Elon Musk’s Lawyer Argues 420 ‘Joke’ Impacted Fairness of Trial
A San Francisco jury recently concluded that Elon Musk misled investors regarding Twitter’s stock price ahead of his 2022 acquisition. Musk’s attorneys argue that the trial was unfair, pointing to an alleged “420 joke” reflected in the jury’s verdict.
Musk’s Legal Team Raises Concerns
In a letter to Judge Charles Breyer, Musk’s lawyer, Alex Spiro, stated that the jury’s decision was influenced by a desire to send a message rather than to apply the law faithfully. The jury provided handwritten estimates of how much Twitter’s stock was artificially deflated per share following Musk’s tweet regarding the acquisition.
Unusual Jury Verdict Details
- The damages verdict included a notable $4.20 figure written in blue ink.
- All other figures were reportedly in black ink.
Spiro claims that this $4.20 number is closely associated with Musk’s public persona. He argued that the jury’s use of this figure demonstrated a mockery of Musk and the legal process itself.
The Origin of the Number
This number has historical significance in Musk’s career. In 2018, Musk tweeted that he had secured funding to take Tesla private at $420 per share, which inflated stock prices. Following a backlash, he abandoned the plan. This tweet led to a $40 million fine from the SEC.
Further emphasizing the number’s cultural relevance, Musk has made several references to it in jest. In 2020, he introduced “short shorts” priced at $69.420 to poke fun at Tesla short-sellers. Later, he acquired Twitter at $54.20 per share.
Claims of Bias in Jury Selection
Spiro noted concerns about potential bias in jury selection, asserting that many jurors held negative opinions about Musk. He argued that this bias created an unfair trial environment, making it almost impossible to find jurors without preconceived notions against Musk.
The Verdict’s Aftermath
The jury ultimately found Musk liable to Twitter investors but rejected claims that he conspired to defraud them. Although damages have yet to be determined, Musk may face substantial financial repercussions.
In light of these events, Musk’s legal team had previously sought a mistrial, arguing that there was cumulative prejudice from the plaintiffs and the court. They requested a fresh jury to ensure a fair trial.
