By Daniel Wiessner
(Reuters) –Elon Musk and X Corp have reached a settlement in a lawsuit by 4 former high executives at Twitter, together with former CEO Parag Agrawal, who declare they weren’t paid $128 million in promised severance pay after Musk acquired the social media firm and fired them.
The phrases of the settlement, which was first introduced in a submitting in San Francisco federal court docket final week, weren’t disclosed. A federal decide on October 1 pushed again submitting deadlines and a listening to within the case so the settlement may be finalized.
X in August agreed to settle a separate lawsuit by rank-and-file Twitter staff who misplaced their jobs throughout mass layoffs and claimed they had been owed $500 million in unpaid severance.
The circumstances are amongst a sequence of authorized challenges that Musk, the world’s richest individual, has confronted after he acquired Twitter for $44 billion in 2022, lower greater than half of its workforce and renamed it X.
X and legal professionals for the previous Twitter executives didn’t instantly reply to requests for remark. The plaintiffs are Agrawal; Ned Segal, Twitter’s former chief monetary officer; Vijaya Gadde, its former chief authorized officer; and Sean Edgett, its former basic counsel.
The previous executives say that Musk falsely accused them of misconduct and compelled them out of Twitter after they sued him for trying to renege on his provide to buy the corporate.
Musk then denied the executives severance pay they’d been promised for years earlier than he acquired Twitter, based on the lawsuit. The plaintiffs say they every are owed one yr’s wage and tons of of 1000’s of {dollars}’ value of inventory choices.
Musk and X have denied wrongdoing and stated the executives had been fired over their efficiency.
(Reporting by Daniel Wiessner in Albany, New YorkEditing by Marguerita Choy)
