According to The News Journal, Musk testified in Wilmington about Tesla’s 2016 acquisition of SolarCity. Musk has appeared before the Chancery Court once before. 24, the date initially agreed upon to complete the sale. In the filing, Twitter proposed a four-day trial beginning Sept. They’re hoping Musk will respond by July 18. Musk has 20 days from the suit’s filing to respond, though Twitter has asked the court to expedite the case citing irreparable harm from delays. In Musk’s case, Twitter hopes the court will enter an order to make him buy the company. It’s a court of equity, which means it has the power to compel an entity, by injunction, to do something or stop doing something. The Court of Chancery was established in 1792 and has since become a preferred forum for corporations hoping to resolve disputes quickly with a judge but no jury. Twitter, along with more than 60% of Fortune 500 companies, is registered in Delaware. The Court of Chancery is considered the preeminent forum to decide disputes between corporations and other business entities.Īt least one of the parties in any case before the court must be registered in the state of Delaware. On Monday, Twitter filed suit against Musk, asking the Delaware Court of Chancery to compel Musk to complete the purchase.Ī hearing has been set for July 19 at 11 a.m.

On July 8, he terminated the deal, claiming that Twitter breached their agreement by refusing to crack down on spam accounts and disclose how many accounts were run by bots.

Elon Musk by J.T. Owens