Twitter hires law firm to sue Elon Musk after pulling out of 44B deal: sources – National

Twitter Inc TWTR.N has employed U.S. legislation agency Wachtell, Lipton, Rosen & Katz LLP because it prepares to sue Elon Musk and power him to finish the $44 billion acquisition of the social media firm, based on folks aware of the matter.

Musk, the chief government officer of Tesla TSLA.O, on Friday terminated his deal, saying Twitter had failed to supply details about faux accounts on the platform, after which Twitter’s chairman, Bret Taylor, vowed a authorized struggle.

Twitter is planning to file a legislation swimsuit early this week in Delaware, folks aware of the matter mentioned.

Twitter declined to remark whereas the legislation agency didn’t instantly reply to Reuters’ request for remark outdoors enterprise hours.

Wachtell, Lipton, Rosen & Katz was one of many authorized advisers for Musk’s plan to take Tesla non-public in 2018. Musk tweeted that there was “funding secured” for a $72 billion deal to take Tesla non-public however didn’t transfer forward with a proposal.

Musk and Tesla every paid $20 million in civil fines, and Musk stepped down as Tesla’s chairman to resolve U.S. Securities and Trade Fee claims that he defrauded buyers.

Twitter’s present authorized staff consists of Simpson Thacher & Bartlett LLP and Wilson Sonsini Goodrich & Rosati.
(Reporting by Maria Ponnezhath in Bengaluru and Greg Roumeliotis in New York; enhancing by Diane Craft)