Elon Musk’s net worth hits $749 billion in legal win, huge Tesla payout
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Elon Musk's net worth rose to $749 billion after the shareholder-backed payout deal was approved. The Delaware Supreme Court overturned the previous ruling, finding that Musk met the standards required for a massive stock-based payout.
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Elon Musk just got richer. The Tesla CEO's net worth rose to $749 billion after the Delaware Supreme Court on Friday overturned a lower court decision that rejected his 2018 Tesla compensation package, Forbes reported.
The decision effectively restored the pay package to an estimated $139 billion, down from around $56 billion due to the appreciation in Tesla stock.
The lawsuit was filed seven years ago by a Tesla shareholder who alleged the company misled investors by basing Tesla's approval of a compensation plan designed to reward Musk with stock options on meeting a series of financial milestones.
In the year In early 2024, Delaware Chancery Court Chancellor Kathleen McCormick rejected Tesla's pay package against Musk, calling the approval process highly flawed. Chancellor McCormick later reaffirmed Tesla's decision to approve the compensation plan to cure the deficit, despite a shareholder vote.
In Friday's ruling, the Supreme Court agreed that the Delaware court's approval process suffered from material flaws, but said rejecting the entire settlement agreement was an excessive remedy.
The court found that Musk had fully met the performance milestones associated with the package and that his rejection would result in six years of workers' compensation.
The decision could restore Musk's voice at Tesla, which would strengthen his control over the company's strategic direction.
Musk's net worth recently broke $600 billion after SpaceX's valuation rose to $800 billion. There is growing optimism among investors about Mook's financial future, raising hopes that it could reach the trillion-dollar mark by 2029.
