A Delaware judge on Tuesday ruled Elon Musk’s generous 2018 compensation package, which helped make the tech entrepreneur the world’s richest person, was unfair.
The package, advanced by shareholders and Tesla’s board, entitled Musk to stock options in the company as it hit specific performance targets.
Shareholders sued Musk alleging the process the led the package was improper. The news was first reported by Chancery Daily, which tracks Delaware Chancery Court matters, on Threads.
In her opinion, Chancellor Kathaleen McCormick wrote, “judgment is entered in Plaintiff’s favor.”
“The parties are to confer on a form of final order implementing this decision and submit a joint letter identifying all issues, including fees, that need to be addressed to bring this matter to a conclusion.”
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