Part 4/15:
In 2024, after a thorough review, the Delaware Court of Chancery ordered the rescission of Musk’s compensation, citing that the plan was marred by conflicts of interest and lacked proper control by Tesla’s shareholders. The court based its decision on the notion that Musk, despite owning less than a quarter of Tesla's stock, exerted controlling influence over the transaction, and that the process by which the package was approved was flawed. The court also emphasized that the process lacked arms-length negotiations and found the disclosures to be misleading.