Elon Musk has agreed to settle a $128 million lawsuit brought by four former Twitter executives who accused him of firing them without cause and withholding severance pay following his 2022 takeover of the company, now rebranded as X.
The settlement, disclosed in a recent court filing, ends a bitter legal dispute with former chief executive Parag Agrawal, chief financial officer Ned Segal, legal head Vijaya Gadde and general counsel Sean Edgett.
The terms of the deal were not revealed, but the plaintiffs’ lawyers said certain conditions must be met “in the near term.”
The former executives claimed they were entitled to a year’s salary and stock awards under Twitter’s severance plan, and that Musk’s refusal to pay was part of a broader pattern of avoiding contractual obligations to former staff.
The case follows an earlier $500 million settlement with about 6,000 former employees who also said they were denied severance. Musk bought Twitter for $44 billion in 2022 before sacking much of its senior team and cutting over half its workforce.