United States District Court of California ruled late Friday that Twitter, now known as X, violated a contract when it failed to pay millions of dollars in bonuses that the company had orally promised to its employees.
Former Senior Director of Compensation for Twitter Mark Schobinger filed a lawsuit in June against the social media company on behalf of himself and other Twitter employees. Schobinger claimed that employees were not paid a portion of their 2022 bonuses in the first quarter of 2023.
"Once Schobinger did what Twitter asked, Twitter's offer to pay him a bonus in return became a binding contract under California law. And by allegedly refusing to pay Schobinger his promised bonus, Twitter violated that contract," US District Judge Vincent Chhabria wrote in the document.
