A jury concluded that Elon Musk had made false remarks in public during a pivotal moment in his 2022 takeover of Twitter. The software giant was sued by a group of Twitter investors who claimed they had relied on his comments, and after two days of deliberations, a jury in a federal court in San Francisco rendered a unanimous decision against him.
Earlier this month, Musk testified in court that he did not deceive investors and that people were just reading too much into his tweets and public remarks. Instead, the jury determined that some of his public statements about issues with Twitter’s user numbers and his potential withdrawal from the $44 billion acquisition proposal were purposefully false.
A request for comment from Musk’s attorneys was not answered. Attorneys for the investors, lead by Oregonian small-business owner Brian Belgrave, did not either. Musk has already encountered legal issues as a result of his tweets. However, he prevailed in a 2023 lawsuit filed by Tesla shareholders who claimed the CEO had deceived them with postings about the automaker.
According to the San Francisco jury’s decision on Friday, Musk’s public remarks caused the price of Twitter’s shares to artificially drop between May and October 2022 by a range of between $8 to $3 per share. This could imply that everyone of the class’s investors stand to gain thousands of dollars in compensation for their losses.
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