It's been a long time since I took business associations, but you aren't allowed to discriminate against any of the shareholders. You can dilute everyone, but y

It's been a long time since I took business associations, but you aren't allowed to discriminate against any of the shareholders. You can dilute everyone, but you can't dilute just some people. IIRC Zuckerberg and Thiel created a new entity and gave Saverin a difference class of shares/equity then diluted that class. They must have known they'd never get away with it, it was likely just a move to be able to fire him quickly and just cut a check at a later date.