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Jury Finds Musk Liable for Misleading Tweets That Depressed Twitter’s Stock

Damages will be set in later proceedings, with plaintiffs estimating about $2.6 billion.

Overview

  • A federal jury in San Francisco ruled that two May 2022 posts contained false statements that drove declines in Twitter’s share price.
  • The messages addressed alleged bot levels and placed the takeover “on hold,” which jurors found misled investors.
  • Investor Giuseppe Pampena filed the case on behalf of shareholders who sold stock from mid-May through early October 2022.
  • Jurors rejected a claim of a preplanned fraud scheme, finding liability only for false or misleading statements that depressed the price.
  • Musk’s lawyers called the decision a setback and said they intend to appeal after the roughly three-week trial.