Judge In Elon Musk Vs. Twitter Could Force A Sale

Elon Musk vs Twitter

The Stakes Are High For Both Sides

Kathaleen McCormick, the judge overseeing Twitter Inc’s lawsuit against Elon Musk, is known as soft-spoken, approachable, and amiable, but also a person who stands her ground and advocates respect among litigants and integrity at legal conferences.

After weeks of suggestive tweets, Musk terminated the $54.20-per-Twitter share acquisition, worth $44 billion, and Twitter sued to enforce the deal. A hearing is scheduled for July 19.

Judge McCormick has a history of enforcement; she ordered a private equity firm to close its $550 million acquisition of DecoPac Holding Inc after rejecting its arguments that it could walk away due to a lack of financing.

The case has many parallels to Musk’s Twitter deal but also differences. Musk’s deal involves a publicly traded target company and might have implications for Tesla.

The judge has sided with shareholders in several cases, including preventing a poison pill anti-takeover measure and saying shareholders could sue the board for a direct stock offering.

McCormick started her career with the Legal Aid Society of Delaware and later joined Young Conaway Stargatt & Taylor. She became the first woman to lead the Delaware Court of Chancery in 2018.

For more on this story, please consider these sources:

  1. Why Elon Musk can’t get out of Twitter deal even if his lenders bail  The Washington Post
  2. Judge in Twitter v. Musk made rare ruling: ordering a deal to close  msnNOW
  3. SEC letter to Musk questions tweet about Twitter acquisition  CNBC
  4. Opinion | Elon Musk Should Be Held to His Deal to Buy Twitter  The New York Times
  5. After Elon Musk, where does the Twitter brand go from here?  Fast Company
John Nightbridge is a veteran reporter, researcher, and economic policy major from UCLA. Passionate about world issues and potential ways to solve them is a significant focus of his work. Writing freelance and reading the news are John's passions at work. Outside of work, it's all about sky diving, surfing, and stock market modeling.