![\"Elon](\"https:\/\/www.cryptocabaret.com\/wp-content\/uploads\/2022\/08\/musk-countersuit-768x432.jpg\")
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Tesla CEO Elon Musk has accused Twitter of fraud in his countersuit against the social media company. Twitter filed a lawsuit against the billionaire to force him to go through with the $44 billion deal to buy the platform. \u201cThe Musk parties bring their counterclaims for breach of contract and rescission on the basis of Twitter\u2019s fraud.\u201d Tesla and Spacex CEO Elon Musk has filed a counter-lawsuit<\/a> against Twitter after the social media giant sued him for terminating<\/a> the $44 billion deal to buy the platform. Musk\u2019s countersuit, filed Thursday and published Friday, states:<\/p>\n This action arises out of Twitter\u2019s misrepresentations to the Musk parties regarding the condition of the company and the \u2018key metrics\u2019 Twitter uses to evaluate the number of users on its platform.<\/p>\n<\/blockquote>\n \u201cTwitter was miscounting the number of false and spam accounts on its platform, as part of its scheme to mislead investors about the company\u2019s prospects by focusing on its purported hundreds of millions of mDAU,\u201d Musk alleged. The social media company defines monetizable daily active users (mDAU) as \u201cusers who logged in and accessed Twitter on any given day through Twitter.com or Twitter applications that are able to show ads.\u201d<\/p>\n The countersuit describes: \u201cAfter signing the merger agreement, however, the Musk parties learned troubling facts that have called into serious doubt Twitter\u2019s representations.\u201d<\/p>\n \u201cWhile Twitter asks the court to force the Musk parties to close over Twitter\u2019s misrepresentations and contractual breaches, the Musk parties seek relief from the grave inequity of such a result,\u201d Musk\u2019s lawyers noted, elaborating:<\/p>\n Accordingly, the Musk parties bring their counterclaims for breach of contract and rescission on the basis of Twitter\u2019s fraud.<\/p>\n<\/blockquote>\n Twitter filed a series of rebuttals to Musk\u2019s countersuit Thursday, accusing the Tesla CEO of cherry-picking numbers and misrepresenting how its online ad system works.<\/p>\n Bret Taylor, a Twitter board member, tweeted in response to Musk\u2019s allegations:<\/p>\n Twitter filed a response to Mr. Musk\u2019s counterclaims. His claims are factually inaccurate, legally insufficient, and commercially irrelevant. We look forward to the trial in the Delaware Court of Chancery.<\/p>\n<\/blockquote>\n Twitter has subpoenaed crypto exchange Binance and more than a dozen of Musk\u2019s advisers and would-be lenders as part of its lawsuit against the Tesla CEO. In May, Musk revealed that he had secured funding<\/a> from 18 companies to purchase Twitter, including Binance.<\/p>\n The other companies and individuals subpoenaed by Twitter included Factorial Funds, Benefit Street, Bandera Partners, Founders Fund Growth II Management, Citadel CEO Ken Griffin, Tesla, and Spacex. The subpoenas demand that they hand over documents and communications that either support or refute Musk\u2019s accusation that Twitter has under-reported the number of fake or spam accounts on its platform.<\/p>\n Musk officially terminated<\/a> the $44 billion deal to buy the social media giant last month, alleging that \u201cTwitter is in material breach of multiple provisions of that agreement.\u201d The billionaire\u2019s lawyer noted that Twitter made \u201cmaterially inaccurate representations,\u201d particularly regarding the company\u2019s claim that fewer than 5% of its mDAU are false or spam accounts.<\/p>\n
<\/strong><\/p>\nElon Musk\u2019s Legal Battle With Twitter Intensifies<\/h2>\n
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