Twitter’s former leaders includingex-CEO Parag Agrawal sue Musk
   Date :06-Mar-2024

 ex CEO Parag Agrawal sue Musk
Non-payment of severance totalling USD 128 million:
TWITTER’S former leadership team, including ex-CEO Parag Agrawal and Chief Legal Officer Vijaya Gadde, has sued the platform’s owner Elon Musk, saying the billionaire fired them without reason and owes them severance payments worth USD 128 million. The lawsuit against the Tesla and SpaceX chief and X Corp was filed in the US District Court, Northern District of California by Agrawal, Gadde, Twitter’s former Chief Financial Officer Ned Segal and General Counsel Sean Edgett. Musk has a “special ire” toward Agrawal, Segal, Gadde, and Edgett, who in their leadership roles at Twitter “appropriately and vigorously represented the interests of Twitter’s public shareholders throughout Musk’s wrongful attempt to renege on the deal.
For their efforts, Musk vowed a lifetime of revenge,” the 38-page lawsuit said. Agrawal worked at Twitter from 2011 until 2022 and was the platform’s Chief Executive Officer from November 29, 2021, until October 27, 2022, a role he took over from the company’s founder and former CEO Jack Dorsey. The lawsuit also notes that as Musk was closingTwitter’s acquisition for USD 44 billion in 2022, the billionaire told his official biographerWalter Isaacson, that he would “hunt every single one of” Twitter’s executives and directors “till the day they die.” “These statements were not the mere rantings of a self-centred billionaire surrounded by enablers unwilling to confront him with the legal consequences of his own choices. Musk bragged to Isaacson specifically how he planned to cheat Twitter’s executives out of their severance benefits in order to save himself USD 200 million,” he said.
The four former Twitter executives claim in the lawsuit that Musk owes them severance payments totalling about USD 128 million. “Under Musk’s control, Twitter has become a scofflaw, stiffing employees, landlords, vendors, and others. Musk doesn’t pay his bills, believes the rules don’t apply to him, and uses his wealth and power to run roughshod over anyone who disagrees with him,” the lawsuit said. It said that Agrawal is entitled to severance benefits amounting to over USD 57 million, which is equal to his oneyear salary of one million dollars plus restricted stock units, performance share units and other benefits. Gadde is entitled to severance benefits in the amount of USD 20 million, an amount equal to one year’s salary of USD 6,00,000 plus other benefits. The lawsuit alleges that underTwitter’s severance plans if an eligible executive is terminated without cause following a change in control, they are entitled to severance benefits.