Twitter is facing numerous lawsuits over $14 million in unpaid bills.
The Wall Street Journal reports Elon Musk’s social media giant faces a number of suits from companies providing services like advertising, data analytics and content moderation.
One of the plaintiffs is Revcontent LLC, a digital advertising company that is claiming more than $3.5 million.
READ MORE: Elon Musk’s replacement as Twitter CEO should be named by end of 2023
Another is Appen Limited, which is seeking more than $2.9 million for work done in data analytics and content moderation.
None of the suits has been held yet.
Van Conway, a restructuring expert who has helped distressed companies for almost 40 years, said: “What Elon Musk is doing is basically simulating a bankruptcy.
“He is taking a machete to his costs.”
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Three of the U.S. lawsuits involve office space, including the company’s headquarters in San Francisco.
The landlord of claims Twitter has not paid almost $6.8 million in rent payments for December and January.
Musk has just won a lawsuit where it was claimed false tweets about a takeover lost investors billions of dollars.
He now says Twitter is “trending to breakeven” after his takeover and drastic cost-cutting measures.
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