Loading ...The Delaware Judge Who Nuked Elon Musk’s $55 Billion Package Is Steeped In Bidenworld
“Why would any CEO/founder in America want to work hard, when the result of his or her hard work can easily be taken away unfairly like this?”
Earlier this week, a Delaware judge voided Elon Musk’s $55 billion pay package after a Tesla shareholder, who owned just 9 shares, filed a lawsuit claiming that the package was excessive and unfair – despite the fact that it was based on milestones which the board and 80% of shareholders agreed upon, and which Musk achieved.
The judge in the case, Kathleen McCormick of the Delaware Chancery Court (in which there is no jury), agreed with the shareholder, Richard Tornetta, that Tesla’s board lacked independence in crafting Musk’s pay – and will now have to go back to the drawing board to put together a new compensation plan.
Why would ANY company currently registered in Delaware NOT move their operations/taxes elsewhere?
IMO, individual judges have FAR too much power, with insufficient oversight even if a path to appeal is available. Justice can’t be served this way, even if the system gets its right in the end.