Twitter Faces Another Lawsuit; It’s Former PR Agency Sues It For Unpaid Bills

Social media giant Twitter has become a target of its former Public Relations firm, Joele Frank for non-paymet of invoices. The PR firm has filed a lawsuit against the company claiming that ever since Elon Musk’s $44 million buyout, the social media platform has failed to settle outstanding invoices. According to the lawsuit filed in the New York State court Manhattan, Twitter owes the company a whopping amount, totaling USD 830,498, encompassing six unpaid invoices. It also includes costs incurred for a subpoena of Twitter’s legal battle to compel Musk to purchase the company when he tried to back off from the deal.

Joele Frank claims that Twitter terminated their contract on November 16, just three weeks after the buyout was complete, and that since then there has been no communication regarding the payment demand other than an automated promise to start processing right away.

It’s important to note that Twitter, also known as X Corp, no longer has a press office. The business sent an emoji of a poop in response to a request for comment regarding the lawsuit. Despite being copied on the inquiry, Musk’s attorney has not yet provided a prompt response.

According to their complaint, Twitter’s PR agency had been Joele Frank since January 2015. The firm’s lawsuit is the latest in a long line of legal actions taken against Twitter by landlords, suppliers, and consultants who are demanding payment for unpaid invoices that Musk inherited when he bought the business and later significantly reduced costs.

In Delaware, three former executives, including Parag Agrawal, whom Musk replaced as CEO, are suing Twitter in addition to Joele Frank. The plaintiffs claim that Twitter breached its duty to pay back more than $1 million in legal fees.

Despite a dip in advertising revenue, Musk, the second-richest person in the world and CEO of Tesla Inc., has stated that he believes Twitter will generate positive cash flow as early as this quarter. According to reports, Musk believes Twitter’s value has decreased by more than 50% since his purchase. The New York State Supreme Court, New York County, is currently hearing the case, which is titled JF Associates LLC v. X Corp.