Elon Musk cannot back out of a settlement with securities regulators that was reached after his 2018 tweets claiming he had secured funding to take Tesla private caused the electric vehicle maker’s share price to jump and led to a temporary halt in trading, an appeals court ruled Monday.
The summary order by the 2nd U.S. Circuit Court of Appeals in Manhattan was released just days after a three-judge panel heard lawyers’ arguments in the case.
The settlement with the Securities and Exchange Commission required that his tweets be approved first by a Tesla attorney. It also called for Musk and Tesla to pay civil fines over the tweets in which Musk said he had “funding secured” to take Tesla private at $420 per share.In its ruling, the 2nd Circuit said it saw “no evidence to support Musk’s contention that the SEC has used the consent decree to conduct bad-faith, harassing investigations of his protected speech.
The appeals court also rejected Musk’s prior restraint argument, saying parties entering consent decrees may voluntarily waive their First Amendment and other rights.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Federal Appeals Court says Elon Musk must abide by SEC settlement over 2018 tweetsA federal appeals court says Elon Musk cannot back out of a settlement with securities regulators over 2018 tweets claiming he had the funding to take Tesla private
Read more »
Elon Musk must still have his tweets approved by Tesla lawyer, federal appeals court rulesA federal appeals court says Elon Musk cannot back out of a settlement with securities regulators over 2018 tweets claiming he had the funding to take Tesla private
Read more »
Elon Musk is giving Tesla shareholders reason for bullishnessInsider tells the global tech, finance, markets, media, healthcare, and strategy stories you want to know.
Read more »
Elon Musk still needs 'Twitter sitter,' judge rulesElon Musk had been fighting to unwind parts of a settlement agreement he and Tesla struck with the SEC over civil securities fraud charges in 2018.
Read more »
Why Elon Musk picked Linda Yaccarino to lead Twitter as CEOSAN FRANCISCO - Elon Musk's choice of Linda Yaccarino for Twitter CEO appears aimed at solving multiple problems facing the social media site - and the billionaire himself - following his tumultuous takeover of the company in October. Musk's rapid changes and unpredictable behavior at Twitter have left many advertisers wary of doing business with the platform, which has revalued itself at less than half of the October $44 billion as it struggles to generate enough revenue. Musk, meanwhile, has f
Read more »
Elon Musk Gets Roasted After Twitter Bends to Turkish Censorship RequestTurkish President Recep Erdoğan, who has been accused of authoritarian behavior, is facing a close re-election contest.
Read more »