Musk was reprimanded by a judge for not turning over text messages that could be evidence in the case.
There were deficiencies in the way Musk and his lawyers responded to a request for text messages about the proposed deal, according to a Delaware Chancery Judge. The men were told to turn over their phone records.
She said that third parties produced text messages with Musk that weren't his. There were gaps in some of the exchanges he produced. She noted that Musk's legal team moved to clear up some of the problems they were accused of.
Alex Spiro wouldn't comment on the ruling about the texts. The representatives didn't reply to the email.
Robert Steel sent Musk two texts in 18 minutes. Steel asked a question and then sent a text. It's got it... The judge said that the second text clearly showed that Musk replied to the first, but he didn't turn it over to the social networking site.
One would expect some evidence of Musk's response in defendants' document production if it was not telepathy. The defendants didn't provide anything by the deadline.
The judge said that most of the burden in collecting and handing over information in the case has been done on social media. The company's request for all Musk's and Birchall's texts was too extreme to be taken lightly.
The whistle-blower claims made by an ex- company executive bolster Musk's reasons for walking away from the deal. The judge denied Musk's request to change the trial date.
In New York, the company's share price rose to $41.09.
Musk can use whistle-blower claims in the buyout fight.
Musk and the company are at odds over whether or not the company should turn over the messages that were posted about Musk pulling out of the deal. Musk's legal team accuses the social network of not handing over the communication.
Musk's lawyers complained that the task of reviewing the communications was too much for the company to give up.
At a hearing on Tuesday, arguments were heard, but no decision was made.
There is a case in the Delaware Chancery Court.
(Updates with details on fight over Slack messages starting in ninth paragraph.)