Elon Musk Enters the Restaurant Scene with Tesla Diner in Hollywood
Elon Musk is making a move into the restaurant business with the upcoming opening of Tesla Diner in Hollywood, California.
In a separate development, Musk’s social media venture, X Corp, has come to a preliminary agreement aimed at settling a lawsuit from a former employee, when the company was still known as Twitter.
Details about the settlement emerged in court documents on Wednesday, where both parties requested the U.S. Court of Appeals to postpone upcoming hearings. This delay would allow them to settle payments to laid-off employees and finalize the deal to resolve the case. The 9th U.S. Circuit Court of Appeals granted the postponement on Thursday.
The San Francisco Court was set to hear arguments on this matter on September 17th.
Musk Threatens Legal Action Against Apple
Interestingly, Musk has also made headlines by suggesting he might take Apple to court for not including the X and Grok apps on their platform.
Although the specific financial aspects of the settlement with the former employees remain undisclosed, it aims to resolve a proposed class action lawsuit initiated by former staff members Courtney McMillian and Ronald Cooper.
Last year, a federal judge dismissed the case but the plaintiffs took their lawsuit to the Ninth Circuit.
About 6,000 employees were terminated following Musk’s acquisition of the social media platform in 2022.
Several workers have since taken legal action over various issues, including severance benefits.
Background of the Lawsuit
The lawsuit from McMillian and Cooper asserts that a retirement plan established in 2019 guaranteed most employees two months’ base salary for each year worked.
McMillian, a senior employee who was in charge of the benefits program, claims she and others are owed salaries equivalent to six months of their pay.
However, according to the lawsuit, the company only provided severance payments for a maximum of one month, leaving many without any benefits at all.
Pending Cases and Continuing Challenges
Other lawsuits are still ongoing, including claims from former CEO Parag Agrawal and others. Musk’s effort to trim the workforce at X Corp mirrors his strategy earlier this year, where he aimed to cut down on government employment in Doge.
