Twitter’s board of directors is reportedly ready to sue Elon Musk. This follows Musk’s letter to the Securities and Exchange Commission announcing his withdrawal from the takeover deal.
Twitter chairman Bret Taylor said.
“Twitter’s board of directors is committed to closing the transaction on the price and terms agreed with Mr. Musk and plans to take legal action to enforce the merger agreement.”
If the acquisition deal fails, Elon Musk will have to pay a severance payment of $1 billion. Twitter would have to pay Musk a similar amount if the takeover of the company is not completed by October 24.
According to Musk, Twitter is refusing to cooperate
The billionaire has consistently claimed that Twitter refuses to cooperate and not disclose information related to fake accounts on its platform. The company, on the other hand, stands by its earlier disclosures that there are less than 5% of accounts on the platform are fake.
Further conjecture arose after Musk’s tweet claiming that Donald Trump had set up his platform after being censored by Twitter. Then it was supposed to come to a breach of agreement when Twitter censored news about Hunter Biden, who is the son of US President Joe Biden when his connections to business in China and Ukraine were addressed.
So both sides are gradually looking for arguments against the other side and it is not expected that there will not be more accusations from both sides. So we shall see how the situation develops and who will be on the winning side in the end.