In brief
The court's decision follows a lengthy legal battle, emphasizing the influence of Musk on Tesla's board.
In a significant legal turnaround, Tesla CEO Elon Musk's staggering $56 billion pay package has been rejected for the second time by a Delaware judge. This ruling comes after extensive court proceedings, even after the compensation deal had gained approval from both shareholders and directors in the summer. Judge Kathleen McCormick reiterated her earlier January decision, asserting that the Tesla board was overly swayed by Musk himself when they approved the deal. According to Judge McCormick, the proposed pay package would have been the largest ever awarded to a CEO of a public company. Despite this setback, Musk retains the option to appeal the decision. Tesla has yet to issue a response regarding the judge's ruling.
