Elon Musk has Tesla's billion-dollar bonus blocked in the US; see details
Elon Musk had a salary bonus agreement of US$55.8 billion (R$275 billion, in direct conversion) granted by Tesla on January 30th of this year. The order came from a judge in the state of Delaware, in the United States.
The lawsuit was filed by a Tesla shareholder. According to Judge Kathaleen McCormick’s assessment, the payment would be “an unimaginable amount” of money.
The billion-dollar bonus was decided in an agreement in 2018.Source: GettyImages
Elon Musk’s defense argued that the bonus was a way to ensure that the executive remains dedicated to the company. Currently, in addition to Tesla, the billionaire runs X, SpaceX and Neuralink.
However, the judge understood that Tesla’s directors were convinced by the company owner’s “superstar appeal”.
In the decision, McCormick also mentioned Musk’s deep relationship with the employees involved in the negotiation — the chairman of the compensation committee, Ira Ehrenpreis, and another member of the group, Antonio Gracia.
The agreement was decided in 2018, making it one of the largest payrolls in United States history. The bonus contributed significantly to Musk’s fortune, helping him become the richest person in the world.
Elon Musk’s reaction
On X, formerly Twitter, Elon Musk spoke about the judge’s decision in an ironic way.
Never incorporate your company in the state of Delaware
— Elon Musk (@elonmusk) January 30, 2024
“Never incorporate your company in the state of Delaware,” he said in one post. “I recommend incorporating [a empresa] in Nevada or Texas, if you want shareholders to decide matters”, he added in another publication.
I recommend incorporating in Nevada or Texas if you prefer shareholders to decide matters
— Elon Musk (@elonmusk) January 31, 2024
Elon Musk can still appeal to the Delaware Supreme Court.
