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Big win for Twitter against Elon Musk as Judge allows expedited trial to decide fate of $44 billion deal
21 Jul, 2022 / 10:17 am / Twitter

Source: http://www.mashable.com

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Mashable: The decision is a setback for Musk, who had hoped for a trial in February.

After a Delaware judge ruled on Tuesday that Twitter Inc. deserved a quick resolution to the deal's uncertainties, the social media company will have an October trial to hold Elon Musk to his $44 billion takeover.

The decision is a setback for Musk, who had hoped for a trial in February to allow for a thorough investigation into his accusations that Twitter had exaggerated the number of bogus or spam accounts.

His claim that he has the right to walk away from the arrangement is predicated on whether or not Twitter's user statistics are overstated. Asked about a September trial date, the business said it was a distraction and that Musk had agreed to pay up.

Keeping the trial until next year could jeopardize deal funding, Twitter claimed.

After the Johnny Depp vs. Amber Heard trial, the attention is now on the lawyers in the Twitter vs. Musk lawsuit.

Twitter's lead counsel William Savitt urged for a swift trial at the start of the session. Savitt said the unresolved transaction and litigation "hurt Twitter daily, hourly, and daily." He also cited Musk's continuous criticism of Twitter, including on the platform.

Savitt: "Musk is contractually compelled to close this agreement." "He's sabotaging.

Musk lawyer Andrew Rossman pushed back, claiming Musk "doesn't have a motive to keep this hanging for a long period" He also observed that Twitter didn't sue Musk over alleged contract violations until after he terminated the transaction, suggesting that the company's wait negated its need for speed. The judge said Twitter's timing wasn't "unreasonable"

It was Chancellor Kathaleen McCormick's opinion on Tuesday that the company should have a fast resolution to its claims in the Court of Chancery in Delaware.

According to her, "the fact is that delay has the potential to cause irreparable harm to the sellers."

McCormick instructed the parties to devise a trial scheduled for a five-day trial.

The verdict is a clear triumph for Twitter, despite the fact that it didn't obtain exactly what it wanted. Getting a judgment soon means that Musk may have to rely on the assertions he made in his announcement that he planned to pull out of the purchase. Even if he regrets making the offer, Musk may have little choice but to go through with the buyout before the year is through.