Elon Musk faces trial

A lawsuit is going to trial in U.S. District Court over a tweet from Mr. Musk about taking Tesla private.

The Securities and Exchange Commission had filed a separate lawsuit over the plan, which was settled with fines to the S.E.C. and Mr. Musk stepping down as chairman of Tesla.

The investors’ lawsuit claims that the tweet was false and that Mr. Musk was “deliberately reckless” about the truth.

A senior district judge ruled last year that he agreed with the plaintiffs that the tweets were false and reckless.

The plaintiffs have to show that the money they lost on Tesla stock was tied to a statement by Mr. Musk that the court finds to be false.

Mr. Musk could prevail if the jury finds that other statements he made were true and that those statements could have caused movements in Tesla’s stock.

In court documents, his lawyers have pointed to statements that they believe fit that description.

A law professor said that “any normal defendant would settle this case, but he does have something that is worth trying.”

Mr. Musk has always struggled to show that he had the funding to take Tesla private, he may seek to introduce new evidence and testimony in court that backs him up.

His legal team subpoenaed employees of the Saudi fund, but later withdrew the subpoenas after they were deemed “legally deficient” and “frankly, frivolous.”