If former president Donald Trump gives in to temptation and starts talking with the public again on Twitter now that new boss Elon Musk has reactivated his account, he might stand to lose millions of dollars.
Trump has stated that he is satisfied to remain at his own social media network, Truth Social, which he formed after being banned by major digital platforms last year, despite Musk‘s apparent attempts to prod him into tweeting once more.
Trump just declared his intention to run for office again, thus the restoration of his Twitter account comes at a critical time for the 45th president.
Truth Social is a privately held company that belongs to the former president’s Trump Media & Technology Group.
A special purpose acquisition company (SPAC) called Digital World Acquisition Corp., which was established to float Trump’s business, has a contract in place with TMTG.
Shareholders may file a lawsuit against Trump if his business goes public only for him to undermine Truth Social by starting up his Twitter account again, giving his tens of millions of followers a reason to go back to Musk’s company instead.
Professor Eric Talley of Columbia Law School told Semafor that if it turns out that the man never intended to stay off Twitter but simply wanted to persuade people to conclude the SPAC purchase, that would be a textbook case of securities fraud.
Donald Trump is back on Twitter, but he can't tweet — here's why https://t.co/1KjE8RoY5M vía @nypost
— Juan Carlos Sosa Azpúrua (@jcsosazpurua) November 21, 2022
Trump might be able to rejoin Twitter without suffering any legal ramifications, but only if his own app takes precedence.
Trump “is generally required to make any social media post on TruthSocial and may not make the identical post on another social media site for 6 hours,” according to TMTG’s SEC filing.
In accordance with the agreement with the SPAC, Trump is also permitted to post on any social media platform at any time using “a personal account” “connected to a political message, political fundraising, or get-out-the-vote activities.”
With Trump back on Twitter,
it’s a good time to watch this Jan 6 hearing. It covers each of Trump’s tweets that day, including those that have been deleted, and features multiple Trump WH staff describing his inexcusable conduct during the violence. https://t.co/pVSGKf5q0P
— Rep. Liz Cheney (@RepLizCheney) November 20, 2022
Trump mentioned Musk’s poll in a video address to a Republican Jewish organization gathering on Saturday in Las Vegas, but added that he thought Twitter has “a lot of problems.”
I’ve heard there is a significant vote in favor of returning to Twitter. Trump stated, “I don’t see it because I don’t see any justification for it.
He continued, “It may make it, it may not make it,” ostensibly alluding to the recent internal turmoil at Twitter.
Truth Social might fail despite Trump’s bluster for reasons unconnected to his Twitter usage.
Federal regulators are looking into allegations that DWAC and Trump’s business deceived investors by unlawfully negotiating a merger.