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  • Voltaire Staff

Ex-Twitter CEO Parag Agrawal, others sue Elon Musk for $128 mn severance pay



Four former high-ranking executives of Twitter, now called X, including ex-CEO Parag Agrawal, have filed a lawsuit against Elon Musk, alleging unpaid severance totalling over $128 million.


Musk, the current SpaceX and Tesla boss, after assuming control of Twitter, rebranded it as X and made changes towards the platform’s subscription model as well.


The ex-executives allege that Musk levelled accusations of misconduct against them, precipitating their departure from the company after they initiated legal action against him for allegedly backtracking on his acquisition deal.


The lawsuit further asserts that Musk withheld the severance payments promised to the executives long before his takeover of Twitter. According to the plaintiffs, each of them is entitled to a year's salary along with hundreds of thousands of stock options, reported Reuters.


Joining the legal fray alongside Parag Agrawal are three other former Twitter executives: Ned Segal, who served as the company's chief financial officer, Vijaya Gadde, its former chief legal officer, and Sean Edgett, its former general counsel.


The 39-page lawsuit, lodged on Monday in the federal court in San Francisco, marks the latest twist in the ongoing legal saga surrounding Musk's acquisition of the social media titan for $44 billion in October 2022.


The former executives said in the lawsuit, "This is the Musk playbook: to keep the money he owes other people, and force them to sue him."


X is currently embroiled in two proposed class action lawsuits alleging owed severance payments of at least $500 million to laid-off employees following Elon Musk's acquisition.


Additionally, a third lawsuit filed by six former senior managers echoes the claims. X vehemently denies any wrongdoing amidst these legal battles.


The company has faced lawsuits earlier as well over unpaid dues to its former public relations firm, landlords, vendors, and consultants.

 

 

 

 

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