JP Morgan Chase filed go well with in opposition to electrical car maker Tesla in a dispute over warrants, in keeping with court docket filings out Monday. The financial institution is looking for $162.2 million plus curiosity, attorneys’ charges and bills.

JP Morgan alleges that Tesla has breached the phrases of a contract that the businesses signed pertaining to re-pricing the warrants.

Tesla was presupposed to ship shares, or money, if its share worth went above a contractually set “strike worth” by a sure expiration date, the criticism says.

However a dispute arose when JP Morgan made changes to the worth of the warrants when Tesla CEO Elon Musk tweeted in August 2018 that he was contemplating taking the corporate personal for $420 a share, and once more when he rescinded the thought of privatizing Tesla just a few weeks later. JP Morgan claims it had a contractual proper to make these changes, whereas Tesla mentioned in a letter that they have been “unreasonably swift and represented an opportunistic try and make the most of modifications in volatility in Tesla’s inventory,” in keeping with the submitting.

Within the 16 months that adopted, Tesla inventory bottomed out at a three-year low just below $177 per share in June 2019, earlier than taking pictures previous $420 per share in December that yr. Musk was later charged with securities fraud by the SEC. Tesla and Musk agreed to pay $20 million every to settle the go well with.

Tesla shares closed on November 15 at $1,013.39.

The criticism says, “In complete, Tesla did not ship 228,775 shares of its widespread inventory, leaving JPMorgan with an open hedge place equal to that shortfall.”

Learn the complete criticism right here.