Tesla, opponents of Musk's pay package clash over resolving compensation lawsuit
What alternative legal fee amount did Tornetta's attorneys propose?
Tornetta's attorneys proposed an alternative legal fee amount of $1.1 billion, which would be based on precedent in the Delaware Court of Chancery. However, they characterized this amount as "unfairly low."
On what grounds did shareholders vote to reinstate Musk's pay package?
Shareholders voted to reinstate Musk's pay package, which was originally approved in 2018, as a show of confidence in his leadership and a chance for the board to demonstrate that investors still want to reward Musk handsomely. The vote followed a Delaware judge voiding the pay plan in January.
What did Tesla argue about the impact of the shareholder vote on legal fees?
Tesla argued that the shareholder vote to reinstate Elon Musk's compensation plan should be recognized and could drastically reduce the legal fees. They requested the judge to put aside the dispute over legal fees and determine the impact of the shareholder vote instead.