4 ms·
Your understanding of the deal is incorrect. The $1b is only an out in a few very restricted scenarios. Wanting out is not one of them.
by RayVR 4y ago
Your understanding of the deal is incorrect. The $1b is only an out in a few very restricted scenarios. Wanting out is not one of them.
- listenallyall 4y agoYou're right, haven't been following closely. But let's say Musk just walks and it is in fact a contract violation. What is Twitter's recourse? Sure it can sue... and what? Spend years in court, more dirty laundry aired, stock price continues dropping, employees leaving, unlikely new buyers emerge. Twitter board could face lawsuits from public stockholders if they feel material information was hidden from them or misrepresented. What exactly were the damages Musk caused? Pumped up its stock price? It's not exactly like a labor or employment contract. How sure are you that Twitter would actually win in court? All I'm saying is that renegotiating the deal with Musk at a lower price is still likely Twitter's best option, regardless of the specific contract terms.