OP-ED: Twitter’s Lawsuit Against Elon Musk Looks Like a Loser - International Center for Law & Economics

OP-ED: Twitter’s Lawsuit Against Elon Musk Looks Like a Loser

Wall Street Journal – ICLE Academic Affiliate M. Todd Henderson published an op-ed in The Wall Street Journal, co-authored by J.B. Heaton, about Twitter’s lawsuit seeking to compel Elon Musk to follow through on a promised $44 billion acquisition of the company. The full piece is available here.

Twitter has sued Elon Musk, seeking to compel him to buy the company for $54.20 a share. Many observers think the company will prevail, or that Mr. Musk is likely at least to pay the $1 billion breakup fee. They’re wrong. He is likely to walk away largely unscathed, a belief reflected in Twitter’s stock price. This case will be a good lesson on the limits of boilerplate merger agreements and the difference between a corporation and its shareholders.