Gonna watch this later… but I like LeagleEagle a lot! I’m very curious what his take will be on this subject.
Musk has fully 180d from what he was saying on basically everything 10 years ago, what a pathetic little worm. No morals, no introspection, just delusion of grandeur.
Dude has gone full 180 so many times in this Twitter thing, its giving everyone a headache.
Elon was going to buy Twitter. Then he wasn’t. Then he was. Then he’s going to fix Twitter. Then the 50% firings were fake news. Then Elon fires 80% of the staff.
It only seems that way because we didn’t know what a cunt Musk was back when. Tesla is Martin Eberhard’s company.
Suing a lawfirm for 90 mill after
losingspending 44 billions doesn’t seem like a good idea, but I’m not the genius so what do I know.but I’m not the genius
Neither is Musk
$13 Billion of new loans - $2 Billion of old loans + $33 Billion Elon Musk paid == $44 Billion deal.
Even then, the $33 Billion Elon paid for includes equity gathered from Saudi, Larry Ellison and other friends of Elon. Elon probably fronted only $24 Billion of his own money, with $9 Billion coming from others IIRC (though this is all estimated, as this side of the deal was behind closed doors).
In many ways, this makes it worse. The $33 Billion of equity is junior to the $13 Billion of debt owed to the banks. That means that if Fidelity’s valuation of $20 Billion is true, then Elon (and friends) have gone from $33 Billion in equity to $7 Billion in equity. Its not perfect because the loan’s value has also declined ($13 Billion may be owed, but everyone’s getting nervous about Twitter’s ability to pay it back). I think the $13 Billion loan is only worth $9 Billion now, or so? So maybe the Elon+co have a proper valuation of $11 Billion or so.
Its all made up numbers anyway so maybe my rant doesn’t matter. But all in all, the $44 Billion number is a bit too shallow thinking for my tastes.
but I’m not the genius so what do I know.
“What’s that smell up in here?!? Is that sarcasm?!? Cause it suuuure smells like sarcasm!”
I could not be more excited for Musk’s “hardcore litigation team” to face Wachtell, Lipton, Rosen & Katz. I hope he spends exorbitant amounts of money on this case and still loses.
Indeed!
I’m sure the best of the best are excited to work for him after he unceremoniously fired nearly everyone at Twitter with illegally abrupt notice.
Surely there’s several top tier law firms lining up to kiss his ass, carefully advise him, and inevitably lose the case when he fails to follow even their most basic advice.
I may not own enough popcorn for this. 🍿
It’s Wheatley running aperture labs vibes
Summary: LegalEagle goes over the basics of contract law, the situation of the Elon vs Twitter buyout issue last year, and goes over Elon’s new complaint and the ironies within.
The overall advantage seems to be on Wachtell’s side on this case, but Elon has a plausible path to victory. As more complaints come-and-go, we will certainly get more information on this subject and be able to make a better evaluation of who has more evidence for the case.
Honestly, as much as Musk is visibly deranged these days, he may have a point with this one. That law firm apparently charged Twitter a success fee of somewhere around 60 million dollars after they won that case, even though there seems to have been no prior agreement about a success fee. It seems as if the old board of Twitter only paid, because at that point, they no longer cared what would happen to Twitter’s finances. If the law firm can dig up an agreement on that, though, it seems like Musk will be out of luck.
The more interesting part, IMHO, is that Musk argues they never should have charged as much as they did because that case was so simple and straight-forward, it never required any great innovation on the side of the lawyers, just routine work. Which is a bit of a self-own, if you consider that he himself was the counter party that suit…
Edit: Musk, not Trump. No idea how I confused the two names there…
The more interesting part, IMHO, is that Trump argues they never should have charged as much as they did because…
It’s getting hard to keep them all straight these days.
It is funny that the law firm would never have been hired if he wouldn’t have tried to back out. I don’t really care which of them is right, and I’m definitely not rooting for the law firm, but this is some funny stuff.
edit: not rooting for Musk either
He literally has no point - the video says as much too. It’s very much standard practice for rates to go up upon success & why shouldn’t it? Many class action lawsuits work on the same concept but to an even worse degree. The lawyers might get nothing but if it works then they get their pay day. In this case they were paid hourly plus a percentage upon successfully closing the deal that they wouldn’t have been involved in had it not been for him.
He should have considered the possibility of that added expense on twitters books before trying to back out in a hopeless cause.
Did you watch the video? It seems absurd to claim that they are on the hook for hourly agreements given that they were advising on the merger literally to the last hour due to musks history of backing out of deals last minute.
In fact, had they not represented twitter until the 11th hour it’s very possible musk would have continuously tried to litigate instead of close.
These discussions and discourse by twitters board very likely were part of the success fee charged.
Musk is dumb and he will lose this one too. You can’t argue unconscionable contracts when you’re literally one of “the smartest and most powerful people in the world”
Can’t wait til the people who he’s suing ask for his records…oops too late.
Discovery is gone be a bitch, Melon.
Do let us know, OP
