Elon Musk faced a setback on Monday as a Delaware judge upheld her earlier ruling that voided his $56 billion 2018 CEO compensation plan, the largest in U.S. corporate history. Chancellor Kathaleen McCormick ruled that the plan was improperly granted and could not be ratified retroactively by a shareholder vote held in June.
McCormick also approved a $345 million attorney fee award for the legal team that successfully represented Tesla shareholders in the case. The judge emphasized that attempts to create “new facts” post-judgment would undermine judicial proceedings. Musk’s attorneys are expected to appeal the decision to the Delaware Supreme Court.
Despite the ruling, Musk’s net worth has surged, climbing over $43 billion in recent weeks, largely due to a 42% rise in Tesla shares. Musk’s Tesla stock alone is now valued at $150 billion, excluding his stakes in SpaceX and other ventures, solidifying his place among the world’s wealthiest individuals.
