The ruling could knock Musk down to the third richest person in the world.
A judge in Delaware recently invalidated Tesla CEO Elon Musk’s $56 billion compensation package, siding with a shareholder who claimed the entrepreneur’s Pay is too high. Later, the billionaire said, “Never register your company in Delaware.” “If you want shareholders to decide matters, I recommend registering in Nevada or Texas,” he said in another post.
In keeping with his unique approach to decision-making, Musk launched a poll on X on whether Tesla should change its corporate status. “Should Tesla change its place of registration to Texas, where the entity is headquartered?” he wrote. Since it was shared seven hours ago, 88% of 6,56,805 people have voted “yes”.
Should Tesla change its domicile to Texas, where its physical headquarters is located?
— Elon Musk (@elonmusk) January 31, 2024
The post also drew mixed reactions on the Weibo platform.
“Yeah. Good choice,” said one user.
Another added: “Yes we will secure the border while we are there!”
Meanwhile, Chancery Court Chief Justice Kathaleen St. J. McCormick on Tuesday agreed with a Tesla investor who claimed the 2018 compensation package failed to clearly demonstrate Mr. Musk’s claim to earn the money , and the board is rife with conflicts of interest. It approved the deal to retain him as CEO.
The ruling could knock Musk down to the third richest person in the world after spending the past few years firmly holding the title. Just days before the judge’s decision, Musk told analysts he wanted to expand his stake in the electric car maker to avoid being ousted, maintain control of the company and expand further, Bloomberg reported to the field of artificial intelligence.
