Elon Musk’s social media startup is being sued by California Property Trust, the owner of the structure where Twitter’s offices are located, for failing to pay $136,250 in rent.
The Hartford Building, located at 650 California Street in San Francisco, is where Twitter has a lease for the 30th floor.
According to Bloomberg (via The Verge), the company informed Twitter on December 16 that it would be in default on its contract if it didn’t pay its past-due rent within five days.
Twitter was said to have disobeyed the order by California Property Trust in a complaint submitted this week to the San Francisco County Superior Court.
The New York Times reported on December 13 that Twitter had just stopped paying rent on all of its international locations to reduce costs.
In addition, the business is being sued for failing to reimburse Musk for $197,725 in charter flights he took during his first week working for Twitter.
In the same time frame, Musk is said to have bolstered Twitter’s legal team with “more than half a dozen” attorneys from SpaceX.
Musk and other executives reportedly discussed the potential repercussions of postponing severance payouts for the thousands of workers who were let go in the first week, according to The Times.
After he gained control of Twitter, Musk reportedly pondered terminating numerous workers without providing them prior notice.
In the end, he consented to pay US workers at least two years’ worth of wages and one month’s worth of severance. This made sure that the business complied with all applicable federal and state labor laws.
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