Four former Twitter executives filed a lawsuit against Elon Musk on Monday, seeking over $128 million in unpaid severance.
The plaintiffs, including Para Agrawal, X’s former CEO, Ned Segal, Vijaya Gadde and Sean Edgett, allege that the termination was unjustly framed as gross negligence or willful misconduct, according to The Hollywood Reporter (THR). They also claim that it was a deliberate attempt to deny them their rightful benefits, with Musk allegedly harboring particular animosity for their success in compelling him to complete the $44 billion takeover.
Elon Musk Sued By Former Twitter Executives For $128M In Latest Lawsuit Over Alleged Nonpayment https://t.co/EZc6NLQKjL
— The Hollywood Reporter (@THR) March 5, 2024
The lawsuit is the latest in a series of legal challenges facing Musk and the company, with at least 30 cases filed over allegations of unpaid severance and bills. Musk’s tenure began with a restructuring, leading to the departure of several top executives and considerable layoffs in the workforce, according to the outlet. This sparked a wave of legal complaints from those claiming unpaid severance and from vendors alleging nonpayment for services rendered. (RELATED: Keith Olbermann ‘Quits’ Twitter, Plasters ‘F*ck Elon Musk’ On Profile Pictures)
“This is the Musk playbook: to keep the money he owes other people, and force them to sue him,” the complaint reportedly stated. “Even in defeat, Musk can impose delay, hassle, and expense on others less able to afford it.”
The crux of their argument lies in the claims that the reasons provided for their termination were pretextual, aimed at avoiding the financial responsibilities tied to their severance, the outlet reported. The lawsuit also touches on accusations of mismanagement and misconduct against them, related to the allocation of bonuses and fees in the lead-up to Musk’s acquisition—a charge they refute as baseless.