shareholders assure that a judge confirmed to them that Musk’s tweets were illegal. But the latter went one better in Vancouver, explaining that he had the means to buy Tesla in 2018.
While awaiting verdicts, Tesla’s stock is experiencing dips and rebounds, and that’s why shareholders want to prevent Musk from discussing it on public social platforms.
For their part, the billionaire’s lawyers only see this shareholder complaint as a way to make money. “Some plaintiffs want to make money, others try to block this truth, all at the expense of freedom of expression. »