Elon Musk has secured a decisive legal win after the Delaware Supreme Court reinstated his long-disputed Tesla compensation package.
The ruling restores a 2018 pay plan valued at approximately 56 billion dollars, ending months of intense legal uncertainty.
Judges overturned a 2024 decision that had previously cancelled the package, calling that earlier sanction excessive.
The court concluded that fully voiding the agreement ignored years of performance and measurable value creation at Tesla.
The compensation plan was highly unusual, containing no salary or cash bonus and relying entirely on share-based rewards.
Those shares were tied to ambitious industrial and financial targets that many observers initially viewed as unrealistic.
Between 2018 and 2024, Tesla evolved from an emerging electric vehicle maker into a dominant global manufacturer.
Over the same period, the company’s market capitalisation surged towards and beyond the one trillion dollar mark.