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Home»Celebrity»Elon Musk in Hot Water, Sued for ‘Fraud’ After Canceling a Deal

Elon Musk in Hot Water, Sued for ‘Fraud’ After Canceling a Deal

Elon Musk messed with the wrong one

Fiyin OlowokandiBy Fiyin OlowokandiAugust 2, 20243 Mins Read
Elon Musk in Hot Water, Sued for 'Fraud' After Canceling a Deal
Image Source: donlemon/X

Elon Musk is embroiled in legal drama thanks to Don Lemon. The former CNN news anchor is suing the tech mogul over the cancellation of The Don Lemon Show, slated to launch exclusively on X earlier this year. However, after Lemon’s controversial interview with Musk in March, the billionaire abruptly terminated the deal. Now, the journalist is going to war.

In court documents, Lemon alleged that Musk backed out of their deal after using his journalistic reputation to attract advertisers. The Don Lemon Tonight host revealed his communication with Musk began in May 2023. CNN just fired him at the time. He claimed that the Tesla CEO, aware of his “vulnerable” state, publicly promoted the idea of an exclusive partnership deal with X. Although Lemon was hesitant because of the platform’s controversies, Musk assured that he would have full control over his show. The tech billionaire also promised Lemon wouldn’t have to “fill out paperwork.”

Related:

Elon Musk Says Being Harassed on Social Media Rarely Has a “Meaningful Negative Impact” on People’s Lives

Amid his reluctance, Lemon met with Linda Yaccarino, X CEO, and Brett Weitz, head of content, talent, and brand sales, in December 2023. They reiterated Musk’s message, assuring him he will have full authority and full support from X. “You’re set up for a lot
of $$ this year. You’re gonna make money faster than you think
,” read a December 30th text from Yaccarino to Lemon.

Elon Musk Refused To Pay Don Lemon A Dime

The Don Lemon Show episode 1: Elon Musk

TIMESTAMPS:
(02:23) News on X
(10:07) Donald Trump and Endorsing a Candidate
(13:04) The New Tesla Roadster
(16:46) Relaxation and Video Games
(17:54) Tweeting and Drug Use
(23:19) The Great Replacement Theory
(30:03) Content Moderation… pic.twitter.com/bLRae4DhyO

— Don Lemon (@donlemon) March 18, 2024

Per the lawsuit, on January 8, Lemon was offered a deal. X would pay him $1.5 million — $200,000 paid up-front within 3 business days — alongside added benefits. They gave Lemon the option to renew two times at the same terms and received 60% of the gross revenue from the advertising generated by his content. Additionally, he would receive “performance threshold” payments based on followers reached. The 58-year-old TV personality further alleged he was “rushed” into agreeing to the deal. Musk and his team threatened to withdraw the deal unless Lemon attended the CES Conference in Las Vegas. They also ordered him to announce the partnership on social media on the same day.

All was well between Lemon and the X team until his interview with Musk aired on March 8, 2024. The journalist alleged that just one day after, Musk texted him, “Contract is canceled.” To make things worse, Weitz told Lemon over the phone that X wouldn’t pay him or follow through with the deal because there was no signed agreement. However, the lawsuit claimed both parties had an “express agreement.” Lemon’s lawyer, Carney Shegerian, in a statement to Deadline, said:

“This case is straightforward. X executives used Don to prop up their advertising sales pitch, then canceled their partnership and dragged Don’s name through the mud. You don’t have to be a genius to see the fraud, negligence, and reputational damage here.”

Related:

The Most Controversial Comments From Elon Musk’s Interview With Don Lemon

Lemon is suing Musk and other defendants for unspecified damages. He accused them of fraud, negligent misrepresentation, breach of express contract, and misappropriation of name and likeness, among other things. The Space X founder is yet to publicly comment on the lawsuit.

Related Topics
Elon Musk
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Fiyin Olowokandi
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Fiyin is a pop culture junkie with over four years of experience as an entertainment writer. She believes Beyoncé is the best thing to happen to this world.

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