







Securities and Exchange Commission on Saturday signed an agreement with Tesla CEO Alan Musk.





Under the terms of the settlement, Musk does not accept or reject the allegations in the agency's trial against him, but he will step down as President of Tesla's board of directors and pay a penalty of $ 20 million.





Four legal experts shared their views on settlement with Business Insider.

Securities and Exchange Commission on Saturday signed an agreement with Tesla CEO Alan Musk.





Under the terms of the settlement, Musk does not accept or reject the allegations in the agency's case against him, but he will take up the charge of Tesla's board of directors for three years and pay a fine of $ 20 million.









According to CNBC, the agency had filed a lawsuit on Thursday, after which he had rejected an agreement under which he would have to step down as a board chairman for two years, adding two independent directors to the company board And have to pay a minor penalty. The SEC alleged in the lawsuit that Mask had made "false and misleading statements" in August about the possibility of Tesla taking private.





The agency demanded to stop Musk from being a public company's official or director.

The SEC alleged that Musk said that a representative of the Saudi Arabian Public Investment Fund had shown interest in Tesla taking private, but Musk never discussed any specific terms described on Twitter with the Saudi fund or any other potential supporters.





Did not. According to the SEC, the proposed $ 420 stock price in those terms and the option of staying with the company after having an option for all existing Tesla shareholders was private.

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Musk said in a company statement Thursday that he was "deeply upset and disappointed" by the lawsuit, which he called "unjust".





Here's how four legal experts react to the SEC's agreement with Musk.





Gregory Ciccija - partner in Sissenzia Ross Fares





The penalty received was more than the other smile smile.

But other CEOs have to get down from the situation.

Jai Dubu - companion in chili Hamilton





It is uncommon that Masks will step down as Chairman but CEOs will remain, because the officials usually have to resign from both the situations when they are arranged with the SEC in similar situations.





The SEC will have determined that removing of Musk as CEO will be bad for shareholders.

The agreement is good for Musk and Tesla because it eliminates uncertainty that the company will have to face if the company has to meet the new CEO.





The agreement is good for the SEC because it got great attention and sent a message to the other officials.

J. L. Lennes - partner in drinker bedding

The speed at which the agreement was made is amazing

Being able to remain CEO is the victory of Musk.

The SEC is happy that it was able to deal with Musk quickly, so the lawsuit will not affect Tesla's stock indefinitely.

Renato Marriotti - partner in Thompson Coburn





The agreement is a reminder that in public companies, officers and directors should be cautious when they make statements that can influence the share price of their company.

Musk's "Funding Safe" tweet can be the most expensive tweet ever.