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Actually damages would not be capped at $1B. The $1B penalty is failing to close through no fault of his own, ex he's unable to secure financing. That ship has
by Volundr 4y ago
Actually damages would not be capped at $1B. The $1B penalty is failing to close through no fault of his own, ex he's unable to secure financing. That ship has long since sailed.
- pc86 4y agoThere is another reply to another of your comments explaining why this is not true, and paragraph (1) of that clause covers Musk just choosing to walk away.
- Volundr 4y agoExcept it doesn't. The full clause you are discussing: "Specifically, this termination fee is payable by Parent to Twitter if the Merger Agreement is terminated by Twitter because (1) the conditions to Parent’s and Acquisition Sub’s obligations to consummate the Merger are satisfied and the Parent fails to consummate the Merger as required pursuant to, and in the circumstances specified in, the Merger Agreement;" The comment conviently cut the first part of the sentence where the clause is effective if the acquisition is terminated by Twitter.