Highlights

  • Elon Musk faces $128M lawsuit over unpaid severances, adding to his legal challenges.
  • Former Twitter execs claim Musk fired them without cause and owes them severance pay.
  • Musk's controversial decisions have sparked multiple lawsuits, raising questions about his role at X Corp.

X Corp. CEO Elon Musk is being sued for $128 million dollars in a lawsuit that alleges several former Twitter executives are still due unpaid severances. Multiple lawsuits have been lobbed at the social media CEO in recent months, including Grimes suing Elon Musk in October of last year. With Musk's personal and professional decisions continuing to raise eyebrows, this new lawsuit has once again fueled discussion among audiences.

After purchasing Twitter in 2022, Elon Musk began an extensive "restructuring" process, in which a vast number of employees across various departments were fired or laid off. Included in this reorganization were several executive level staff, who now claim in a lawsuit that Musk fired them without cause and still owes them millions of dollars in severance pay.

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First reported by The Associated Press via NPR, Twitter's former CEO, CFO, Chief Legal Counsel, and General Counsel have filed a joint lawsuit against Elon Musk and X Corp. for $128 million in overdue severances. The former executives allege that Musk fired them without cause, vaguely citing "gross negligence and willful misconduct," in order to swiftly remove and replace them with employees from his other companies. According to the lawsuit, the severance plans entitle the former executives to one year's pay plus stock option payouts, none of which have yet been paid by Musk. As Elon Musk is suing OpenAI himself, this lawsuit by former executives is adding to a growing number of legal challenges against the CEO and X Corp.

Technology Companies Continue To Face Controversies

While Elon Musk and X Corp. continue to face multiple lawsuits from former employees and mounting questions from shareholders, other technology companies are also finding themselves in the legal crosshairs. The massive antitrust lawsuit against Google by Epic Games and gender discrimination settlement by Activision Blizzard are just a couple of the dozens of legal battles faced by technology giants in recent months. Sony, Roblox, Niantic and Apple have also been in the throes of legal disputes, with few "victories" and many substantial settlement payments. Elon Musk remains one of the more controversial figures in the industry, as many continue to question his role at X Corp. and Twitter amid the rising lawsuits against the CEO.

Twitter remains one of the most popular social media platforms, in spite of controversies with Elon Musk. With plans for livestreaming to come to Twitter and further monetization features being added to the site, Musk is hoping to stay on the good side of users and shareholders. However, the court of public opinion remains split, and fresh lawsuits against Elon Musk continue to leave many Twitter users weary about the platform's future.