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Plaintiff in lawsuit against Elon Musk's X Corp


Elon Musk's X Corp, currently addressing its own legal disputes concerning unpaid rent, has filed a lawsuit against a financial services company, aiming to reclaim an amount exceeding $713,500, allegedly owed as past due rent and related fees tied to a sublease contract for office premises in San Francisco.

X, formerly identified as Twitter, initiated a lawsuit against Atlas Exploration, alleging a breach of contract. The legal complaint was filed in San Francisco Superior Court on Thursday.

Atlas, formerly known as Point Up Inc, positions itself as an exclusive "invite-only charge card," granting its members exclusive privileges in the realms of dining and travel.

In April 2021, Atlas and X formalized a sublease agreement for premises located at 650 California Street within San Francisco's financial district, as stated in the lawsuit. According to the complaint, Atlas made efforts last year to prematurely conclude the sublease.

X has asserted that Atlas has an outstanding balance of over $340,263 for rent spanning from September to November of the previous year. Additionally, X has alleged that Atlas has not fulfilled any of its obligations regarding the early-termination fee.

Kevin Hill, the attorney who has been providing legal representation for Atlas throughout the dispute, has not yet responded to a request for comment made on Friday.

In a letter addressed to X back in April, Hill communicated that Atlas had concerns regarding the fairness of X's request for rent payment for specific months in the prior year. Hill noted that Atlas had already made payments for its new office space during that period.

In the wake of Elon Musk's $44 billion acquisition last October, X has encountered a series of legal proceedings related to unpaid rent and outstanding invoices.

One instance involves a lawsuit filed by the proprietor of X's primary office location at 1355 Market Street in San Francisco, seeking over $3.1 million in unpaid rent. X is currently contesting these allegations through legal proceedings.

In January, Britain's Crown Estate, the entity responsible for overseeing the real estate assets associated with the monarchy, initiated legal proceedings against X, citing allegations of unpaid rent concerning its London headquarters.

In a separate context, X is entangled in numerous employee lawsuits that raise concerns related to terminations, unpaid severance, and various other benefits.

Jonathan Hawk, the legal counsel representing X, did not provide an immediate response to a message inquiring about a comment. Likewise, a spokesperson from X did not offer an immediate statement.

The legal case is formally known as X Corp versus Atlas Exploration Inc and is currently being heard in the San Francisco Superior Court under the case number CGC-23-609391.

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