In February, the jury found Elon Musk not guilty of misleading investors with his tweet that he had wanted to take Tesla private. Investors who filed a class action lawsuit are asking the judge for a new trial and annulment of the jury verdict.
Investors who sued Elon Musk for fraud and lost the lawsuit have asked the judge to overturn the jury verdict and order a retrial. The investors' lawyers argue that the evidence Musk's lawyers have produced from nearly a dozen witnesses is “overwhelmingly established” that his tweets were important to ordinary investors, and that his lawyers were unable to refute them. According to the filing, attorneys for the investors urged US District Judge Edward Chen to order a new trial focused “only on the issues necessary while avoiding confusion and prejudice,” according to the filing.
In early February, following court hearings, the jury dismissed investor claims that Musk violated federal securities law when he tweeted in 2018 about taking Tesla private. This means that Musk is found not guilty and has won a multi-year lawsuit initiated by investors who tried to blame Tesla's CEO for their poor investment decisions. A nine-member jury said the class-action of investors failed to prove that Musk harmed them by tweeting about a possible deal.
An attempt by shareholders to overturn a jury's decision is unlikely because courts usually rely heavily on jury verdicts.
© 2023, Eva Fox | Tesmanian. All rights reserved.
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About the Author
Eva Fox joined Tesmanian in 2019 to cover breaking news as an automotive journalist. The main topics that she covers are clean energy and electric vehicles. As a journalist, Eva is specialized in Tesla and topics related to the work and development of the company.