Tornetta v. Musk — Delaware Voids the 2018 Pay Package
Summary
A Tesla shareholder challenged Musk's 2018 performance award (then worth ~$55B) as the product of a flawed, conflicted process. The Delaware Court of Chancery agreed and rescinded the package; after shareholders re-ratified it, the court reaffirmed the rescission in December 2024.
Outcome
Unfavorable but contested: Tesla reincorporated in Texas, shareholders approved a fresh package, and the ruling is on appeal to the Delaware Supreme Court — so the final word is not yet written.
Sources
Cite this page
Reviewed Jun 15, 2026ElonFacts.org. (2026). Tornetta v. Musk — Delaware Voids the 2018 Pay Package. Retrieved from https://elonfacts.org/record/tornetta-pay-package
"Tornetta v. Musk — Delaware Voids the 2018 Pay Package." ElonFacts.org, Jun 15, 2026, https://elonfacts.org/record/tornetta-pay-package.
@misc{elonfacts-record-tornetta-pay-package, title={Tornetta v. Musk — Delaware Voids the 2018 Pay Package}, author={{ElonFacts.org}}, year={2026}, url={https://elonfacts.org/record/tornetta-pay-package}}
https://elonfacts.org/record/tornetta-pay-package