After a small shareholder in court a billion -dollar stock package for Tesla-Thef Elon Musk (53) could torpedo, the car manufacturer sets up a hurdle for complaints from shareholders. After a change in the statutes, only shareholders with a participation of at least three percent may submit complaints against managers or members of the board of directors in the interest of the company. Tesla thus makes use of a change in law in Texas, where the group is now based.
Musk currently has to worry about 300 million Tesla shares-his remuneration package approved in 2018. The plan grants Musk the right to gradually acquire the papers at the 2018 price if the company fulfills highly tackled goals over a period of up to ten years. Tesla cracked the target brands much faster. The package is worth more than $ 100 billion at the current course.
Judge in Delaware remains hard
However, a shareholder had sued the remuneration at the then Tesla seat in the state of Delaware. And a judge decided in early 2024 that the allocation of the package was not legal. Musk had too much influence in the background in negotiations with the board of directors of the electric car manufacturer-and this was kept for the shareholders, she argued.
An unusual phrase got the case after the Tesla shareholders approved the package again at a general meeting in June 2024-this time obviously with more information alone through the sensational process. However, the judge remained with her rejection. Tesla appealed in Delaware, because the move to the 300 million shares has no influence to Texas in the summer of 2024.