Elon Musk subpoenas former Twitter CEO and friend Jack Dorsey
Tesla CEO Elon Musk has subpoenaed his friend and former Twitter CEO Jack Dorsey as part of an effort to get him out. $44 billion deal The company Dorsey helped acquire was found, according to court documents.
Twitter and Musk are headed for a trial in Delaware on Oct. 17 that will determine whether Twitter can force the billionaire to go through with the acquisition.
Twitter has subpoenaed a number of tech investors and entrepreneurs linked to Musk, including prominent venture capitalist Marc Andreessen and PayPal’s founding chief operating officer David Sachs.
Musk claimed that Twitter failed to provide adequate information about the number of fake, or “spam bot” Twitter accounts, and that it breached its obligations under the contract by firing top executives and laying off a significant number of employees. Musk’s team expects to reveal more information about the bot number in the trial court’s discovery process, when both sides must turn over evidence.
Twitter argues that Musk’s reasons for backing out are just one Cover for buyer’s remorse. Shortly after Musk agreed to pay 38% more of Twitter’s stock price, the stock market stumbled and shares in electric-car maker Tesla, which hold most of Musk’s personal wealth, lost more than $100 billion in value.
Kasturi said he withdraw from the contract July 8. Four days later, the company Sue him to complete the acquisition.
Musk’s subpoena was served last week. It asked Dorsey for documents and communications related to the acquisition, as well as information on the impact of fake or spam accounts on Twitter’s business and measures of daily active users.
A lawyer representing Dorsey did not immediately respond to a message for comment Monday.