Elon Musk and X are being sued by the former CEO of Twitter and other executives for unpaid severance pay of $128 million.

Former Twitter CEO and other executives are suing Elon Musk and X for severance pay in the amount of $128 million that was not paid to them.

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The former executives of Twitter, including Parag Agrawal, who had previously held the position of CEO of Twitter, have filed a lawsuit against Elon Musk and X, alleging that they were not paid millions of dollars in severance money at the time of their departure from the company. During the volatile circumstances that accompanied Musk’s takeover of the company in October of 2022, the claims are alleged to have emerged from those conditions.

Soon after Musk took control of the company, Agrawal, Chief Financial Officer Ned Segal, Chief Legal Officer Vijaya Gadde, and General Counsel Sean Edgett were all fired from their positions. This was the first action that Musk took. The lawsuit states that Musk had “special ire” for the group because of the role they played in the months-long legal fight that drove Musk to continue through with the acquisition after he attempted to back out of the transaction. The struggle was a result of the fact that the organization forced Musk to carry out the acquisition. The organization was the target of the lawsuit that was filed. According to the lawsuit, Agrawal is entitled to receive $57.4 severance payments million, Segal is eligible for $44.5 million, Gadde is eligible for $20 million, and Edgett is eligible for $6.8 million, which brings the total amount of severance payments to around $128 million.

The complaint explains that Musk hurried to complete the Twitter purchase a day earlier than expected to dismiss the executives “for cause” shortly before their last stock options were scheduled to vest. This was done to avoid the possibility of facing legal consequences. The complaint refers to the account of the events that were published by Walter Isaacson, who is well-known for his biography of Elon Musk. Isaacson goes on to say that Musk boasted about the fact that the legal strategy helped him save around two hundred million dollars.

The lawsuit claims that Musk is unpaid for his services, feels above the law, and abuses his riches and influence to bully anybody who doesn’t agree with him. The complaint also claims that Musk fired the plaintiffs without cause, drew up a false rationale for the termination, and designated personnel from his numerous firms to support his decision because he decided he didn’t want to pay the plaintiffs’ severance payments.

It was requested that X respond to the case; however, they did not respond to the request. The fact that this is not the first time that former employees of Twitter have brought a lawsuit against the company for failing to pay severance benefits is an essential fact to keep in mind. Twitter was accused of owing former employees more than $500 million in severance compensation that had not been paid out, according to a second lawsuit that was filed against the company. Agrawal, Segal, and Gadde had already lodged a case against the corporation, alleging that they had not been reimbursed for their legal bills. As a result of shareholder lawsuits and other investigations that were brought about as a consequence of Musk’s takeover, these steps were brought about as a consequence.

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