New York (CNN Business) A Delaware judge ruled that Tesla's board of directors must stand trial to defend chief executive Elon Musk's multibillion dollar pay package.

The electric car company was sued by a shareholder in June 2018 over allegations of corporate waste and unjust enrichment. A judge on Friday denied Tesla's request to dismiss the lawsuit.

Vice Chancellor Joseph Slights, of the Delaware Court of Chancery, wrote that while Tesla disputed how much the package is worth, "it is reasonably conceivable" that the award is "well in excess of that paid to Musk's peers."

Tesla did not immediately comment on Saturday about the decision.

In a February 2018 proxy statement, Tesla's board wrote that it created this pay package to incentivize Musk to grow Tesla's market capitalization. "The basic premise is simple — Elon's compensation will be 100% aligned with the interests of our stockholders," the board wrote