What just happened? In what is the most unsurprising news of the year so far, Twitter has sued Elon Musk after he pulled out of a $44 billion bid to buy the platform. The company, which wants to force Musk to complete the deal, is using some of the Tesla boss' tweets as evidence that he saw the acquisition as little more than a joke.
The long-running saga of Musk's attempt to buy Twitter ended recently. The world's richest man once again blamed the decision on Twitter's alleged refusal to prove that the number of fake accounts on the platform constitutes less than 5% of its entire userbase. Musk claimed this represented a material breach of the deal, allowing him to walk away without paying the $1 billion termination fee.
Oh the irony lol--- Elon Musk (@elonmusk) July 12, 2022
Twitter's lawyers wrote in its Delaware-filed suit that Musk "refuses to honor his obligations to Twitter and its stockholders because the deal he signed no longer serves his personal interest," adding that the company was suing him to fulfill his legal obligations.
The filing doesn't hold back in its description of Musk's behavior: "For Musk, it would seem, Twitter, the interests of its stockholders, the transaction Musk agreed to, and the court process to enforce it all constitute an elaborate joke." Musk's recently posted memes, including one of Chuck Norris, were included in the filing.
"Having mounted a public spectacle to put Twitter in play, and having proposed and then signed a seller-friendly merger agreement, Musk apparently believes that he---unlike every other party subject to Delaware contract law---is free to change his mind, trash the company, disrupt its operations, destroy stockholder value, and walk away,"
Last month, Twitter made a "fire hose" of raw data consisting of every tweet posted every day available to Musk. He then said Twitter had placed an artificial cap on the number of searches his team could run on the data, but the reality was that it had hit the monthly limit of 100,000 queries, so Twitter increased the cap to 10 million.
Despite these actions, the suit claims Musk "exhibited little interest in understanding Twitter's process for estimating spam accounts," and that his "increasingly outlandish requests" were made so he could walk away from the deal. It's also claimed Twitter went to great lengths to meet these requests, despite Musk claiming the opposite.
It's possible that the suit could lead to a settlement or Musk and Twitter renegotiating the deal at a lower price than the original $54.20 per share agreement. Most experts believe the law is on Twitter's side.
Musk hasn't tweeted specifically about the lawsuit, though he did post a picture of Elden Ring's Malenia, Blade of Miquella, who's incredibly difficult to defeat.