Matt Levine’s Money Stuff: Texas Tempts Tesla

Texas

I can tell you, if you want, the rules that apply to Elon Musk’s pay as chief executive officer of Tesla Inc. under Delaware corporate law. They are long and boring, a lot of exceptions to exceptions, but to quickly summarize: The board can pay Musk whatever it wants, unless he is a “controlling shareholder,” in which case the pay has to be “entirely fair,” though if the shareholders vote to approve the pay then that probably makes it “entirely fair,” unless the shareholder vote is not fully informed, in which case a judge gets to decide if it was ...