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Akin Gump

| less than a minute read

Delaware Supreme Court Reverses the Remedy Applied by the Court of Chancery in In re Tesla, Inc. Derivative Litigation

Key Points The Court reinstated Elon Musk’s 2018 compensation package: The Delaware Supreme Court overturned the Delaware Court of Chancery’s order rescinding Elon Musk’s 2018 Tesla executive compensation package. The appellate ruling is narrow and specific to the remedy: The Court focused on the evidence from the Court of Chancery bench trial. The Court specifically noted the absence of evidence with respect to the board negotiations as applicable to the remedy imposed by the Court of Chancery.