Elon Musk Sues Wachtell Law Firm to Recoup Fees from Twitter Buyout
San Francisco, CA - Elon Musk has filed a lawsuit against Wachtell, Lipton, Rosen & Katz, the law firm that represented Twitter in its legal battle with Musk over the social media company's $44 billion buyout.
In the lawsuit, Musk alleges that Wachtell charged excessive fees for its work on the case, including a $90 million "success fee" that was paid after Musk was forced to complete the buyout. Musk argues that the success fee was unwarranted and that Wachtell should only be paid for its actual work on the case.
The lawsuit is the latest twist in a long-running saga between Musk and Twitter. Musk first announced his intention to buy Twitter in April 2022, but he later tried to back out of the deal, arguing that Twitter had not provided him with accurate information about the number of fake accounts on the platform.
Twitter sued Musk in July 2022, seeking to force him to complete the buyout. A Delaware judge ruled in favor of Twitter in October 2022, and Musk was ordered to complete the deal.
The lawsuit against Wachtell is a further attempt by Musk to challenge the Twitter buyout. It remains to be seen whether Musk will be successful in his lawsuit, but it is clear that he is not giving up on his efforts to take control of Twitter.
In a statement, Wachtell said that it "will vigorously defend itself against the baseless claims made by Elon Musk."
The lawsuit is the latest in a series of legal challenges facing Musk. He is also facing a lawsuit from shareholders of Tesla, who allege that he misled them about the company's financial health.
Musk has denied any wrongdoing and has said that he is committed to completing the Twitter buyout.