X Corp, the social media company formerly known as Twitter, and owner Elon Musk have asked a Delaware federal judge to dismiss one of several lawsuits claiming they failed to pay promised severance to laid-off employees.
X, in a filing in Wilmington, Delaware federal court on Monday, said six former employees who sued the company in May were not parties to a 2022 merger agreement between Twitter and a Musk-owned holding company, so they cannot sue them for allegedly breaching it.
Lawyers for Musk in a separate filing said claims against him should be tossed out because he did not sign a specific provision of the merger agreement involving employee benefits, including severance pay. The plaintiffs, who were based out of New York, California and Texas and had held various senior roles at Twitter, say the company failed to pay them severance totaling more than $1 million after they lost their jobs last year.
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