Tesla Shareholders Approve Recommendations of Special Committee Represented By Sidley

Sidley is representing a Special Committee of the Board of Directors of Tesla, Inc., comprised of director Kathleen Wilson-Thompson.

At Tesla’s annual meeting on June 13, shareholders voted to approve Tesla reincorporating in Texas and to ratify Elon Musk’s 2018 compensation package. The Special Committee proposed both reincorporation and ratification, and recommended that shareholders approve them. The Special Committee’s report was included in Tesla’s proxy statement.

Reincorporation was approved by 84% of votes cast (excluding Elon and Kimbal Musk), and 63% of all outstanding Tesla shares. Ratification was approved by approximately 72% of votes cast (excluding Elon and Kimbal Musk). The full results of the shareholder vote were officially announced on June 14, and Tesla is now a Texas corporation.

Partners Kristen Seeger and John Skakun led a cross-office and cross-practice Sidley team of more than 40 lawyers, including a core team of Yolanda Garcia, Gary Gerstman, George Vlahakos, Liz Austin, Anika Hermann Bargfrede, Larry Fogel, and Katie LaVoy.