Elon Musk's $56 billion salary deal has been cancelled.

The judge in the USA ruled that Tesla Chief Executive (CEO) Elon Musk's salary package could be canceled on the grounds that it was determined unfairly by the company's board of directors.

Delaware Court Judge Kathaleen McCormick expressed her opinion in the case filed by company shareholder Richard Tornetta. Stating that Musk's salary package of approximately $ 56 billion is an incredible amount and was determined unfairly by Tesla's board of directors, McCormick noted that the plaintiff has the right to cancel.

"He was determined to turn his attention to the company."
Tesla executives argued that the salary, which helped Musk become one of the richest people in the world, was made to ensure that one of the world's most dynamic entrepreneurs continued to devote his attention to the company. However, the judge ruled that Tesla and Musk's lawyers "failed to prove that their shareholders were fully informed."

There is a right to object
McCormick stated that the decision was made in favor of the plaintiff, the parties will discuss some type of final rule to implement this decision and submit a joint letter addressing all issues to finalize this issue at the trial level. The decision may be appealed to the Delaware Supreme Court.

Musk reacted to the decision
Sharing a post on the subject on his X account, Elon Musk said, "Never establish your company in the state of Delaware."
"It's a good day for good men"
Greg Varallo, an attorney for Tesla shareholder Richard Tornetta, who filed the lawsuit in 2018, said in an email reported by Reuters news agency that it was a good day for the good guys.

Tesla's shares decline
Tesla's shares fell nearly 3 percent in New York trading. It has lost more than 20 percent of its value so far this year.