Topline
Former CNN anchor Don Lemon sued Elon Musk on Thursday for breach of contract, claiming Musk refused to pay him for an exclusive deal with social media platform X that was canceled after a tense interview between the anchor and the billionaire.
News anchor Don Lemon hosts the Ellie Awards 2018 in New York City.
Key Facts
Lemon, who claims that Musk refused to pay him after the deal fell apart in March, is suing Musk for fraud, negligent misrepresentation, misappropriation of name and likeness, and unjust enrichment in addition to breach of contract.
Lemon claims Musk made “false promises” about the details of the exclusive partnership with X, concealed important information from him and deceptively used his name to promote the X brand.
According to the lawsuit, filed in San Francisco state court, Lemon had expended resources in preparation for the deal–including forming his own media company, purchasing production equipment and entering into production deals with content companies.
The partnership was an agreement to have Lemon host his own shows on X, formerly known as Twitter, in a deal worth $1.5 million annually in addition to advertising revenue, but fell apart after a tense recorded interview with Musk.
Forbes has reached out to Musk and X for comment.
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Key Background:
Musk, who purchased Twitter for $44 billion in 2022 before rebranding the platform as X, has faced criticism for the platform’s lack of content moderation, while some major advertisers left the platform after Musk’s takeover. Musk later invited figures like Lemon to develop followings on the platform, signing the likes of former Rep. Tulsi Gabbard, a Democrat-turned-independent from Hawaii, and sports host Jim Rome on exclusive deals. After revenue plunged, he implored advertisers to return to X, and later claimed 65% of advertisers on the platform had returned. Lemon was fired by CNN after 17 years with the network following controversial on-air comments, and is still allowed to post content on X even after the deal fell through.
Forbes Valuation:
Forbes estimates Musk’s net worth at roughly $234.7 billion, giving him the coveted title of world’s wealthiest person.
Further Reading:
