Elon Musk and Twitter will go to trial for millionaire purchase agreement, judge orders

(CNN) –– In an early victory for Twitter, a judge on Tuesday ordered that the company’s lawsuit against Elon Musk for his $44,000 acquisition agreement million will go to a five-day trial in October.

The decision was made at the end of the first hearing in the case as to whether the process should be expedited. Days after Musk seek to terminate the agreementTwitter introduced demand last week and included a motion to expedite the process. He also requested a four-day trial in September. Musk’s legal team opposed the motion.

Twitter’s lead attorney, William Savitt, lashed out at Musk at the start of the hearing, arguing for a speedy trial. Savitt said the continuing uncertainty hanging over the company over the pending deal and litigation “affects Twitter every day, every hour and every day.” He also highlighted what he described as Musk’s continued disparagement of Twitter, even on his own platform.

“Musk has been and remains contractually obligated to use his best efforts to close this deal,” Savitt said. “What he is doing is the exact opposite: it is sabotage.”

For his part, Musk’s attorney, Andrew Rossman, responded by saying the billionaire “has no incentive to keep this matter pending for very long.” He also said that Musk remains one of Twitter’s largest shareholders. And he noted that the company did not sue his client for alleged violations of the agreement until after he took action to terminate it, suggesting that the company’s wait overrides his desire for a speedy process. Musk’s team has proposed that the dispute go to trial early next year.

“We’re not opposed to speed and full stop, we’re not asking for years here,” Rossman said. “What we are offering instead, your honor, is an incredibly quick and sensible timetable.”

Following each side’s argument, the judge overseeing the Delaware case, Kathaleen St. Jude McCormick, said Musk’s team “underestimates the ability of this court … to quickly process complex litigation.”

Even with this dispute over the deadline to settle the lawsuit, Twitter had a lot at stake. The company was already struggling to grow its user base and advertising business before Musk took over. to involve. And now the company, like many other tech companies, is cutting costs amid rampant inflation and fears of a recession.

Twitter needs a quick resolution in the battle against Musk to limit uncertainty for its shareholders, employees and customers. As well as any consequences to your business that could be exacerbated by costly and lengthy litigation.

Although Tuesday’s hearing was largely procedural, it provided a look at how each side can approach what is likely to be a complicated process. It can also give an idea of ​​how the judge overseeing the case is handling the dispute.

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Elon Musk and Twitter will go to trial for millionaire purchase agreement, judge orders