Elon Musk-led Twitter has been sued by at least six companies for failing to pay bills

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Elon Musk is facing a pile of lawsuits over non-payment to vendors at Twitter.

In the newest complaint, filed in California Superior Court in San Francisco, Writer says that Twitter failed to pay a bill for the relatively humble amount of $113,856.

Previously known as Qordoba, Writer describes itself as an AI company that helps employees create content that meets their employer's standards for brand, copy, and other style guidelines.Twitter's Vice President of Product, Trust & Safety, Ella Irwin, told CNBC via e-mail, "We do not comment on pending litigation or various speculation surrounding Twitter's financial health.

Vanderbilt University finance professor Josh T. White, a former SEC economist, agreed the moves are unusual, and said litigation over nonpayment to vendors could result from "incorrect and aggressive capital structure."White explained that the high debt level is aggressive for a company with volatile and sometimes even negative free cash flow, such as Twitter had experienced in the past three years.

Leveraged buyouts more often target companies with stable cash flows that can be used to service debt and generate a tax shield by deducting interest expense, he wrote. "Using more debt and less equity reduces the amount of liquid cash Musk and his equity co-investors had to contribute at closing, which can potentially generate a higher internal rate of return if the company turns out to be profitable," White said.

 

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That’s right out of the dense Donald playbook

He’s following trump’s pattern.

Elon has the best attorneys money can buy I’m sure they’re very intimidated

NBC should be sued for not reporting this.

If he would only bow down to the liberal democrat golden calf, it would all go away. Elon just submit.

Terrible

Pay your bills, dude.

The propaganda news is back to bashing Elon.

Every one of those vendors should terminate services forthwith

He looks worse than Trump doing this. Musk actually has a lot of money. Trump don't.

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