Supreme Court rejects Musk appeal over tweets that must be approved by Tesla

The Supreme Court has rejected an entreaty from Elon Musk implicit a colony with securities regulators that requires him to get support successful beforehand of immoderate tweets that subordinate to Tesla, the electrical conveyance institution helium leads

WASHINGTON -- The Supreme Court connected Monday rejected an entreaty from Elon Musk implicit a colony with securities regulators that requires him to get support successful beforehand of immoderate tweets that subordinate to Tesla, the electrical conveyance institution helium leads.

The justices did not remark successful leaving successful spot lower-court rulings against Musk, who complained that the request amounts to “prior restraint” connected his code successful usurpation of the First Amendment.

The lawsuit stems from tweets Musk posted successful 2018 successful which helium claimed helium had secured backing to instrumentality Tesla private. The tweets caused the company's stock terms to leap and led to a impermanent halt successful trading.

The colony with the Securities and Exchange Commission included a request that his tweets beryllium approved archetypal by a Tesla attorney. It besides called for Musk and Tesla to wage civilian fines implicit the tweets successful which Musk said helium had “funding secured” to instrumentality Tesla backstage astatine $420 per share.

The backing wasn’t secured, and Tesla remains public.

The SEC's archetypal enforcement enactment against Musk alleged that his tweets astir going backstage violated antifraud provisions of securities laws. The bureau began investigating whether Musk violated the colony successful 2021 erstwhile helium did not get support earlier asking followers connected Twitter, present X, if helium should merchantability 10% of his Tesla stock.

Musk acquired Twitter successful 2022.