TECH - Tesla CEO Elon Musk Calls For Legal Reform On Class Action Lawsuits: 'Serving Simply To Enrich Law Firms At The Expense Of The people' | Benzinga
Billionaire entrepreneur Elon Musk on Saturday urged for a change in the law pertaining to class action lawsuits to mandate at least 10% of the class represented to vote in favor of it.
What Happened: Talking about the lawsuit that led to the revocation of his 2018 pay package, Musk said on Saturday that it doesn’t represent Tesla Inc. (NASDAQ:TSLA) shareholders as it claims to.
“A “class action" lawsuit, by definition, should represent the class, yet this one, and most others, do NOT, serving simply to enrich law firms at the expense of the people they falsely claim to represent,” Musk said.
The lawsuit filed by minor Tesla shareholder Richard J Tornetta on behalf of Tesla stockholders in the Delaware Court of Chancery led to Musk’s 2018 compensation package being rescinded earlier this year. Musk is now engaged in a legal battle to have the compensation, valued at the time at $56 billion, ...