Delaware Judge Denies Musk's $56 Billion Pay Package

A Delaware judge has once again denied Elon Musk's $56 billion pay package, despite support from 72% of Tesla shareholders. Chancellor Kathaleen McCormick ruled that the shareholder vote aimed to overturn a previous decision voiding the pay package was not valid due to procedural issues and misstatements in the proxy statement. Musk has labeled the ruling as 'absolute corruption' and has vowed to appeal, stating that shareholders should control company votes rather than judges. Tesla's board previously considered either reopening negotiations for a new compensation deal or seeking shareholder ratification of the 2018 package, ultimately deciding on the latter to avoid substantial financial repercussions. The ongoing legal battle has implications not only for Musk and Tesla but could also inspire other companies to reconsider their corporate governance structures in Delaware. Meanwhile, tensions escalate as California considers excluding Tesla from state EV tax incentives, further complicating Musk's landscape of challenges.