Twitter hires a legal firm to prepare for an action against Elon Musk

On Friday, Elon Musk announced that he was quitting his agreement with Twitter, but the rivalry is not over. According to Reuters, Twitter has enlisted legal firm Wachtell, Lipton, Rosen & Katz LLP to litigate against Musk and force him to complete the $44 billion acquisition. The problem is that in April, Musk signed a legally enforceable contract requiring him to pay $54.20 per share for the company (without this bargain he also waived his right to due diligence).

However, Musk quickly reversed his decision and stated in May that the deal was postponed. This was so he could look into Twitter's allegations that only 5% of "monetizable daily active users" are bots. Musk believes the real figure is far higher, believing that Twitter prevented him and his crew from looking into it, thus breaching several provisions of the contract. According to Bloomberg, which has sources inside the company, Twitter will file its claim this week.

Wachtell, Lipton worked for Musk as a legal adviser earlier this year when he attempted to take Tesla private (the notorious "funding secured" incident). Musk has engaged Quinn Emanuel Urquhart & Sullivan LLP, which previously fought for him in the subsequent defamation lawsuit filed against him in 2019 (and they won).

Source: www.gsmarena.com