Jury to Decide if Musk's Twitter 'On Hold' Tweet Was Fraud

Investors claim Musk's social media posts were part of a plan to drive down Twitter's stock price.

Mar. 17, 2026 at 10:09pm by Ben Kaplan

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A San Francisco jury will decide whether Elon Musk defrauded Twitter investors with a 2022 tweet stating the $44 billion deal to buy the platform was 'temporarily on hold.' Investors claim Musk's social media posts and statements were part of a deliberate plan to drive down Twitter's stock price so he could renegotiate at a better price. Musk argues he had genuine concerns about Twitter's spam and bot issues that led to his misgivings about the deal.

Why it matters

This case could result in Musk being held liable for billions in damages if the jury finds his tweets were fraudulent. It highlights the legal risks tech leaders face over their social media activity and statements, especially around major corporate transactions.

The details

The eight-person jury heard three weeks of testimony from Musk and Twitter executives about the turbulent six-month period in 2022 when Musk flip-flopped over whether to purchase the platform. Investors claim Musk's May 13 tweet stating the deal was 'on hold' was part of a deliberate plan to drive down Twitter's stock price. Musk argues he had genuine concerns about Twitter's spam and bot issues that led to his misgivings about the deal.

  • The jury began deliberations on Tuesday, March 17, 2026.
  • Musk's disputed tweet was posted on May 13, 2022.
  • Musk agreed to buy Twitter at the original $54.20 per share on October 3, 2022.

The players

Elon Musk

The world's richest person who agreed to buy Twitter for $44 billion in 2022.

Twitter Inc.

The social media platform that Musk agreed to purchase for $44 billion.

Mark Molumphy

An attorney representing the Twitter investors suing Musk.

Michael Lifrak

An attorney representing Elon Musk.

Parag Agrawal

Twitter's CEO during the disputed 2022 acquisition.

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What they’re saying

“Mr. Musk's tweets were not some innocent mistakes, some stupid tweet that he didn't consider. They were intentional, deliberate, and devised to convey to investors that Twitter was overrun with spam.”

— Mark Molumphy, Attorney for Twitter investors

“Mr. Musk literally had no proof for these tweets that he issued.”

— Mark Molumphy, Attorney for Twitter investors

“Of course people were talking about a renegotiation once this bot issue came up. There was no secret about that.”

— Michael Lifrak, Attorney for Elon Musk

What’s next

The eight-person jury will determine whether Musk made material false statements in his May 2022 tweets or podcast interview. If he is found liable, they will then calculate the amount Twitter's stock was artificially deflated by Musk's statements.

The takeaway

This case highlights the legal risks tech leaders face over their social media activity, especially around major corporate transactions. The jury's verdict could result in Musk being held liable for billions in damages if his tweets are found to be fraudulent.