Skip to main content

Elon Musk scores a rare win in Twitter-acquisition lawsuit as the company is ordered to hand over documents from fired general manager

Elon Musk will receive some of the extra information he's demanded from Twitter in its lawsuit against him, and he's trying for even more, Insider has learned.

Judge Kathleen St. Jude McCormick on Monday ordered Twitter to comply in part with a motion to compel from Musk's attorneys. They requested documents from 22 additional Twitter employees they said had information on the company's process of analyzing spam or "bot" accounts. Twitter is already handing over information from some 41 so-called "custodians" of information as part of the case.

Musk's motion to compel for the additional documentation was filed last week confidentially, which means it doesn't appear on the court's docket. Nor did his counterclaims that accuse Twitter of a fraudulent "scheme" around its user numbers and metrics. McCormick's order was made available on the docket.

Musk's attorneys also filed this week another confidential motion to compel, a person familiar with the case said. Musk is now looking to force Twitter to hand over more information on its user data and collection and methods of analysis. Musk has said for months that Twitter has refused to hand over all of the data information he's requested. McCormick is expected to decide on this new motion this week.  In the meantime, Twitter is now "required to collect, review, and produce documents" from Kayvon Beykpour, the platform's former general manager for consumer, the judge's short order said. Beykpour joined Twitter in 2018 under then CEO Jack Dorsey. Dorsey's replacement, Parag Agrawal, fired Beykpour in May, along with a few other executives. Beykpour tweeted that it was not his decision to leave the company. 

While Musk's attorneys pushed for document production from many additional Twitter employees, McCormick relented only on Beykpour. In his position leading the consumer-product side of Twitter for years, starting as the head of consumer product, Beykpour likely has insight and documentation regarding the bot analyses Musk is looking for. Musk's attorneys also sought information from other employees, ranging from mid-executive level to lower-level employees, a person familiar with the situation said.

McCormick's decision hands Musk a rare win in the lawsuit that Twitter filed last month in an effort to force the billionaire to go through with his agreement to acquire the platform for $44 billion. In the initial hearing between the two sides, McCormick sided with Twitter in agreeing that its case against Musk could proceed to trial by October.

Musk, for his part, seems to have taken a less aggressive stance on Twitter as of late — at least publicly. He hasn't tweeted about the company or the case in almost two weeks. Last week he sold almost $7 billion worth of Tesla shares, saying it was an effort to be prepared if he is ultimately ordered to acquire Twitter.  Twitter's stock has more recently recovered, rising 16% in the past month and inching closer and closer to the $54.20 per share that Musk initially agreed to acquire the company for. Such a rebound is likely to make more difficult any attempt by Musk to argue that the company is simply not worth what he agreed to pay for it. People close to the deal previously told Insider that Musk's sudden obsession with bots being a dealbreaker was a move to simply get the company for less money as the stock market took a turn, which significantly affected his personal wealth.

Musk's fortune is largely tied up in Tesla stock, which has also risen in recent weeks. After dipping to a yearly low in June, shares of Tesla are now just under $928, 24% off their all-time high....


Comments

Popular posts from this blog

Australian government launches offshore petroleum exploration permits for 47,000 sq km of ocean

Resources minister says exploration ‘central to alleviating future domestic gas shortfalls’ but Greens slam ‘mockery’ of climate target The Albanese government has launched its first offshore petroleum exploration permits, opening up nearly 47,000 sq km of Australian waters to oil and gas exploration. Ten areas stretching from the Ashmore and Cartier Islands in the Indian Ocean to Victoria’s Gippsland basin have been opened for exploration, in what the resources minister, Madeleine King, said would “play an important role in securing future energy supplies”. “At the same time as we strive to reduce emissions, it must be emphasised that continued exploration for oil and gas in commonwealth waters is central to alleviating future domestic gas shortfalls,” she said. “Australia’s energy sector also continues to support international energy security, particularly during the global turbulence caused largely by Russia’s invasion of Ukraine.”. But the move will further alarm enviro...

Crime increased in areas trialling cashless debit card programs, government analysis suggests

Coalition claims scrapping cards could lead to ‘tsunami of trauma’ but federal department analysis of available data paints a different picture Crime rates have increased or remained steady in regions hosting cashless debit card programs, according to the department of social services, as the Albanese government prepares to abolish the controversial welfare program within weeks. Critics of the government’s decision have claimed the card’s axing would increase crime and alcohol abuse, but the department has claimed its analysis of police data has shown total crime rates, assault and property damage have gone up in areas where the income management tool was being trialled. Labor promised during the election campaign to abolish the cashless debit card, which quarantines between 30% and 80% of welfare payments and was designed to prevent money being withdrawn as cash or used to pay for alcohol or gambling. A bill to scrap the card passed the House of Representatives earlier thi...

Cost of living crisis pushing more women into sex work - and unable to refuse dangerous clients

More women are turning to sex work for the first time, while others who have managed to leave it behind are having to return in order to pay their bills,.. With inflation at a record high and wages failing to keep up with spiralling prices and energy bills, the number of calls to the English Collective of Prostitutes has increased by a third this summer. Based in north London, with a national helpline and hubs throughout several major cities, the network advises women in all lines of sex work on how to keep themselves safe and stay within the law where possible. Spokeswoman Niki Adams, who has helped thousands of women over 30 years, said: "The cost of living crisis is now pushing women into sex work in various ways - whether that's on the street, in premises or online. "Across the board what we're seeing is people coming to that work from a place of desperation. "That means they are much less able to protect themselves from violence and exploitation....