Investor Suit Against Tesla Board Members Stemming From Merger Deal Dismissed

Mealey's (August 2, 2019, 8:14 AM EDT) -- SAN JOSE, Calif. — A federal judge in California on July 31 held that Tesla Inc. shareholders may not recover profits received by members of the company’s board of directors after a merger deal with a solar energy company because each of the defendants’ acquisitions of Tesla shares was with the issuer and because the transactions were approved by Tesla’s board (John A. Olagues, et al. v. Elon Musk, et al., No. 18-7110, N.D. Calif., 2019 U.S. Dist. LEXIS 128074)....