FCPA Compliance Report - Karen Woody on Elon Musk Attack on SEC Consent Decree
Compliance Into The Weeds - Elon Musk and Tesla Redux
Top Five Corporate Scandals of 2018: Episode IV-Tesla and its Elon Problem
This Week in FCPA-Episode 129, week ending November 16, 2018 - the Farewell to Stan Lee edition
Southeast Asia’s electric vehicle (EV) market is booming. Since 2019, EV sales in the key markets of Thailand, Vietnam, and Indonesia have increased exponentially, reaching year-on-year growth rates of 300 – 400% in 2023....more
Elon Musk’s Ventures and Controversies - Elon Musk is well known for his many ventures as well as his disdain for convention. While serving as the CEO of Tesla, Inc., Musk acquired Twitter (now X Corp.) and founded a private...more
This week, Elon Musk interviewed former President Trump on his social media platform X. During the interview, the two participants discussed their response to a hypothetical strike at Musk’s Tesla production facility. Trump...more
Last month, the SEC announced another enforcement action emphasizing the need for early disclosure of cybersecurity events. In the recent action, the company had taken three weeks to act on internal alerts of malware on its...more
Continuing our series on electric vehicle (EV) trade secret litigation, see here and here, a California judge has tentatively given Tesla the green light to proceed with a trial against rival Rivian in March of 2025. This...more
This is the third issue of WilmerHale’s FRAND Quarterly: Navigating the Global SEP Landscape, a bulletin that highlights developments about the licensing, litigation, and regulation of patents that are or are claimed to be...more
Vehicles are more complex now, than ever, offering incredible and exciting technology, including self-driving features. But as innovation continues to rapidly change the automotive industry, can we expect the same innovation...more
In Elijah Baer, et al. v. Tesla Motors, Inc., fifteen plaintiffs filed a putative class and Private Attorneys General Act (“PAGA”) representative action lawsuit against Tesla, Inc. (“Tesla”) alleging wage-hour violations of...more
The rise in trade secrets litigation in the electric vehicle (“EV”) sector continues with Tesla filing another lawsuit: this time against its own equipment supplier. On June 14, 2024, Tesla filed a complaint in the Northern...more
Teslas are everywhere these days, including for a while longer at the courthouse defending a class action lawsuit that will proceed for now. Plaintiffs' allegations that Tesla misled consumers about the self-driving features...more
This week, we discuss a downward revision to electric vehicle manufacturer Tesla Inc.’s governance grade and the equally controversial topic of diverging ESG ratings methodologies. Investigative findings published in May this...more
“Was the richest person in the world overpaid?” That’s how the Delaware Court of Chancery (the Court) began the 200-page opinion in Tornetta v. Musk to rescind Elon Musk’s entire $55.8 billion 10-year equity compensation...more
The Delaware Court of Chancery issued a post-trial opinion, on January 30, 2024, in Tornetta v. Musk, holding that Tesla’s board of directors (the “Board”) breached its fiduciary duties in awarding CEO Elon Musk (with the...more
The Case: A Tesla stockholder sued Tesla's board of directors to rescind a performance-based stock option grant awarded to Elon Musk, Tesla's CEO. The option award was worth a total of $56 billion and offered the opportunity...more
The Delaware Chancery Court invalidated a substantial equity award to Elon Musk – the largest in history. It applied the entire fairness test instead of the more deferential business judgment rule, finding that Musk...more
Chancellor Kathleen McCormick of the Delaware Court of Chancery grappled with this question in a recent derivative lawsuit challenging Tesla’s performance-based equity award with a potential USD55.8 billion maximum value and...more
The Delaware Court of Chancery invalidated a $55.8-billion payout by Tesla, Inc., to its founder and controlling stockholder, Elon Musk. In a 200-page post-trial decision, Chancellor McCormick stated Musk was required to...more
Process still matters. That’s the main takeaway from the Delaware Court of Chancery’s 200-page opinion striking down Tesla’s 2018 incentive package awarded to Elon Musk. The court rescinded the incentive package mainly...more
On January 30, 2024, the Chancellor of the Delaware Court of Chancery struck down the $55.8 billion compensation plan that Tesla, Inc.’s board of directors had granted to Tesla’s well-known CEO, Elon Musk, finding that the...more
The Delaware court striking down Elon Musk's $50B pay package will garner a lot of headlines and clicks. As a corporate lawyer, I have two key observations: 1. This case highlights the increasing importance in...more
After a flurry of pro-employee National Labor Relations Board (“NLRB”) decisions, the Fifth Circuit gave employers a glimmer of hope, rejecting the Board’s recent rule issued in Tesla, Inc., 371 NLRB No. 131 (2022) that...more
After four years of litigation, Australian-based CAP-XX, Ltd. finally commenced its patent infringement trial this Monday against Maxwell Technologies, Inc. before Judge Jennifer Hall and a Delaware jury and is set to end on...more
In August 2022 the National Labor Relations Board issued its decision in Tesla, Inc.,holding that an employer bears the burden of proving “special circumstances” if it “interferes in any way with its employees’ right to...more
Can you enforce your uniform policy, even if that means an employee can’t wear a union t-shirt? Earlier this month, in Tesla, Inc. v. NLRB, the Fifth Circuit looked at that very question and ruled for Tesla....more
The National Labor Relations Board (NLRB) issued a controversial decision last year significantly limiting a company’s ability to implement and enforce uniform and dress code policies. In Tesla, Inc., 317 NLRB No. 131 (2022),...more