Picture this: You start a business, and you and your buyers agree that if the organization hits a certain goal within a set time frame, you’ll getting paid. Easy, right?
Now image this — your shareholders not only review the compensation plan again, but double, overwhelmingly. However, a man who owns nine stocks of the business decides to file a lawsuit over the compensation package, and a judge who has connections to President Joe Biden’s political party orders your business to pay an astronomical legal price.
Elon Musk, the co-founder and CEO of Tesla, is responsible for that.
Even though Tesla’s shareholders overwhelmingly supported the compensation package in June 2024, Delaware’s Chancellor Kathaleen St. Jude McCormick ruled that Tesla’s board was not independent enough to support the package because they didn’t know enough to vote ( twice ) in favor of it.
Additionally, McCormick paid plaintiff’s attorneys$ 345 million in legal fees because Tesla had excellent attorneys who forced them to really do their jobs. This is around$ 18, 000 per hour.
” The motion was complex”, McCormick ruled. Plaintiff had to put through the steps of some of the best rules companies in the country.
Tesla, in a blog on X, called the decision “wrong” and vowed to appeal.
A Delaware judge recently overturned a supermajority of Tesla’s owners, who also voted half to give Elon Musk his estimated value. The court’s decision is incorrect, and we’re going to charm. This decision, if not reversed, means that magistrates and claimants ‘ lawyers run Delaware businesses rather than their rightful owners — the shareholders”.
This isn’t just any” nline.com/story/news/politics/firststatepolitics/2015/08/06/carney-biden/31198941/”>Delaware determine”, but, as pointed out in a blog on X by private bill KanekoaTheGreat. McCormick formerly worked at Young Conaway, a company that during the 2008 Democratic elections donated$ 55, 000 to Biden, according to Start Strategies. During the 2016 election cycle, Congressman John Carney, a “longtime companion of the Trump home” according to nline.com/story/news/politics/firststatepolitics/2015/08/06/carney-biden/31198941/”>Delaware nline.com/story/news/politics/firststatepolitics/2015/08/06/carney-biden/31198941/” target=”_blank” rel=”noreferrer noopener”>Online, hosted an event at Young Conaway, which finally Vice President Joe Biden attended, according to emails purportedly from the Hunter Biden computer. McCormick was nominated by Carney, who won his presidential campaign, for administrative office in the state of nline.com/story/news/politics/firststatepolitics/2015/08/06/carney-biden/31198941/”>Delaware in 2021.
Biden’s boy, Hunter, claimed in a 2018 contact that he was connected to “every prosecutor on the court court”. Three years later, McCormick was appointed. McCormick’s decision comes in the wake of a wider efforts by the Biden administration to use lawfare against Musk and another liberals.
Under the politically motivated Department of Justice under the auspices of Biden, Musk has been threatened with legal action for merely writing a petition that offered a select few lucky winners$ 1 million if they pledged to support the First and Second Amendments, and$ 100 or less for those who successfully persuaded others to sign it. In contrast, Biden’s FCC has waged a war on Musk and SpaceX’s Starlink, with devastating effects for those caught in the wake of Hurricane Helene.
It’s no accident that Musk, one of the most well-known organization figures with a divisive social voice, has been the subject of so much government criticism.
Brianna Lyman is a journalist for The Federalist on primaries. With a diploma in global political economy, Brianna received her diploma from Fordham University. Her job has been featured on Newsmax, Fox News, Fox Business and RealClearPolitics. Following Brianna on X: @briannalyman2
