(NewsNation) — On Friday, Elon Musk said he is terminating his $44 billion Twitter deal, citing material breach of multiple provisions of the agreement.
The chair of Twitter’s board, Bret Taylor, tweeted Friday that the board will take legal action against Musk, saying that they are “committed to closing the transaction on the price and terms agreed upon with Mr. Musk.”
Appellate attorney Antonio Kizzie joined “Morning in America” to discuss issues Musk may encounter in court.
“Well, when you sign on the dotted line, that’s a contract. So it’s a binding legal agreement,” Kizzie said. “He’s going to have to prove through his attorneys that Twitter somehow breached the deal, and that he doesn’t have to buy it anymore, which to me sounds like an uphill battle.”
Musk agreed to that deal on April 25, but when signing, waived his right to due diligence.
“That’s one of the issues that he’s going to have to address because if you waive due diligence, then you waive the opportunity to review the financials, the assets, the liabilities, but his lawyers are claiming that Twitter breached the merger agreement by failing to disclose necessary information,” Kizzie said.