### Elon Musk's X Corp Settles $128 Million Lawsuit with Former Twitter Executives In a significant development, Elon Musk's X Corp has reached a confidential settlement with four former senior executives of Twitter, including ex-CEO Parag Agrawal. This settlement resolves a lawsuit concerning $128 million in severance payments that the executives claimed were unjustly denied following Musk's acquisition of Twitter in 2022. The lawsuit, filed in March 2024, alleged that the executives were wrongfully terminated without cause and that Musk attempted to fabricate grievances against them to justify their dismissal. The settlement marks the end of a contentious legal battle that began shortly after Musk took control of the social media platform, which has since been rebranded as X [https://www.connectedtoindia.com/parag-agrawal-top-twitter-executives-settle-usd-128-million-lawsuit-with-elon-musks-x-corp]. ### Breakdown of the Lawsuit and Settlement 1. **Background of the Lawsuit** - The lawsuit was initiated by Parag Agrawal, former CFO Ned Segal, chief legal officer Vijaya Gadde, and general counsel Sean Edgett, who were all dismissed on the day Musk acquired Twitter for $44 billion. - The executives claimed they were owed severance payments totaling $128 million, which Musk refused to pay, citing alleged misconduct on their part [https://www.financialexpress.com/world-news/us-news/elon-musk-settles-score-with-ex-indian-twitter-ceo-parag-agrawal-about-the-128m-severance-pay-lawsuit/4004126]. 2. **Details of the Settlement** - The settlement amount has not been disclosed, but it resolves the claims made by the executives regarding their termination and unpaid severance. - The agreement is provisional and subject to certain conditions; if these conditions are not met, the lawsuit could be revived by October 31, 2025 [https://24newshd.tv/09-Oct-2025/musk-settles-fired-twitter-execs-undisclosed-sum]. 3. **Context of the Acquisition** - Musk's acquisition of Twitter was marked by significant layoffs, with nearly two-thirds of the workforce being let go shortly after the takeover. - The executives alleged that Musk rushed the acquisition to deprive them of stock options worth approximately $200 million that were due the day after the acquisition [https://www.graphic.com.gh/business/business-news/elon-musk-settles-former-twitter-executives-suit-over-unpaid-severance.html]. 4. **Previous Settlements** - This settlement follows Musk's agreement in August 2025 to resolve a separate $500 million lawsuit involving around 6,000 laid-off employees seeking severance payments [https://www.business-standard.com/world-news/musk-settles-suit-by-ex-twitter-ceo-parag-agrawal-over-denied-severance-pay-125100900137_1.html]. ### Summary of Findings - **Settlement Reached**: Elon Musk's X Corp has settled a $128 million lawsuit with former Twitter executives, including Parag Agrawal, over unpaid severance. - **Legal Context**: The lawsuit stemmed from allegations of wrongful termination and denial of severance payments following Musk's acquisition of Twitter. - **Confidential Terms**: While the settlement amount remains undisclosed, it is subject to conditions that could lead to the lawsuit being revived if unmet. - **Broader Implications**: This case is part of a larger pattern of legal disputes following Musk's controversial acquisition of Twitter, which has seen significant workforce reductions and multiple lawsuits from former employees. In conclusion, the settlement signifies a resolution to a high-profile legal dispute that has implications for corporate governance and executive compensation in the tech industry [https://www.latestly.com/technology/elon-musk-run-x-settles-usd-128-million-severance-pay-lawsuit-with-former-twitter-ceo-parag-agrawal-and-executives-7150785.html].