quote:
Elon Musk and Twitter Inc were sued on Friday by a Florida pension fund seeking to stop Musk from completing his $44 billion takeover of the social media company before 2025. In a proposed class action filed in Delaware Chancery Court, the Orlando Police Pension Fund said Delaware law forbade a quick merger because Musk had agreements with other big Twitter shareholders, including his financial adviser Morgan Stanley and Twitter founder Jack Dorsey, to support the buyout.

quote:
The fund said those agreements made Musk, who owns 9.6% of Twitter, the effective "owner" of more than 15% of the company's shares. It said that required delaying the merger by three years unless two-thirds of shares not "owned" by him granted approval.

Seems interesting and odd that a pension fund stock losing money would file a lawsuit over a potential profit. If I was a policeman I would sue the crap out of them

This post was edited on 5/7/22 at 7:10 pm

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Posted by Jon Ham

Member since Jun 2011

28590 posts

Posted on 5/7/22 at 7:12 pm to dafif

Just a money grab. “You are in violation of this regulation. We haven’t been damaged but we can hold you up in this litigation so pay us and you can proceed.”

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Posted by SCLibertarian

Conway, South Carolina

Member since Aug 2013

36092 posts

Posted on 5/7/22 at 7:13 pm to dafif

quote:
before 2025

This tells you everything you need to know about why this suit is being filed.

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Posted by dafif

Member since Jan 2019

5594 posts

Posted on 5/7/22 at 7:26 pm to SCLibertarian

Based on a hypothetical/ technical argument that most likely does not hold up.

But I just can’t get past the fiduciary obligations of the fund ….

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Posted by loogaroo

Welsh

Member since Dec 2005

30734 posts

Posted on 5/7/22 at 7:29 pm to dafif

Someone REALLY doesn’t want Musk to buy Twitter.

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Posted by mule74

Watersound Beach

Member since Nov 2004

11303 posts

Posted on 5/7/22 at 7:30 pm to dafif

All acquisitions generate lawsuits. There would have been suits if they hadn’t sold as well.

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Posted by McChowder

Hammond

Member since Dec 2006

5236 posts

Posted on 5/7/22 at 9:09 pm to dafif

That has to be the worst legal argument I've ever heard.

Musk having the support of other share holders is legally the same thing as owning their stock which would put him over %15. Lmao these fcking people.

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Posted by keakar

Member since Jan 2017

30043 posts

Posted on 5/7/22 at 9:29 pm to dafif

quote:
Elon Musk and Twitter Inc were sued on Friday by a Florida pension fund seeking to stop Musk from completing his $44 billion takeover of the social media company before 2025.

clearest case ever of literally "no standing" so the case should get thrown out

he doesnt own it yet, he doesnt control it yet, so they have no complaint yet

you cant sue over what "might" happen and "maybe" you will be harmed by it