Elon Musk Will Settle $128M Lawsuit With Former Twitter Execs
Elon Musk will settle $128M lawsuit with former Twitter execs, marking a major turn in the ongoing legal battles since his 2022 takeover of the social media platform. The case involves four top executives he fired shortly after finalizing his $44 billion purchase of Twitter.
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Fired Twitter Executives Finally Get Closure
When Musk took over Twitter (now X) in 2022, one of his first actions was to fire CEO Parag Agrawal, CFO Ned Segal, and top lawyers Sean Edgett and Vijaya Gadde. Despite their contracts, the four were denied severance payments. They later alleged Musk’s decision was retaliation for holding him accountable to his original acquisition deal.
The lawsuit even cited Walter Isaacson’s biography of Musk, quoting him as vowing to “hunt every single one” of Twitter’s top executives “till the day they die.” That quote underscored the personal tension and public spectacle surrounding the takeover.
Court Filing Confirms $128 Million Settlement
According to a recent court filing, Elon Musk will settle $128M lawsuit with former Twitter execs, though the exact terms remain undisclosed. Legal experts suggest the settlement could help Musk avoid further reputational damage as he continues to reshape X into a platform focused on AI, subscriptions, and “free speech.”
While the payout amount may seem small compared to Musk’s net worth, it represents an important victory for the executives, who fought nearly three years for what they claimed were “legally owed” severance packages.
A Pattern Of Legal Settlements
This isn’t Musk’s first time settling disputes with former Twitter employees. Recently, he also resolved a class-action lawsuit involving more than 6,000 laid-off staff members who alleged they were denied proper severance following massive workforce cuts.
Observers note that Musk’s approach to employment disputes has often been aggressive — emphasizing cost-cutting over corporate diplomacy. Still, these settlements may signal a shift toward resolving lingering legal challenges from the chaotic post-acquisition period.
What This Means For X’s Future
With the $128 million lawsuit now settled, Musk can focus more on transforming X into his “everything app” — integrating payments, AI-driven features, and video content. For investors and users, this could mean fewer distractions and a clearer path forward for the platform’s future.
However, the case also highlights the high-stakes consequences of leadership changes in tech acquisitions — and the legal risks when contracts are ignored or contested.
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