A Delaware judge ruled against Elon Musk's $55 billion Tesla compensation package.
In 2018, a Tesla shareholder sued Tesla and Musk over the pay plan.
A Delaware judge ruled to strike down Musk's $55 billion Tesla compensation package on Tuesday, siding with a shareholder who had argued in a lawsuit that the CEO's pay plan was over the top.
Tesla shareholder Richard Tornetta sued Tesla and Musk over the massive pay plan in 2018, arguing that it was "beyond the bounds of reasonable judgment."
Meanwhile, Tesla argued that the pay was necessary to maintain Musk's focus on Tesla and that shareholders like Tornetta have benefited from Musk's leadership.
Persons:
Tesla, —, Elon Musk, Musk, Kathleen St, J, McCormick, Richard Tornetta
Organizations:
Elon Musk's, Service, Tesla's, Tornetta, Bloomberg, Tesla
Locations:
Delaware