A judge has ruled that Elon Musk’s X Corp., formerly Twitter, must pay $1.1 million for the legal fees of its former executives.
Bloomberg reports that in a striking legal development, X/Twitter has been ordered to pay $1.1 million in legal fees incurred by its former top executives. The decision, handed down by a Delaware judge, marks a rare courtroom loss for Elon Musk, who is used to winning legal challenges.
Former executives, spearheaded by the company’s ex-CEO, Parag Agrawal, and former top lawyer and infamous censorship queen, Vijaya Gadde, successfully argued that the company had failed to adhere to its own bylaws. They contended that X/Twitter neglected its duty to cover legal costs that were directly related to investigations into the company’s operations during their tenure.
Vijaya Gadde appears prominently in the Twitter Files, which revealed the inner workings of the Twitter censorship machine.
As Breitbart News previously reported, Gadde was integral to the censorship of the Hunter Biden “Laptop from Hell:”
Several key points from the thread so far:
The decision to censor the Hunter Biden laptop story was made without the knowledge of CEO Jack Dorsey
Trust & Safety chief Vijaya Gadde, long believed to be the driving force of censorship at the company, spearheaded the decision.
Numerous top Twitter employees, especially from the communications and policy teams — whose job is to maintain relations with lawmakers and the press — expressed concern at the decision.
Immediate warnings from Twitter’s Washington D.C. contacts followed, including an email from Democrat representative Ro Khanna (D-CA) who warned the decision had generated “huge backlash” on capitol hill, and expressed concerns about Twitter undermining the freedom to publish.
The legal dispute unfolded against the backdrop of Musk’s takeover of the company. Musk’s buyout resulted in a significant shake-up of the company’s leadership, including the departure of the executives involved in this case.
The refusal of X/Twitter to foot the legal bill sparked a fierce legal battle. The former executives maintained that the company had sidestepped its obligation. The court’s ruling in favor of the executives not only represents a victory for them but also shines a light on the complex interplay of legal and ethical obligations that corporations must navigate, particularly in the aftermath of major acquisitions and leadership changes.
Read more at Bloomberg here.
Lucas Nolan is a reporter for Breitbart News covering issues of free speech and online censorship.