Tesla Pay Package Drama: Billion-Dollar Showdown

A Delaware judge maintains the ruling against a $56 billion compensation package for Elon Musk, despite Tesla shareholders' vote to reinstate it. The decision creates uncertainty about Musk's future at Tesla. The judge cited procedural issues with the shareholder vote and concerns about Tesla's board dynamics.

A Delaware judge reaffirmed her decision against Elon Musk receiving a $56 billion pay package, despite Tesla shareholders' vote supporting it. This ruling, issued by Chancellor Kathaleen McCormick of the Court of Chancery, leaves many questioning Musk's future with the company.

The legal battle revolves around procedural issues and the influence Musk wields over Tesla's board. McCormick criticized the company for misstatements in its proxy statement and rejected the notion that a shareholder vote could overturn previous rulings.

The ongoing dispute has impacted Tesla's stock and could lead to further legal proceedings if Musk and Tesla choose to appeal the decision. The case highlights the complex interplay between corporate governance and executive compensation.

(With inputs from agencies.)