Elon Musk has reportedly reached a confidential settlement with several former Twitter executives, including ex-CEO Parag Agrawal, former CFO Ned Segal, and former legal chief Vijaya Gadde. The executives filed a lawsuit in 2023 claiming Musk’s X Corp. (previously Twitter) failed to pay them around $128 million in severance following his $44 billion takeover of the company in October 2022.

Executives Claimed ‘Personal Vendetta’ by Musk

According to court filings, the executives accused Musk of conducting a “personal vendetta,” deliberately withholding severance and bonuses owed to them under their employment contracts. The lawsuit alleged that Musk terminated them “without cause” in an attempt to avoid paying contractual benefits, including salary continuation, stock options, and insurance coverage.

Settlement Terms Remain Confidential

While details of the agreement were not disclosed, sources familiar with the case said the settlement brings an end to one of the most contentious legal battles stemming from Musk’s chaotic Twitter acquisition. Neither Musk’s legal team nor the executives’ representatives commented publicly on the exact amount or conditions of the deal.

Part of Broader Legal Challenges Against X Corp

This case is one among several legal disputes faced by X Corp. since Musk’s takeover. The company has been accused of failing to pay severance to thousands of former employees laid off during Musk’s massive restructuring efforts in late 2022 and early 2023. Some ex-staffers continue to pursue claims over unpaid compensation and benefits.

Musk’s Leadership and Rebranding of Twitter

Under Musk, Twitter underwent a sweeping transformation — from large-scale layoffs and policy overhauls to its rebranding as “X.” The billionaire’s cost-cutting measures aimed to stabilize the platform’s finances but also triggered numerous lawsuits and labor complaints. The recent settlement suggests Musk is now seeking to clear ongoing legal hurdles as X pursues new revenue and AI integration strategies.

What the Settlement Means Going Forward

Legal experts suggest that this settlement could mark a shift in Musk’s approach toward litigation tied to his management style. By resolving a case involving Twitter’s top leadership, Musk may be aiming to improve corporate relations and public perception as X moves toward expansion in digital payments and AI-driven features.