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Musk’s X settles lawsuit with former Twitter executives over $128 million in unpaid severance Technology

Michael Johnson by Michael Johnson
October 9, 2025
in Business & Economy
Reading Time: 2 mins read
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Elon Musk and

The former executives claim Musk falsely accused them of misconduct and forced them to leave Twitter after they sued him for trying to renege on his offer to buy the company. The plaintiffs are Parag Agrawal, former CEO of Twitter; Ned Segal, former CFO of Twitter; Vijaya Gadde, its former legal director; and Sean Edgett, its former general counsel. Musk and X have denied any wrongdoing and said the executives were fired because of their performance.

Terms of the settlement, which were first announced in a filing in San Francisco federal court last week, were not disclosed.

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Musk then refused executive severance packages they had been promised for years before acquiring Twitter, according to the lawsuit. The plaintiffs claim they are each owed a year’s salary and hundreds of thousands of dollars in stock options. X and lawyers for the former Twitter executives did not immediately respond to requests for comment.

In August, The cases are part of a series of legal challenges that Musk, the world’s richest person, faced after acquiring Twitter for $44 billion in 2022, cutting more than half of its workforce and renaming it X.

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