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IPFS News Link • Business/ Commerce

Tesla Investors Back Musk's $56 Billion Pay Package, & Move To Texas

•, by Tyler Durden

"It is not automatically reinstated if the shareholders approve it," said Samantha Crispin, a partner at Texas-based law firm Baker Botts and chair of the corporate department.

"I would imagine it would be influential [and] it certainly would be something that the judge would take into consideration."

As The Verge reports, Tesla is banking on the reapproval aiding in its effort to overturn Delaware Chancery Court Judge Kathaleen St. Jude McCormick's ruling, which means a likely appeal to the state's Supreme Court.

Still, the outcome is uncertain, with Tesla stating in its proxy statement that it "cannot predict with certainty how a vote to ratify Musk's compensation would be treated under Delaware law in these novel circumstances."

With today's vote, Musk's stake could potentially rise to 20 percent, from about 13 percent today.

Additionally, shareholders voted to reappoint two board members: James Murdoch and Kimbal Musk, Elon's brother.

Tesla shares surged more than 7% in premarketing trading in New York after Elon Musk announced on X late Wednesday that both Tesla shareholder resolutions—one involving a 2018 pay package nixed by a Delaware judge earlier this year and another on moving the company's legal home from Deleware to Texas—passed by 'wide margins.' 

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