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Jury Finds Elon Musk Liable for Misleading Twitter Investors in 2022 Deal

Jurors focused on two May 2022 tweets about bots, setting per‑share damages that plaintiffs estimate at more than $2 billion, with an appeal expected.

Overview

  • Jurors found two May 2022 tweets, including one saying the purchase was “temporarily on hold,” misled investors, but rejected a broader fraud scheme claim and cleared a podcast remark.
  • Damages were set at roughly $3 to $8 per share per day for the class period, with plaintiffs estimating total exposure of about $2.1 billion to $2.6 billion; the final amount will be determined later.
  • The class action covers investors who sold Twitter shares between May 13 and October 4, 2022, alleging they sold at deflated prices following Musk’s public statements.
  • The trial began March 2 in San Francisco federal court, featured testimony from Musk and former Twitter executives, and concluded with a verdict after about three days of jury deliberations.
  • Musk’s team argued his comments reflected genuine concerns over bot and spam levels; he ultimately completed the $44 billion purchase in October 2022 and later rebranded Twitter as X, with lawyers now signaling an appeal.