Former Twitter CEO Parag Agrawal sues Elon Musk's firm over unpaid legal fees

Three former Twitter executives, including former CEO Parag Agrawal, sued the microblogging company on Monday (April 10), reported multiple news outlets. The three executives have alleged that they own reimbursement for more than $1 million in legal fees. The executives are former CEO Parag Agrawal, chief legal officer Vijaya Gadde, and chief financial officer Ned Segal. Twitter agreed to indemnify the execs in the case of litigation or other situations where they required counsel, as per the lawsuit, filed in Delaware Chancery Court.

According to them, the firm has failed to uphold those agreements following their departure. Two months after the plaintiffs asked for payment in writing, the company offered only “a cursory acknowledgement of receipt, but still refused to acknowledge its obligations”. In October 2022, Elon Musk took over Twitter completely on Thursday evening and immediately fired some of the executives, including former CEO Parag Agrawal. The chief executive officer Parag Agrawal was handpicked successor of cofounder Jack Dorsey. 

 
Twitter's former CEO sued 

The legal bills have stemmed from a variety of circumstances. Gadde has been subpoenaed to testify before the House Committee on Oversight and Accountability. She has also been sued by a disgruntled Twitter user who claimed she “‘doxed’ him as a white supremacist,” said the lawsuit. Agrawal and Segal had spoken to federal authorities in connection with” inquiries by the Securities and Exchange Commission and Department of Justice. Their lawyers have been continuing to work with the authorities and the filing has continued. However, there has been no clarity over those investigations or whether the inquiries remain open. All three executives have been included in indemnification agreements with Twitter in the lawsuit. Agrawal has not yet signed as the company hasn’t yet responded to his requests for the original documentation. Since Musk's takeover, Twitter has been facing demands from the Federal Trade Commission to share internal communications related to Musk and to its business practices, as per the Republican-led House Judiciary Committee. The company has been aggressively working to cut costs. So far, the firm has shed roughly two-thirds of its staff.