Like a phoenix rising from the ashes, Tesla moves to revisit CEO Elon Musk’s discarded pay package.
Tesla’s latest move comes at a troubled time for the company, especially considering their recent performance…
And the decision from Delaware courts that threw out the original pay package in the first place.
Trouble With Elon Musk’s Pay Package
Tesla’s CEO Elon Musk, who also coincidentally happens to be one of the richest men in the world…
Is eligible for the most valuable pay package in all of corporate America.
Shareholders at Tesla believe that the compensation package, worth tens of billions, is more than fair…
Especially considering the period of growth and expansion Musk has chartered within the business.
But before shareholders can sign off on that fat check, some roadblocks are stopping the pay package from landing in the wallet of Elon Musk.
Earlier this year Delaware courts threw out the pay package, saying it was “unfair” to Tesla shareholders…
A ruling that the shareholders refused considering 73% voted in favor of it.
Despite Tesla’s performance this year on the decline…
With new competition in China and rampant layoffs…
THE PAY PACKAGE IS WORTH A WHOPPING 45 BILLION.
Elon Musk, in protest of the slashed pay package, threatened to move his business from Delaware to Texas…
But even if he does (shareholders would vote in favor of the move)…
HE WOULD STILL HAVE TO APPEAL THE DECISION IN DELAWARE COURTS.
And we all know how that went the first time around.
More Litigation In The Future
If there is an appeal on behalf of Elon Musk regarding his pay package…
There’s no guarantee that Delaware would be more forgiving this time around.
Be Great
GCTV Staff
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