Elon Musk Twitter Securities Class Action Verdict

William C. Gendron

Editor in Chief

Published

July 31, 2026 11:44 AM

Updated

July 31, 2026

Who can file a claim?

The class includes all persons and entities who sold the publicly traded stock or call options or purchased the put options of Twitter Inc. between May 13, 2022, and Oct. 4, 2022, inclusive, and suffered damages as a result.

Additional details

Both individuals and entities can be class members.
The class includes investors who held securities in their own name and those who held through a nominee or brokerage firm.
The actual beneficial owner or the legal representative of that owner must file the claim.
Joint owners must each sign the claim form.
Executors, administrators, guardians, conservators and trustees may submit claims on behalf of others and must provide proof of authority.

How much can class members get?

The amount each class member receives depends on several factors:

The number of shares sold and options purchased or sold
The damages the jury awarded for each trading day
The interest owed on those damages
The fees, expenses and service awards the court approves

The claims administrator will calculate damages under the verdict and plan of allocation, matching acquisitions and dispositions on a first-in, first-out basis:

For shares sold during the class period that class members bought beforehand, damages equal the deflation on the sale date.
For shares bought and sold during the class period, damages equal the deflation on the sale date minus the deflation on the purchase date.
For shares sold short during the class period and covered afterward, damages equal the lesser of the deflation on the sale date or the average price between the end of the class period and the covering purchase date minus the sale price.
For call options, damages equal the deflation in the option price when the class member sold the contract minus any deflation when they bought it. Each option series carries its own daily deflation amount.
For put options, damages equal the inflation in the option price when the class member bought the contract minus any inflation when they sold it. Each option series carries its own daily inflation amount.
When a class member exercises an option they hold, the claims administrator counts it as selling that contract at the exercise price. When another party exercises an option against a class member who sold it short, the administrator counts it as buying the contract back at the exercise price.
For short positions class members opened during the class period and did not close out before it ended, the Private Securities Litigation Reform Act caps damages under the same limit that applies to shares.

Deflation ranged from $2.98 to $8.44 per share depending on the trading day, and was $7.94 for May 18, 2022. The verdict form (pages 6-10) lists the amount for each trading day from May 13, 2022, through Oct. 3, 2022.

How to claim a Twitter securities class action payment

Class members can file a claim online or download, print and complete the PDF claim form and mail it to the claims administrator. The claim deadline is Nov. 24, 2026.

Claims administrator's mailing address: Twitter Acquisition Litigation, c/o Epiq Systems Inc., P.O. Box 3015, Portland, OR 97208-3015

Proof or documentation required to submit a claim

All class members must provide the last four digits of their Social Security number or taxpayer identification number. They must also provide holdings and transaction information, including:

Number of shares held at the opening of trading May 13, 2022, and Oct. 27, 2022
Trade dates for transactions from May 13, 2022, through Oct. 27, 2022
Number of shares purchased, acquired or sold
Total purchase, sale or acquisition price
Strike prices, expiration dates and number of contracts for call and put options

Claimants must also provide documentation to support their transactions in Twitter stock and options. Acceptable proof includes:

Trade confirmation slips or emails from a bank or stockbroker
Monthly, quarterly or annual bank or broker statements
Other documents reflecting transactions in Twitter stock and options

Fund breakdown

The fund will cover:

Administration costs: Amount not specified
Attorneys' fees: To be determined
Attorneys' costs: Up to $5,000,000
Service awards to class representatives: Up to $150,000
Payments to approved class members: Remainder of the fund

Important date

Deadline to file a claim: Nov. 24, 2026

When is the Twitter securities class action payout date?

The claims administrator will issue payments to eligible class members after it processes all claims and the court rules on the request for attorneys' fees, expenses and service awards.

Why did this class action happen?

The class action lawsuit alleged Elon Musk committed securities fraud by making false and misleading statements about his acquisition of Twitter. The plaintiffs claimed those statements artificially deflated Twitter's securities prices and caused losses for class members.

Musk contended the statements were accurate when he made them, that he did not intend to deceive investors and that they did not affect Twitter's securities prices. The jury found him liable on two of the three statements and rejected the plaintiffs' claim that he engaged in a scheme to defraud Twitter investors.