Elon Musk founder, CEO, CTO and chief designer of SpaceX. Credit: john smith williams/Shuttertstock.com Musk's Focus on X Has Come at Tesla's Expense, Shareholder Lawsuit Claims
"Neither Musk's past success nor his importance to Tesla's business gives him carte blanche to treat his fiduciary duties to Tesla as optional," the complaint states.
June 11, 2024 at 02:31 PM
4 minute read
The original version of this story was published on Delaware Business Court Insider
A new Court of Chancery shareholder suit against Tesla claims Elon Musk has breached his duties to the company by diverting resources to personal interest projects like the microblogging app X and an artificial intelligence affiliate.
The 250-page complaint was filed Monday in Delaware by a retirement fund for Rhode Island state employees, represented by Prickett, Jones & Elliott and Lieff Cabraser Heimann & Bernstein, brings six claims against Musk and Tesla's board members.
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