Elon Musk's 2018 pay package from Tesla (TSLA.O), opens new tab, once worth $56 billion, was restored by the Delaware Supreme Court on Friday, nearly two years after a lower court struck down the compensation deal as "unfathomable."
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The ruling overturns a decision that had prompted a furious backlash from Musk and damaged Delaware's business-friendly reputation. It assures Musk greater control over the company, which he has said is his main concern, even after shareholders recently approved a new pay package that could be worth $878 billion if Tesla meets certain targets.
The Supreme Court said a 2024 ruling that rescinded the pay package had been improper and inequitable to Musk.
The remedy of total rescission "leaves Musk uncompensated for his time and efforts over a period of six years," the 49-page ruling, opens new tab issued on Friday stated.
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