Elon Musk has filed a 165-page countersuit against Twitter, claiming its misrepresentation of its true user base numbers constitutes fraud, breach of contract and violation of the Texas Securities Act.
Musk’s filing alleges that “the “key metrics” Twitter uses to evaluate the number of users on its platform” were misrepresented.
“They contain numerous, material misrepresentations or omissions that distort Twitter’s value and caused the Musk Parties to agree to acquire the company at an inflated price,” the filing claims.
“Twitter’s Complaint, filled with personal attacks against Musk and gaudy rhetoric more directed at a media audience than this Court, is nothing more than an attempt to distract from these misrepresentations.
“In fact, that has been Twitter’s strategy all along: to distract from and obfuscate the truth about its disclosures—first from its investors and then from the Musk Parties when they began to discern the truth.”
Twitter calls Musk’s version of events “a story, imagined in an effort to escape a merger agreement that Musk no longer found attractive.”
The case will go to trial on October 17.