“Musk apparently believes that – unlike any other party subject to Delaware contract law – he is free to change his mind, wipe out the company, disrupt its operations, destroy shareholder value and walk away,” the lawsuit said. On Friday, Musk said he was ending the deal because Twitter breached the agreement by failing to respond to requests for information about fake or spammy accounts on the platforms, which is fundamental to its business performance. Musk did not immediately respond to a request for comment. WATCHES | Musk’s plan to take over Twitter sparks free speech debate:
Elon Musk’s Twitter deal sparks debate over free speech
Calling himself the “absolute of free speech,” Elon Musk’s Twitter acquisition deal is reigniting the debate surrounding free speech on social media platforms. Some fear that under Musk’s ownership, Twitter could be leveraged as a platform to spread misinformation and monitor critics. The lawsuit accused Musk of “a long list” of violations of the merger agreement that “harmed Twitter and its operations.” Shares of the social media platform fell to $34.06 on Tuesday from above $50 when the deal was approved by Twitter’s board in late April. Musk said he was ending the merger because of a lack of information about spam accounts and inaccurate statements that he said amounted to a “material adverse event.” He also said the executive departures amounted to a failure in the ordinary course of business, as Twitter was bound to do. Twitter said it negotiated to remove language from the merger agreement that would have made such layoffs a violation of the ordinary course requirement.
