Elon Musk Beats Back Defamation Lawsuit Over Insulting Tweet

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(Bloomberg) -- Elon Musk beat back a defamation claim from a British cave expert who sued the billionaire CEO over a tweet in which Musk labeled Vernon Unsworth a “pedo guy.”

A federal jury in Los Angeles Friday took about an hour to return a verdict that said Musk’s insult fell short of defamation.

“We were pretty much unanimous from the word ‘go,”’ said Carl Shusterman, a 70-year-old immigration lawyer who served on a jury for the first time.

Shusterman said the verdict was straight-forward because it wasn’t clear if the tweet was actually about Unsworth, since Musk didn’t name him. The judge told the jurors that was one of the elements required to establish defamation, Shusterman said.

“My faith in humanity has been restored,” Musk said after the verdict.

It’s another win for Musk, 48, who’s managed to get out of legal trouble relatively unscathed. Musk agreed to step down from his role of chairman of Tesla Inc. for three years in 2018 to settle a U.S. Securities and Exchange Commission lawsuit over a tweet the regulator said misled investors. But he’s run Tesla and SpaceX as usual.

“It’s the last formal distraction from when Elon Musk went off the Twitter rails in 2018,” said Gene Munster of Loup Ventures. “Putting that to rest -- regardless of what the jury decided --is a step forward for Musk.”

Unsworth had sought $190 million in damages for the harm he claimed to have suffered from the tweet, and to punish Musk. Musk said he fired off the tweet in anger after Unsworth insulted him and his team in a television interview.

“I respect the jury’s decision,” Unsworth said after the verdict. “I’ll take it on the chin and move on.”

His lawyers were less gracious, repeatedly referring to Musk as a “billionaire bully.”

L. Lin Wood, one of Unsworth’s lawyers, said he wasn’t happy with the outcome. “He deserved a different kind of justice,” Wood said. Wood said he hasn’t decided whether to appeal the verdict.

The four-day civil trial featured Wood and Alex Spiro -- two heavyweights squaring off in the courtroom. Wood had represented Richard Jewell, the security guard falsely accused of being connected to the Centennial Olympic Park bombing during the 1996 Summer Olympics.

Spiro, a former prosecutor based in New York, lists rapper Jay-Z, New England Patriots owner Robert Kraft and several NBA players, including ex-Knick Charles Oakley as former clients.

Spiro issued a five-word statement after the verdict.

“The jury got it right,” he said.

It was the first time that Musk has been called as a witness at a trial, despite numerous legal spats, including one with the U.S. Securities and Exchange Commission over a tweet the regulator said misled investors.