Tesla shareholders approved Elon Musk's pay package in June, after it was voided by a judge in January. But that wasn't enough, the court ruled.

Summary via ChatGPT

A Delaware judge invalidated Elon Musk’s $56 billion Tesla pay package for a second time, citing undue influence and unfair terms set by Musk. Despite shareholder approval earlier this year, the court ruled the process failed to address governance concerns and transparency. The judge emphasized the board’s failure to prove the compensation plan’s fairness, suggesting alternative, reasonable payment options were possible. Tesla may appeal the decision or propose a new compensation plan.

  • Buffalox@lemmy.world
    34·
    21 days ago

    However, McCormick in her latest ruling, wrote: “Even if a stockholder vote could have a ratifying effect, it could not do so here.”

    What, so the package the stockholders voted on was the original package already deemed illegal in court? And apparently because that deal was illegal, it can’t be voted through by stockholders?

    Am I getting this right? Because that seems incredibly stupid by the lawyers advising Trump and Tesla!

    • Alex@lemmy.world
      2·
      19 days ago

      They wouldn’t have done it without Elon’s direction, easy bill-able hours for them.