In a swift legal pivot, Elon Musk’s X Corp has voluntarily dismissed its high-stakes $90 million lawsuit against powerhouse law firm Wachtell Lipton Rosen & Katz, closing a bitter chapter from the chaotic 2022 Twitter takeover.
Filed in San Francisco Superior Court back in 2023, the lawsuit accused Wachtell of pocketing an “improper bonus payment” that violated fiduciary duties, claiming Twitter execs inflated fees with “success” bonuses just before the $44 billion deal closed.
Wachtell, who repped the old Twitter board in the fierce battle to force Musk to honor his buyout pledge, fired back hard. They touted their “complete success” after months of nonstop litigation that locked in billions for shareholders, with fees greenlit by the board itself.
No settlement details emerged in Wednesday’s court filing, reported by Reuters, which bars refiling and signals a clean break. A Wachtell spokesperson crowed, “pleased that X has dismissed its meritless lawsuit with prejudice. There was no settlement.”
This lawsuit retreat follows another Twitter-era truce with X’s October nod to a $128 million exec payout suit.
