Elon Musk Pulls Out
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⚖️ Do you think Elon will be forced to buy Twitter?
☕️ You’ll get more/better Elon news from Morning Brew! https://legaleagle.link/morningbrew
Do eve come good news out of texas 🙁
@olstar18 Not if they give enough transparence and data to deduce said claimed. The exact data o algorithm re trede secret and protected enough, you dont have to unlss very grave reasons. That this is not.
Probably wont but pay a looot to get out.
And i think the claim musk makes, either you could argue he verymuch ,i am sure he wa enormed and the deal tight enough thhe gets out easy.
Also its funny how he had fairly enough leverage or any case as boardmember.
I finally signed up for Morning Brew. I need some humor with my news these days.
When your argument is termites in a house, I think you have no concept of the argument because 5% termites is not acceptable in any building. His analogy is just shit levels of ignorance. I think the entire case will hinge on the arguments Twitter uses to enforce everything and how Musk’s lawyers respond. But Musk does have an uphill battle here because he did throw away due diligence that he keeps standing behind in the SEC paperwork when he agreed to buy the company. So he needs to make that special case clear in court.
Man as a transactional lawyer myself I couldn’t think of a good way to explain MAE clauses in YouTube. You are doing an amazing job 👍🏼
@John Smith fill me in will you
I don’t think he is accurate about the due diligence statement…. What is your opinion or position on this? Curious
“Transactional Lawyer are not real Lawyers” – Legal Eagle
The most interesting thing I took out of this video was that it was called MAE across the pond! We have MAC (Material Adverse Change) clauses here instead.
I’m jealous that’s a hell of a career
I’m not a lawyer or a legal student but I can imagine what Elon’s lawyers are going through, the guy just keeps digging himself deeper down the hole while his lawyers try to rescue him. he’s the kind of client that lawyers get nightmares about. I guess, when you’re rich af, you can do whatever the heck you want and still have a reasonable expectation to come out unscathed.
@Julio Guardado funding for the deal both legally and practically is not an issue as his personal wealth is more than enough to cover the purchase. If he loses the case AND can’t get funding from the banks and third parties, he either would need to take a margin loan against the value of his assets ie Tesla, SpaceX, etc… or liquidate some assets and show up with cash.
Nope, you have it all wrong. Elon slandered twitter legally. That was his goal. It doesn’t make an ounce of difference what the lawyering is doing.
@Ben Hyle If he can’t get funding, doesn’t that pretty much get him off the hook? He can’t be forced to come up with $44B. Seems like Twitter should have asked for proof of financing before signing the purchase agreement.
And just as stupid is signing a purchase agreement without due diligence. 100% sure all his lawyers advised him not to do it. Also, what about reps and warranties from Twitter?
To quote Casey Stengle, “ain’t nobody here who knows how to play this game?”
@Ben Hyle He previously claimed to have had other parties interested in joining in. Unless those other parties bowed out (or it was a lie), he wouldn’t have to come up with all $44 billion on his own. Also, he already sold $8 billion worth of stock months ago.
The way you compiled all the information and clauses on the agreement in such an easy to follow manner is mind blowing. Good job!
“Lawyers are going to get paid.” – The only way to win in this case is to have a law degree.
Also to own a hotel near the Courthouse. The doubletree is going to be packed during this mess.
Fun fact: If you buy a house and forgo a home inspection, and it turns out there are more termites than previously advertised to you, you still have to buy the house.
@Donald Thorpe No Twitter exec is even remotely close to facing any legal consequences. Simping for Musk isn’t going to make him notice you. Lol.
@Jinx Dragon that’s kind of true, but not exactly. The buying process has multiple steps like any other contractoral process, but the only point that matters is when an agreement is signed. Before then anyone can back out of an agreement, but afterwards they can’t, unless a clause allows for it, generally under specific and limited circumstances and for a limited time.
@qiX2wf48 Except Twitter didn’t do that. They determined an mdau value and that their algorithm had an error rate of 5%. They did not state what percentage of Twitter is bots nor what percentage of twitter the mdau value represents either.
Not a single part of his analogy is accurate in any meaningful way to the issue.
I hope Twitter prevails. They delivered the bot info that was asked for in the contract.
Can Elon get out of the deal? Can Musk pay $1billion dollars to cancel the contract? Can a judge force Musk to go through with this multi-billion dollar deal?
If I’ve learned one thing from LegalEagle, it’s that the answer to those questions is….it depends.
You may also be interested in another channel for that kind of wisdom…..
Hahaha I laughed out loud
Welcome to the American legal system.
As a law school graduate, I can promise you that is the only answer to any question you are ever asked by a law professor.
You explained everything here really well, and in a way that is simultaneously educational but also fun and reports the most current news really clearly! I did not feel like anything went over my head, which is the mark of a great educational channel.
Also let Elon’s very own tweets being used against as evidence of him not being in good faith be a lesson to everyone, but especially younger folk: What you post on social media can have real world consequences. If whatever you’re going to post isn’t something you’d be comfortable with a prospective university or employer seeing, don’t post it.
Or at least don’t put your real life name on it and use a burner email.
@Matthew Bowerman I hope one day I can be as cool as you.
@Joe You comment, I reply, You know the rules. If people aren’t intelligent enough to follow that common thread, in this thread, then that is on them. been repeated enough times lol
its a yu yu hakusho situation bud adding numbers won’t help you here lol
@Matthew Bowerman bro lmfao you’re unreal I feel so bad for you bro just stop commenting. The more you comment the worse it gets.
I felt from the get go that this was an attempt to either settle at a lower price and go through with the purchase, or to potentially force details come to light about twitter’s bot count that benefit his argument, thus resulting in a stock plunge for twitter, and therefore, a much lower asking price he can swoop in on.