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Judge reprimands Musk and “X”, denies dismissal of lawsuit over unpaid bonuses for employees

Elon Musk, the CEO of “X,” is facing a lawsuit from a former employee over unpaid bonuses. The lawsuit, filed by Mark Schobinger, Twitter’s former senior director of compensation, claims that Musk failed to deliver promised bonuses to employees after acquiring the company. The suit seeks $5 million in damages and has been allowed to proceed by US District Court Judge Vince Chhabria. According to the judge, Schobinger’s complaint meets the requirements for a breach of contract claim under California law, and he has ruled that California law applies to the case. Twitter’s arguments against the validity of the oral agreement have been dismissed by the judge. This ongoing legal battle highlights the challenges faced by employees when it comes to promised compensation in the tech industry.

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