Delaware judge accused of bias reassigns Musk cases

By Tom Hals

WILMINGTON, Delaware, March 30 (Reuters) - The main justice connected Delaware's firm tribunal said she volition reassign 3 cases involving Elon Musk to debar unnecessary media attraction aft the billionaire entrepreneur complained that her enactment connected societal ‌media had shown bias against him.

Chancellor Kathaleen McCormick of the Court of Chancery said she was reassigning 3 cases against ‌Musk and Tesla committee members that are perchance worthy billions of dollars aft the defendants said she supported a station connected LinkedIn celebrating a assemblage verdict against Musk successful ​an unrelated securities fraud case.

"As should beryllium obvious, disproportionate media attraction surrounding a judge’s handling of an enactment is detrimental to the medication of justice," McCormick wrote successful her missive to the ineligible teams successful the 3 cases, adding she was not biased against the defendants. She besides said the question for her recusal was based connected the mendacious premise that she was supportive of the LinkedIn post.

The defendants' question included a ‌screenshot of a LinkedIn station by a assemblage ⁠consultant that congratulated the ineligible teams that led a national securities fraud lawsuit against Musk for "standing up for the small feline against the richest antheral successful the world." It showed McCormick had supported the station utilizing ⁠her idiosyncratic LinkedIn account.

In a missive to the ineligible teams past week, McCormick said she had not work the station and reported the incidental arsenic suspicious enactment to LinkedIn.

The defendants said if McCormick yet sided with Tesla's shareholders, her ruling would beryllium tainted by her "support" for the radical lasting up ​to ​Musk.

McCormick said she would prime a clip for the reassignment to instrumentality spot ​and directed the attorneys who requested the determination to ‌attend to "witness what they requested."

After McCormick posted her missive connected the tribunal docket, Tesla shareholder David Wagner dismissed his case. Wagner sued successful 2022 alleging the Tesla committee failed to enforce a 2018 statement with the Securities and Exchange Commission that required Musk to get Tesla support for societal media posts astir the company.

Attorneys for the shareholders and defendants did not instantly respond to requests for comment.

Musk has attacked McCormick and Delaware courts since her ruling successful 2024 stripping him of his grounds wage bundle from Tesla aft she recovered the committee ‌breached its fiduciary duties to shareholders successful approving it. The Delaware Supreme Court ​reinstated the wage package, worthy much than $100 billion, successful December.