Elon Musk's X, formerly known as Twitter, is facing a lawsuit from the landlord of its San Francisco headquarters who seeks $13.6 million to refill a line of credit after the company allegedly failed to pay rent.
Landlord of Elon Musk's X Headquarters Seeks $13.6 Million in Lawsuit
According to the San Francisco Chronicle, landlord SRI Nine Market Square LLC sued X last year, alleging nonpayment of rent at 1355 Market St.
Court documents revealed that X's $3.6 million line of credit was depleted after being utilized to cover rent bills for December 2022 and part of January 2023. The plaintiff, associated with Shorenstein and JPMorgan Chase, demands that X replenish the line of credit to its previous value and raise it by another $10 million.
The landlord said X's original 2011 lease agreement calls for an increase if the company is ever sold. Despite a November 2022 request by the landlord to expand the line of credit after Elon Musk's Twitter acquisition, X allegedly failed to comply.
However, X's lawyers denied the nonpayment claims, saying the company already paid rent in December 2022, January 2023, and February 2023. Thus, they noted that the plaintiff's complaints were not valid.
The landlord, seeking summary adjudication in its favor before the May 6 trial, attached documents including corporate disclosures, a Securities and Exchange Commission (SEC) filing, and a Delaware filing showing Twitter Inc. was merged with X Corp. and that Twitter was no longer a legal entity. Elon Musk shifted Twitter's name to X in July 2023.
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Elon Musk's SpaceX Receives $3,600 Fine
Reuters reported that Elon Musk's rocket company, SpaceX, recently received a $3,600 fine from US worker safety officials following an accident in its Washington state site that led to a worker's "near amputation."
The outlet said SpaceX has yet to respond to its questions about this incident and other accidents in its facilities nationwide, including a worker's death and the injury of another who remains in a coma after fracturing his skull during a rocket engine malfunction in 2022.
Reuters has documented at least 600 previously unreported injuries of SpaceX workers since 2014. The outlet's investigation late last year found that Musk's company disregarded worker safety regulations and standard practices in its facilities.
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