Twitter owner Elon Musk has come under fire as his social media giant has been sued once again for not clearing rent dues for one of its headquarters buildings in San Francisco, California. Earlier, landlord Columbia REIT 650 California LLC sued the microblogging site while claiming Twitter defaulted rent.
Now, in the latest lawsuit, another landlord, SRI Nine Market Square LLC, alleged that Twitter failed to make payments of about $3.4 million in rent for the month of December in addition to a similar payment for January. Along with the rent payments, the landlord is not also seeking other damages.
The complaint was filed Friday in San Francisco Superior Court wherein the landlord said it drew on Twitter’s letter of credit to try to make up for the missed payments however there is still an outstanding due left to be paid for a whopping sum of $3.4 million.
Columbia REIT 650 California LLC, is also seeking damages which include the back rent, in addition to attorney fees and other costs. In 2017, Twitter agreed to a seven-year lease for the facilities. In the first full year, the monthly rent was $107,526.50 (£89,646) and steadily grew to $128,397 (£107,045) in the seventh year.
On 16 December, the landlord at 650 California Street, which is not Twitter’s primary office in San Francisco, sent the social media firm notice that it would be in default if it did not make payment within five days. The complaint claims that five days passed without payment.
Earlier in October 2022, Musk paid $44 billion (£37 billion) for Twitter, and the firm is also responsible for paying the buyout’s interest obligations of around $1 billion a year. Musk’s Tesla shares, which have lost more than half of their value since he acquired Twitter, are responsible for the majority of his fortune.
Since April, when he began accumulating shares of Twitter, he has sold approximately $23 billion (£19 billion) of the electric car company’s stock to pay for the acquisition. According to Forbes, he has even lost his title as the richest person in the world. Twitter did not comment on the controversial rent dues for its San Francisco buildings.
Musk’s Twitter is also auctioning off upscale office furniture, kitchenware, and other artefacts in addition to not paying rent and terminating employees. According to estimates, around three-quarters of Twitter’s workforce quit, were fired, or were laid off.
You can now write for wionews.com and be a part of the community. Share your stories and opinions with us here.
For all the latest business News Click Here
