Tesla Board to Return Nearly $920 Million in Excess Compensation Settlement

A Delaware judge approved the settlement, resolving allegations of overpayment to Tesla directors from 2017 to 2020 without admission of wrongdoing.

Tesla directors, including Robyn Denholm, Larry Ellison, and James Murdoch, will collectively return $277 million in cash and $459 million in stock options.
The settlement also requires directors to forgo stock options worth $184 million for the years 2021-2023.
The lawsuit, brought in 2020 by the Police and Fire Retirement System of the City of Detroit, accused the board of excessive compensation practices.
Chancellor Kathaleen McCormick of Delaware's Court of Chancery approved $176 million in legal fees for the firms that pursued the case on a contingency basis.
The settlement does not assign individual repayment amounts and includes no admission of wrongdoing by the directors or the company.