Delaware Court Strikes Down Musk’s $56 Billion Pay Package

In what is believed to be a first of its kind ruling, a Delaware Court has rescinded an equity grant awarded to a public company’s CEO (Elon Musk).

Despite receiving shareholder approval (in a binding vote), the equity grant did not survive judicial scrutiny.

The Delaware Court found that Tesla failed to fully inform shareholders about the equity grant, thereby requiring Tesla to prove the equity grant was “fair,” which it was unable to do.

Click here to read more on this topic: Delaware Court Strikes Down Musk’s $56 Billion Pay Package - Meridian Compensation Partners (meridiancp.com)