In a few minutes how to build a home without putting out so much climate gas

I'm David Brancaccio in New York first a judge has rendered null and void

the Tesla CEO's 5656 billion pay package.

The judge in Delaware, where Tesla's Incorporated, suggested the board and its compensation

committee were too cozy with Elon Musk, and the board has failed in its duty to safeguard

the interests of shareholders who are, should be said, partial owners of the company.

Eric Gordon, a professor at the University of Michigan's Ross School of Business is an expert

on corporate governance. Good morning. Good morning David. Who took this to court in the

first place? It was a shareholder in Tesla who thought that shareholders were damaged by this allegedly

huge pay package to Elon.

Now the judge issued a stern reminder that boards of directors are supposed to be a check on the

CEO in a public company like Tesla. The CEO isn't emperor necessarily, but that's now how it's set up at a lot of companies.

Yeah it's a good reminder because in a lot of companies the directors are only

quasi independent in this case Musk took it to new heights. The judge found that he really, really, really controlled the board.

And Musk seems mad at the state of Delaware here.

He started an unscientific poll online asking if you should move Tesla's incorporation to Texas instead.

But this Delaware Chancery Court, as it's called as, I don't know, it's not known

as a nest of anti-corpate burn-down capitalism activists.

You know, I bet if I did an informal poll of CEOs, 99 out of 98 of them would say we love Delaware.

Delaware is very pro-management.

It's more pro-management, and it's more expert in corporate law than any other state.

That's why it's such a big business.

...