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CNN Business
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Lawyers for Elon Musk and Twitter have agreed to postpone the Tesla CEO’s deposition in the court fight over their $44 billion acquisition agreement, a source familiar with the negotiations told CNN. The decision comes as the two sides renew negotiations to complete the deal.
Musk’s deposition had been set to begin Thursday, per a notice filed earlier this week.
The two sides are in the midst of negotiations over how to proceed with the deal after Musk on Monday sent a letter proposing to complete the acquisition on the originally agreed upon terms. In the letter, Musk said his offer to proceed was contingent on staying the litigation proceedings over his initial effort to pull out of the deal and adjourning the trial that is set to begin in less than two weeks.
As of Wednesday, the two sides had yet to reach a deal, a separate source told CNN. Delaware Chancery Court chancellor Kathaleen St. Jude McCormick, the judge who is overseeing the litigation, said in a Wednesday court filing that neither side had filed to stay the proceedings and she was continuing to prepare for trial to begin on Oct. 17.
On Thursday, McCormick filed a letter to both sides laying out deadlines for responding to discovery motions, noting that the “trial is fast approaching.”
Legal experts have said that Twitter
(TWTR) may want to continue the litigation process as a way to keep pressure on Musk until the acquisition is completed. But the postponement of Musk’s deposition may be a sign that the two sides are nearing an agreement, some legal experts say.
It’s not clear whether a new date has been set for Musk’s deposition, but Twitter could end up pushing to complete it early next week if a deal is not reached.
