Twitter Reportedly Hires Top Law Firm to Sue Elon Musk for Suspended Deal 

Twitter is considering authorized motion in opposition to Tesla and SpaceX CEO Elon Musk over his resolution to terminate a $44 billion (roughly Rs. 3,49,400 crore) takeover deal.

As per The Hill, the microblogging website has employed a big New York-based regulation agency Wachtell, Lipton, Rosen & Katz LLP because it prepares to sue Musk.

Twitter will file its lawsuit in Delaware subsequent week. Meanwhile, Musk is being represented by the regulation agency Quinn Emanuel Urquhart & Sullivan.

On Saturday, Bret Taylor, Twitter’s chairman mentioned, “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.”

Musk introduced the termination of a $44 billion (roughly Rs. 3,49,400 crore) Twitter buy deal in a letter despatched by Musk’s group to Twitter earlier on Saturday.

Musk determined to droop the deal on account of a number of breaches of the acquisition settlement. The Tesla CEO’s group strongly believes that the proportion of spam and faux accounts is “wildly higher” than 5 p.c, based on the letter.

“As further described below, Mr Musk is terminating the Merger Agreement because Twitter is in material breach of multiple provisions of that Agreement,” the letter mentioned on Friday. “

“In brief, Twitter has not supplied info that Musk has requested for almost two months however his repeated, detailed clarifications supposed to simplify Twitter’s identification, assortment, and disclosure of probably the most related info sought in Musk’s unique requests.”

In April, Musk reached an acquisition agreement with Twitter at $54.20 (roughly Rs. 4,300) per share in a transaction valued at approximately $44 billion (roughly Rs. 3,49,400 crore). However, Musk put the deal on hold in May to allow his team to review the veracity of Twitter’s claim that less than 5 percent of accounts on the platform are bots or spam.

Back in June, Musk had openly accused the microblogging website of breaching the merger agreement and threatened to walk away and call off the acquisition of the social media company for not providing the data he has requested on spam and fake accounts.

Musk alleged that Twitter is “actively resisting and thwarting his info rights” as outlined by the deal, CNN reported, citing the letter he sent to Twitter’s head of legal, policy and trust, Vijaya Gadde.

Musk demanded that Twitter turn over information about its testing methodologies to support its claims that bots and fake accounts constitute less than 5 percent of the platform’s active user base, a figure the company has consistently stated for years in boilerplate public disclosures.

On Monday, Musk shared a tweet to sum up his reply regarding Twitter’s lawsuit. 

Through his tweet, Musk pointed at the fact that in the process of making him buy Twitter through a lawsuit, the social media company will now have a compulsion to reveal about bot accounts in the court.