Last month I wrote about Justine Musk and her unusual approach to her pending California divorce from billionaire investor Elon Musk. Justine, a novelist who specializes in supernatural thrillers, had taken to blogging about her settlement negotiations with Elon. As I noted at the time, she was demanding stakes in two of his business ventures as well as $6 million in cash, the couple’s house, child support and alimony. There was speculation at the time that her demand for ten percent of Tesla Motors could complicate the company’s plans to go public later this year.
The good news for investors is that the company now says the Los Angeles divorce case will not “affect its plans to list its shares,” adding, according to the Reuter News Agency, that Tesla “does not rely on (Elon Musk) to provide further funding.” The news agency reports that in an SEC filing last week the company stated “we do not believe that Mr. Musk’s personal financial situation has any impact on us.”
The week’s other Musk headline, however, concerns Elon’s ‘personal financial situation’: the billionaire co-founder of PayPal now claims to be having money problems. According to the Silicon Valley Business Journal, Elon Musk recently said “in legal filings that he has been getting by ‘on personal loans from friends since October 2009 and spending $200,000 a month while making far less.'” The Business Journal, citing the blog Venturebeat, says Elon contended in a February court filing that has now come to light, that he has “run out of cash.”
We can all speculate on how one might find ways to economize on a $200K per month lifestyle – but the divergent pictures of Elon Musk’s finances are a reminder of why anyone contemplating an Orange County, Los Angeles County or Southern California divorce needs to spend time talking strategy with an Orange County divorce lawyer. Simply put: Justine Musk still believes her husband to be loaded. He says he is broke. Sorting through claims like these to find the truth and reach a fair settlement is what Orange County family law and divorce attorneys do.
An experienced Orange County or Los Angeles divorce lawyer can walk clients through the procedures necessary to get the information a spouse may be withholding, protecting a client’s rights and his or her future.
Reuters: RPT – Tesla says not affected by CEO’s divorce dispute
Silicon Valley Business Journal: Tesla CEO gets by with help from friends