Several companies have sued Elon Musk-in possession Twitter for non-payment of bills. According to legal and public records Database According to Plainsite, lawsuits for non-payment of bills have been increasing since December 2022. In February 2023, four lawsuits were filed against the company.

The most recent lawsuit was filed by a company called Writer, Inc. reports CNBC. Court filing in California Superior Court in San Francisco shows Twitter failed to pay $113,856 to Writer, Inc.

Five other companies that have sued Twitter for non-payment and breach of contract are Blueprint Studios Trends, an event planning and production company; Private Jet Services Group, a provider of private jet transportation services; Innisfree M&A, an M&A advisory firm; Analysis Group, which provided litigation-related advisory services to Twitter and its San Francisco lessor, Columbia REIT.

according to a report through platformers, Twitter has some catching up to do with payments, including the internal communication platform, even with larger companies Relaxed heard Foreclosure.

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“We do not comment on pending litigation or various speculations about Twitter’s financial health,” CNBC quoted Twitter’s vice president of Product, Trust & Safety as saying. Ella Irwinreplies by email.

CNBC quoted a finance professor from Vanderbilt University Josh T. White that seller default litigation could be the result of an improper and aggressive capital structure.

“Using more debt and less equity reduces the amount of cash Musk and his equity co-investors had to contribute at closing, which can potentially generate a higher internal rate of return if the company turns out to be profitable,” White said .

Musk bought Twitter for $44 billion. The social media company reported a net loss of $270 million for the second quarter ended June 30, 2022, compared to a…