September 28, 2022

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Delaware court rejects Musk's request to postpone Twitter's trial but agrees to request to add whistleblower claims

Delaware court rejects Musk’s request to postpone Twitter’s trial but agrees to request to add whistleblower claims

This illustration taken on August 5, 2022 shows a cell phone displaying an image of Elon Musk placed on a computer screen filled with Twitter logos in Washington, DC.

Samuel Corum | AFP | Getty Images

A Delaware court has rejected Elon Musk’s request to postpone the trial over his attempt to abandon a $44 billion acquisition deal. Twitteraccording to a new file released on Wednesday.

But the billionaire Tesla Chancellor Kathleen McCormick has decided that the CEO will be allowed to add claims from a Twitter whistleblower to his suit.

The trial is expected to begin on October 17, before the date Musk’s team requested in mid-November in the last batch.

“I have previously dismissed the defendants’ arguments in response to Twitter’s request to speed up, stating that the longer the delay until trial, the greater the risk of irreparable harm to Twitter,” McCormick wrote. “I am convinced that even a four-week delay would risk more damage to Twitter than would be warranted.”

However, McCormick said Musk’s request to amend his counterclaim removes the relatively “minimum” of court rules for doing so. Musk’s attorneys requested that claims be added regarding The whistleblower complaint was recently announced Written by former Twitter security chief Peter “Mudge” Zatko. Musk’s team argued in the complaint, which details what Zatko claimed were critical security failures by the company, that if true, Twitter would have breached the terms of the merger agreement.

Shortly after Zatko’s allegations were made public, Twitter CEO Parag Agrawal said in a note To the staff first reported by CNN that while they were still reviewing the complaint, “it’s a misrepresentation riddled with inconsistencies and inaccuracies, and presented without important context.”

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Musk originally said he wanted to walk out of the deal because he had received insufficient reassurances from Twitter about the percentage of its monetized users that were in fact spam accounts.

McCormick said Musk’s team is only entitled to “additional discovery” based on the new allegations, including “discovery of targeted documents and a minimum of additional experts and fact witnesses.”

“We hope winning the amendment proposal will bring us a step closer to the truth emerging in the courtroom,” Alex Spiro, Musk’s attorney with Queen Emmanuel, said in a statement.

Twitter did not immediately respond to a request for comment.

WATCH: A timeline of the Elon Musk-Twitter acquisition saga