After a rocky few months of back and forth, Elon Musk on Friday decided to break up with Twitter by announcing he longer plans to buy the social media company for $44 billion. After initially not wanting Musk as part of their company, Twitter has reportedly hired a high-profile law firm to ensure Musk follows through on the deal.
According to sources with knowledge of the plans that spoke with Reuters, Twitter has hired Wachtell, Lipton, Rosen & Katz LLP as it prepares to sue Musk in court to complete the merger agreement.
That lawsuit will reportedly be filed in Delaware early this week, according to the same sources.
This particular law firm is quite familiar with Musk, having previously been one of his legal advisors during his plans to take Tesla private in 2018. The firm specializes in merger litigation and reportedly has connections to the Delaware court system, according to Bloomberg.
On Musk’s side of the bench will be Musk the law firm Quinn Emanuel Urquhart & Sullivan.
In his filing announcing his plans to no longer purchase Twitter, Elon Musk said it was because they failed to comply with their contractual obligations. Through his lawyers Musk said Twitter did not provide him with the relevant business data to be able to verify their claims on the number of fake or spam accounts on the platform.
If the court finds that Musk does not have to complete the merger agreement, it would also mean he no longer has to pay the $1 billion termination fee that both parties agreed to.
In typical Musk fashion, he commented on the pending court case with meme on Twitter last night, highlighting that they will be required to disclose what they know about fake or spam accounts if they follow through.
— Elon Musk (@elonmusk) July 11, 2022