The outcome of the negotiations, which face a Thursday deadline, could alter the unique punishment Mr. Musk agreed to in the settlement with the Securities and Exchange Commission, which had alleged the Tesla chief executive misled investors with tweets saying he had funding in place to take the car maker private.
“They want the remedy to work in the future, that is why they might have to address that language,” said Andrew Vollmer, a law professor at the University of Virginia. “I hope both will be trying to find a standard of conduct that Musk feels he can meet and that the SEC deems to be sufficiently protective of the market.”
‘Enforcement 40’ for 2020
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