Elon Musk’s legal team is pushing back against a recent jury verdict. The jury found that Musk defrauded investors during his takeover of Twitter. Now his lawyer says the jurors didn’t take their job seriously — and as a result, the judge should take a closer look.
In a letter filed Thursday in San Francisco federal court, attorney Alex Spiro accused the jury of “mocking” Musk. His evidence? Someone wrote “$4.20” in bright blue ink on the verdict form, while every other entry appeared in black.
Why the number 420 matters
The number 420 carries strong ties to marijuana culture. Over the years, Musk has referenced it repeatedly in interviews, tweets, and business decisions. Most notably, he priced his $44 billion Twitter buyout at $54.20 per share. On top of that, he once cut the price of a Tesla Model S by 4% — landing it at exactly $69,420.
Because of this history, Spiro called the blue-ink figure a “numerical joke” that was “no doubt intentional.” Furthermore, he argued it raises serious questions about the March 20 verdict. Damages from that ruling could reach $2.5 billion. As a next step, Spiro urged U.S. District Judge Charles Breyer to conduct “further inquiry” into the matter.
In his filing, Spiro wrote that the jury “felt it appropriate to use its verdict to send a message to Mr. Musk.” Instead of doing that, he argued, the panel should have carried out its “solemn duty to render a just verdict.”
Investors’ lawyers push back
However, the investors’ attorneys fired back quickly. Lawyers Frank Bottini and Mark Molumphy issued a joint statement calling Spiro’s letter meritless.
“It is unfortunate that Musk has again decided to criticize the court and the jury, rather than take accountability for his own conduct,” they said. In addition, they described the jury as “extremely diligent” and pointed to what they called “overwhelming evidence” at trial.
What the case is actually about
At its core, the case centers on statements Musk made shortly after announcing the buyout. Specifically, he publicly questioned whether Twitter had a major problem with fake accounts and spam bots. Investors argued he did this to pressure the company into renegotiating — or to find a way out of the deal entirely.
In the end, the jury agreed on two of those statements and found Musk liable for misleading investors. On the other hand, they did not hold him liable for a third statement about bots. They also rejected a broader claim that he engaged in a scheme to defraud.
According to investors, Musk’s comments drove down Twitter’s stock price. Consequently, many sold their shares at depressed levels and suffered losses. The acquisition ultimately closed in October 2022, and Twitter now operates under the name X.
Musk and 420: a long history
This isn’t the first time the number 420 has surfaced in Musk’s business dealings. Back in 2018, he tweeted that he had “funding secured” to take Tesla private at $420 per share. That post triggered a civil fraud lawsuit from the SEC. Eventually, Musk settled the case.