Stephen Diamond spoke with MarketWatch about possible litigation after Elon Musk pulled out of his $44 billion deal to buy Twitter Inc.
Stephen Diamond, an associate professor of law at Santa Clara University, said that regarding who has the best legal case when it comes to litigation, possibly in the form of a breach-of-contract suit, “I assume they will try to get a preliminary injunction to force Musk to close by the specific performance clause in the contract.”
“Barring that, they will demand $1 billion dollars in damages,” Diamond said, speaking about the reverse termination fee that the parties agreed to when they agreed to Musk’s $54.20-a-share offer in April.
