Quotes
When you know Delaware law, you know that stuff like that is just not going to fly,
Alon-Beck said
Delaware now has to worry about looking like, well, if we reverse, do we just look like we got cowed by Elon Musk?"
Lund saidI would do a new vote in Texas, under Texas law, and I would authorize a new compensation package,
Alon-Beck said,Little law addresses executive compensation, let alone what seems to be the largest-ever compensation deal at a US public company,
Shapiro saidOr is it about his public persona and his reputation and how those things are understood in future business dealings,
Shapiro saidIf they just want to turn around and deliver him $56 billion, I can't believe somebody wouldn't want to litigate it,
Dunn said
Delaware protects investors — that’s what she did,
said Elson, who has followed the court for more than three decadesThe ruling, if not overturned, means that judges and plaintiffs' lawyers run Delaware companies rather than their rightful owners — the shareholders,
Tesla arguedThis is just the latest round in this UFC battle between Tesla and the Delaware Courts with much more action ahead on the appeals process,
he wrote in a note on Tuesday
Musk is Tesla and Tesla is Musk. One way or another the Board is getting Musk his pay package (and another long term one for the next decade),
he addedIt used to be automatic for startups to incorporate in Delaware, ... That will stop being the case if activist judges start overruling shareholders."
Paul Graham, cofounder of Y Combinator, wrote in on XThis evening the CEO of a public company told me that all startups should reincorporate in Nevada. That's apparently the best alternative, and for startups that are still private it's trivially easy,
he said in a separate post
The process leading to the approval of Musk's compensation plan was deeply flawed,
McCormick wroteA Delaware judge just overruled a supermajority of shareholders who own Tesla and who voted twice to pay Elon Musk what he’s worth
Tesla added in a statement
She is an activist posing as a judge,
the Tesla CEO said in another post
The large and talented group of defense firms got creative with the ratification argument, but their unprecedented theories go against multiple strains of settled law,
she added
Shareholders should control company votes, not judges,
said Musk, in a separate postThe motion to revise is denied,
McCormick wroteNo judge has the right to determine CEO compensation... [McCormick] will lose this fight in the Supreme Court."
Cathie Wood likewise saidThis is a Twilight Zone situation,
said Wedbush analyst Dan Ives, who is known for being optimistic about Tesla's future share price