According to reports, Musk is implementing extreme cost-cutting measures in order to make his company a more profitable one.
According to the New York Times, Musk has told employees to stop paying vendors at the company and that it has stopped paying rent for its offices. The New Hampshire lawsuit was cited by The Times as one of the reasons why Twitter refused to pay for private plane flights taken in October.
In an effort to save money, Twitter laid off 50% of its more than 7,000-person workforce, promising that fired US-based employees would get 3 months' pay, including 60 days of salary, and one month of severance. According to the Times, Musk's team is considering the possibility of not paying the severance at all, which could lead to lawsuits from disgruntled workers.
Office supplies have been listed for auction by the social media site.
A request for comment from Insider was not responded to.
According to the Times, Musk appears to be trying to save money. A potential class-action lawsuit from former employees is one of the reasons why the Federal Trade Commission is investigating the social networking site. Musk has brought in lawyers from one of his other companies to help run the legal department atTwitter.
The company owes $1 billion in annual payments to banks due to the money Musk borrowed to finance his purchase of the micro-blogging site.