• New York City is facing its highest rate of homelessness since the Great Depression.
• One key way to get New Yorkers housed is through the housing voucher program. 
• But even those lucky enough to get a voucher are having a very hard time finding housing.

When Marc Greenberg founded a nonprofit in 1985 with the goal of helping homeless New Yorkers, there were about 20,000 people in city shelters. Today, the city is facing its highest rate of homelessness since the Great Depression.

And the biggest program to help those in need of homes — the federal housing voucher system — isn't keeping up.

About 150,000 people are sleeping in shelters, while more than 200,000 others are temporarily staying in other peoples' homes, crashing on couches and in basements, according to the Coalition for the Homeless.

A huge number of homeless New Yorkers are families. Almost 120,000 New York City schoolchildren were homeless at some point during the 2022-2023 school year. And an unknown number of other New Yorkers are spending their nights on the streets.

Just a few years before Greenberg started his organization — the Interfaith Assembly on Homelessness and Housing, which works with religious organizations to aid unhoused people — a court imposed a so-called "right to shelter" mandate requiring the city to provide a shelter bed for every unhoused person.

These days, the limits of that mandate are being tested as the homeless population has swelled, in part due to a significant influx of homeless migrants. With city shelters struggling, the government has set up more than 200 emergency shelters to house migrants, including in former jails and hotels.

"The nonprofit community is better at doing what we do than we've ever been before," Greenberg said. "We're also severely overworked and overtaxed."

It's no surprise that New York City is dealing with a homelessness crisis. Homelessness is, fundamentally, a housing problem. And the Big Apple has a dangerously low supply of both affordable and market-rate homes. The city has underbuilt homes for years, even as its population has boomed, creating 800,000 new jobs in the last 10 years while building just 200,000 new homes.

With rents and home prices sky-high, many are just a missed paycheck away from losing their homes. More than half of city residents are rent-burdened, meaning they pay more than 30% of their before-tax income for housing.

An inadequate solution

The country's biggest and most effective housing assistance program is helping get some unhoused New Yorkers into homes. New York City's housing authority operates the largest Housing Choice Voucher Program — also known as Section 8 —in the US, with about 85,000 voucher households and 25,000 landlords.

But the program is severely underfunded and need far outstrips the supply of vouchers in New York and across the country. Nationally, just one in four eligible Americans receive a voucher. About 10 million additional low-income households are going without the help they qualify for.

Greenberg's organization helped push to expand the city's voucher program, known as CityFHEPS. New York Mayor Eric Adams has repeatedly rejected efforts to expand it, citing a lack of funds.

"We know that it's less expensive to put someone in housing than it is to have them on the street, have them in shelters, or at the hospital," Greenberg said.

Greenberg said he decided to seek out homeless voucher holders after hearing from those who'd had an excruciating time finding an apartment. "Two women who had already been housed using the vouchers said that the ordeal was so difficult, it was almost not worth it," he said. "A bell went off for me."

The Interfaith Assembly set up a pilot program about six months ago to help homeless voucher holders find homes. Their volunteers have worked with about a dozen people to determine what kind of assistance they need and help them find and secure a home. Greenberg said the work has exposed how much the most vulnerable voucher holders need an advocate to help them secure housing.

"Each situation is very particular and requires some real digging to figure out what's wrong," Greenberg said.

But the most difficult part, he said, is finding a new home.

Greenberg emphasized that the city needs more landlords who aren't just profit-driven and instead care about helping some needier New Yorkers.

"Until there's a large amount of available units, landlords are going to select someone that they feel is the best bet, and generally someone in a shelter is not going to make the cut unless it's a very substandard apartment," Greenberg said. "What we need to do is find landlords that really have a sense of mission to support this tenant."

One approach is to assure landlords that they're not taking a risk by accepting vouchers. Greenberg wants to see a city fund designated to reimburse landlords for any damages that exceed a voucher holder's security deposit as a way to encourage landlords to take voucher holders — something Oregon and Washington State have done.

"I've spoken to landlords who want housing voucher holders, who've experienced some real damage to their apartments," Greenberg said. "What we hope is for landlords to realize that the folks we're working with are in a support system, so they'll be more stable and less likely to be a bad tenant."

There are a slew of other Section 8 reforms housing advocates have proposed, including providing more logistical and cash assistance to voucher holders and shortening the home inspection process. Ultimately, though, nothing will make up for the dearth of both vouchers and housing.

• Christie's luxury handbag auction is underway, with some Hermès bags expected to fetch six figures.
• The auction highlights the high demand and limited supply of Birkins that drives up their value.
• Luxury handbags have become an investment piece akin to art or watches.

If you're in the market for a Hermès bag that doubles as a doll house, you're in luck — as long as you have $100,000 or so to spare.

Auction house Christie's launched its latest handbag auction on Thursday, and seven of the lots are expected to fetch prices in the six figures.

The most expensive bags are variations of the Hermès Birkin — and the estimated prices, all at heavy markups from retail, show the chokehold that the French house's hero product has on the luxury market.

A new Birkin bag starts at about $10,000 and can cost well into the six figures depending on material, size, and rarity. Each year, the company's artisans handmake a limited number of the style; in the luxury sector, that scarcity supercharges desire.

"It's literally economics 101," retail industry expert and consultant Hitha Herzog told Business Insider earlier this year. "When you have short supply and high, high demand and the branding that goes with it — that is what fuels it."

The brand's Faubourg Birkins are among those in the shortest supply and, thus, the most covetable. The bag's name refers to Hermès' Paris flagship on Rue du Faubourg Saint-Honoré, where the company has been based since 1880 when it was still primarily a saddlery.

A Neige Faubourg Birkin 20 boasts the auction's highest estimated price: $120,000 to $180,000. And it could go for much more. Since 2022, Hermès bags sold at Christie's auctions have gone for an average of 141% of the lowest estimated price, Christie's said.

The rare bag's design is reminiscent of the store's facade, with its three windows and iconic orange awnings. The light gray colorway, which is supposed to convey winter in Paris, is the most valuable of the models, given the amount of exotic alligator skin used in its construction. Last year, the same style sold for just over $280,000 at a Sotheby's auction, and in 2022, another went for more than $300,000.

The other two Faubourgs available in the Christie's auction, one blue and the other brown, are expected to go for between $100,000 and $150,000. A Birkin with white gold and diamond hardware has the same estimate. Hermès handbags, particularly those in pristine condition (aka new) and rare designs, have always commanded high prices in the resale market due to their exceptional craftsmanship, timeless appeal, and limited availability.

"They are often reflective of the rarity and desirability of the bags," Nicole Pollard Bayme, the founder of luxury styling firm Lalaluxe, told BI over email. "Hermès Birkin and Kelly bags, especially the Faubourg bag, for example, are iconic symbols of luxury and status, coveted by collectors worldwide."

As the auction demonstrates, luxury handbags — particularly those made by tightly controlled brands like Hermès — are increasingly worthy investments. The Neige Faubourg retails for about $50,000 and is expected to fetch two to three times that.

A 2022 Deloitte and Credit Suisse report found that value Birkin and Chanel bags had an average return of 38% and 11.8%, respectively, in 2020. That beats the average return rate of classic cars, watches, and fine art in the same year.

"Watches and jewelry as well as handbags (especially Chanel handbags) are clearly standing out as stores of value with low volatility (between 2.5% and 5% annually) and low drawdowns," the report's authors wrote.

For the resale premium, buyers gain immediate access to the bag of their choosing, something they typically can't get at an Hermès boutique.

While the "rules" around buying a Birkin directly from Hermès have never been disclosed — the company is currently embroiled in a legal battle around the practice — customers must often cultivate a yearslong spending history with the brand and relationships with sales associates. Even then, buyers don't often get to select a specific bag but are offered the opportunity to snag whichever one their sales associate can get their hands on.

"Most of our clients don't have the time or patience to play the 'Hermès game,'" Alexis Clarbour, who specializes in reselling luxury handbags at Madison Avenue Couture, told BI earlier this year.

While dozens of Birkins and Kellys (Hermès' other signature style) make up the auction's priciest lots, a couple of Louis Vuitton lots are expected to fetch at least $10,000. Both are limited editions from the brand's 2023 collaboration with artist Yayoi Kusama.

Chanel, Dior, Loewe, and Roger Vivier are also represented among the lots.

Last summer's handbag auction netted Christie's $4.1 million. Nine bags sold for over $100,000, with the top lot, a Kellywood, going for $176,400.

• Cheap Chinese EVs are unlikely to come to the US anytime soon after President Joe Biden hiked tariffs.
• But Tesla rivals are proving a hit in Brazil and Mexico, where auto exports are booming.
• Chinese EV companies are also eyeing expansion in Europe, but could face tariffs there too.

China's Tesla rivals have had the door to the US electric vehicle market slammed in their faces — so they're turning their attention to Brazil, Mexico, and Europe.

Exports of Chinese EVs to Brazil surged in the first four months of the year, with automakers like BYD continuing to expand abroad even as Joe Biden announces 100% tariffs on Chinese electric vehicles.

Data from the China Passenger Car Association, reported by Reuters, showed that the number of China-made pure electric and plug-in hybrid cars exported to Brazil rose in April, growing 13-fold from the previous year to 40,163 units.

It saw Brazil become China's biggest foreign market for EVs for the second straight month.

Both BYD and rival Great Wall Motors are also planning factories in the South American nation.

Mexico has also seen a rapid rise in Chinese car sales, with total automobile exports, including combustion engine vehicles, jumping 27% in the first four months of this year, per Reuters.

Tesla's leading rival, BYD, unveiled its first pickup truck, a plug-in hybrid called the Shark, in Mexico in May.

The Warren Buffett-backed automaker, along with rival EV companies Chery and MG, is reportedly considering building a factory in Mexico — sparking anxieties among US lawmakers concerned about Chinese firms setting up shop in the US' largest trading partner.

China's legion of EV manufacturers are also eyeing Europe, one of Tesla's most important markets, as they seek to escape cutthroat competition back home.

BYD is building a factory in Hungary and plans to sell its $10,000 Seagull in Europe within the next few years. The company's executives said it would cost around 20,000 euros in this region.

Other Tesla rivals are also making moves, with Nio opening a new showroom in Amsterdam and Xpeng launching two SUVs, the G9 and G6, in Europe.

However, they might soon face a regulatory reckoning in Europe. The EU is currently investigating Chinese subsidies for EV companies and could impose its own tariffs if it finds China's electric vehicles are being sold at artificially low prices.

"If I were in the shoes of a European carmaker, I would be pushing the EU to impose tariffs because the price [of Chinese EVs] is too low, and they can't compete at this level of technology," Giacomo Carelli, CEO of Italian vehicle finance and insurance provider CA Auto Bank, said at the Financial Times' Future of the Car conference in May.

Established automakers in Europe are bracing for a bumpy road regardless of whether the EU follows President Joe Biden in cracking down on Chinese EVs — but some remain bullish about their chances.

"The reality is the Chinese are able to bring in vehicles at very competitive prices," said Michael Cole, CEO of Hyundai Motors Europe, at the Future of the Car summit.

"It is more challenging for us, but all it means is that we have to sharpen our act … We have to react to the competition, but we have to assume it's fair competition — that's all we ask for," he added.

• Recent studies have found that happiness and loneliness follow a U-shape throughout adults' lives.
• Happiness and loneliness both peak early and later in life, with a decline during middle age.
• BI spoke to adults who've been lonely and happy at the same time — and researchers who explain how that works.

Harry Samtur, 73, has a laundry list of activities to fill his time.

He takes classes through a program for adults over 50, is part of a biking group, participates in a book club, belongs to a synagogue, and is also an artist, with a show coming up in just a few weeks.

Those activities have been "totally essential" for his well-being, the Minnesota resident said.

"It's great, but it takes an effort," Samtur told Business Insider. "It's something that's very important that I do, and it brings me a lot of joy."

However, Samtur said he still finds himself experiencing loneliness from time to time. Living alone and far from his family, he said he doesn't have the close connections he had growing up, and even though he tries to fill his time with hobbies and social events, feelings of loneliness still emerge.

"When people have families, they have their loyalties to their families, and they're very busy with their families. So when you're alone, you don't always have people to do things with. So loneliness does come up," Samtur said.

An April paper published in the Psychological Science journal highlighted Samtur's exact predicament. According to the paper, loneliness follows a U-shaped curve throughout life— it's higher in younger and older adulthood and lowest during middle age.

Perhaps counterintuitively, happiness tends to follow the same pattern. That means that right now, Gen Z and baby boomers, in particular, might be experiencing a strange juxtaposition: They're happy and lonely at the same time.

Why it's possible to feel happy and lonely at the same time

Happiness and loneliness are "complex emotional experiences that are not mutually exclusive," Eileen Graham, a coauthor of the loneliness study and associate professor of medical social sciences at Northwestern University, told BI. Graham's work was conducted before the pandemic and examined over 120,000 participants from nine different countries, including the US, Germany, and Australia.

"You can experience both at the same time, and especially during midlife, that's an emotionally complex time, and people have a lot going on," Graham said. "So people feel maybe a little less happy with their lives in midlife, but it doesn't mean you're also feeling lonely."

Happiness and loneliness can evolve over one's life — and it can impact anyone, anywhere, as the study found.

"Overall, people tended to be more lonely, just persistently lonely, if they had less education, had lower income, and poor health," Graham said.

"And that can help us understand as people enter into older adulthood and are typically just, on average, becoming more lonely anyways, people with certain health conditions or from different socio-economic backgrounds might be even more at risk," she said.

Samtur said that even with the joy he finds from his activities, he knows how detrimental loneliness can be and how hard it is to overcome.

"There's so much polarity, and it's sometimes hard to deal with people, and then you just want to stay home and hide in a corner," Samtur said. "And I know people who do that, but in the end, we're social beings, and we need to have that interaction and go through the difficult experiences with others in order to find the good ones."

'I could be in a room full of people who love me and still feel super lonely'

Donna Basztura, 58, has experienced waves of happiness and loneliness throughout her life. A teenage mom, she experienced joy from her partner and child, but loneliness persisted, as most of her peers were not at the same stage of life.

As Basztura got older, her experiences with loneliness shifted — she had five more kids she raised on her own, and her life is now full with her children and grandchildren. But after moving to Florida four years ago, she's found herself facing a persistent dilemma: she attends every event she's invited to, and she finds joy in being with others, but there's a feeling of loneliness that she just can't shake.

"I could be in a room full of people that love me and still feel super lonely because everyone has someone, their husband, their wife, and that's wonderful. That's what we strive to do for our legacy to leave behind," Basztura told BI. "But then you're still so lonely. I never act like I am. I'm so bubbly. I'm the life of the party. I make sure I'm having fun, but it's just that emptiness and loneliness feeling that really, really devastates a person."

As Samtur and Basztura's experiences illustrate, having social interactions isn't enough to absolve feelings of loneliness. Graham said that social isolation and loneliness "are very different constructs" — the former is measured by how often and how many people someone interacts with within a set period of time, whereas the latter is "an emotional distress" when a person isn't getting what they need out of their social connections.

Balancing loneliness and happiness is an issue researchers are studying. In March, Gallup — in partnership with other organizations — released the 2024 World Happiness Report, and for the first time since the report began over a decade ago, the US dropped out of the top 20 happiest countries.

The happiness report found that social support — meaning positive interactions with neighbors, community groups, or friends and family — and loneliness both affect happiness, and "social interactions of all kinds also add to happiness, in addition to their effects flowing through increases in social support and reductions in loneliness," it said.

"Weak ties," which are small connections people make with others they might not know very well — say, an acquaintance at your gardening club or a barista at your regular coffee shop — can contribute to feelings of happiness but don't necessarily help cure loneliness. However, a 2014 study found that weak ties do have major benefits, helping people feel happier with a boosted sense of belonging.

Basztura wants more than just the weak ties she has in Florida; she's happiest when she's surrounded by loved ones and those who know her very well, like her family. Though she's recently met a man who she enjoys spending time with, she finds herself alone throughout the day due to his work schedule. On top of that, she said a few of her close friends died during the pandemic, so she's lacking female friendships that played a significant role in boosting her happiness throughout her life.

"It's tough when you don't have an actual partner that you can rely on at our age and have gone through the things in life we've gone through in the era we were raised in. And you're just going forward. You're flying by the night pretty much by yourself," Batszura said. "And that emotion, it's really deep. It's really deep. I hide it well, but it's deep."

She made an effort to join clubs focused on fitness, like hiking or kayaking, but even surrounded by people, she didn't quite feel the connections she was hoping for.

"I could find enjoyment, I could find happiness, in swimming, camping, whatever," she said. "But again, I'm camping by myself. So the loneliness is absolutely still there."

'You have to solve it and figure out the best way for you'

BI has previously reported on how people across different generations experience loneliness. Over a third of Americans aged 18 to 25 reported feeling lonely in a December 2023 survey conducted by the Harvard Graduate School of Education.

Some Gen Zers pay for social connections through activities like fitness memberships. One 24-year-old previously told BI that he spends over $200 a month for memberships at rock-climbing and jujitsu gyms because "if you pay for something, you'll show up to it."

"These types of activities ease the process of making friends more so than free activities because they tend to be more structured," he said. "Basically, you're stuck together with everyone else there and forced into new social situations."

Other Gen Zers have used the return-to-office as a way to facilitate connections and counter loneliness. A 23-year-old told BI that even though she was in "constant communication" with her coworkers, the online work environment meant that she "didn't actually have people around me who were willing and able to chat and talk and help."

Preeti Malani, a professor of medicine at the University of Michigan, previously told Business Insider that "being lonely as an 80-year-old may be due to a very different reason than someone who is a 19-year-old college student living amongst a huge group of people."

"You can be surrounded by people and be lonely," she said. "And that college experience or high school experience is a good example where you don't have the meaningful connections with people."

Meanwhile, older adults have turned to apps like Nextdoor and groups at local senior centers to make connections in their areas.

While people of all ages are working to make friends and combat loneliness, Graham said, the problem could be easier to solve at a younger age. That's because a lot of the reasons for loneliness when people are younger, like moving out of their parent's home and trying to build a new social network, are steps that will set up a foundation for later in life.

"I don't necessarily think that loneliness is bad in younger adulthood as long as it's not chronic and doesn't begin to naturally mitigate itself," Graham said.

But for older people, loneliness can be sparked by loved ones dying or social networks moving away, and it's harder for them to stay engaged after facing those losses. Joan Hendrix, 80, can attest. She told BI that after her husband died 10 years ago, she "could not function" due to her grief and the loss of companionship, and while she sought out professional help, she felt that she couldn't burden her loved ones with her feelings of loneliness.

She said that for about four years, she couldn't bring herself to go out and meet new people — that is until she looked out her window one day and saw weeds in her flower garden.

"So I said, 'Oh, I've got to go weed.' And so one day, I just went out and started weeding, and each day after that, I seemed to be able to move and do more things," Hendrix said.

Hendrix said she gradually became more comfortable reaching out to her friends and reestablishing relationships, as well as making new ones through various groups and volunteer opportunities. There are still moments when Hendrix feels lonely, but the overarching emotion she now experiences is joy.

"You learn to cope, and then after a while, you still might struggle, but you're able to cope with it, and you go along, and you do things that you need to do to get better and be happy again," she said.

Hendrix said that recognizing that she was facing both happiness and loneliness is what pushed her to seek help and make connections.

"You have to do a lot of work on your own to get better," Hendrix said. "Nobody can solve it for you. You have to solve it and figure out the best way for you."

Have you experienced happiness and loneliness at the same time or separately? Share your story with this reporter at asheffey@insider.com.

• Some restaurant chains and franchisees have increased prices in California to cover a new pay law there.
• Restaurants from Starbucks to Chipotle have marked up menu prices since the law took effect on April 1.
• Other chains have found alternatives to offset the higher wage costs.

Many fast food workers in California have been taking home more money since April 1, when the state's minimum wage for those workers went to $20 an hour.

But restaurant owners, eager to protect profits, have raised the menu prices that consumers pay to help offset the cost.

Often, fast-food joints are operated by franchisees — business owners who run a small group of stores and pay a company like McDonald's for the right to do so. That means that individual franchisees may choose to pass on the higher pay costs, while others don't.

California's new law applies to chains with at least 60 "limited-service" locations in the US — that is, restaurants where customers order and pay for their food before getting it instead of sitting down and being waited on.

But even before the new law, fast food already had an affordability problem.

Indeed, some restaurant operators say they've already raised prices more than usual over the last year or two in response to inflation and are worried that another round of increases would scare off customers. One Burger franchisee told BI that he's instead installing ordering kiosks at his restaurants to save money on wages.

Lynsi Snyder, the president and third-generation owner of In-N-Out, told NBC's "Today" earlier this month that she pushed to limit menu price increases in response to both higher wages as well as general inflation.

"I was sitting in VP meetings going toe-to-toe, saying, 'We can't raise the prices that much, we can't,'" she told "Today." "When everyone else was taking jumps, we weren't."

Here are the restaurants — and specific franchisees — who have decided to raise menu prices since California's new minimum age kicked in:

McDonald's: Scott Rodrick, who owns 18 Northern California McDonald's restaurants, said he would raise prices. He was also considering changing his stores' hours and postponing planned dining room renovations to save money.

Individual franchisees make their own decision about increasing prices, the company told The Los Angeles Times.

Burger King: Burger King restaurants in California raised prices by 2%, according to a report from Kalinowski Equity Research that examined prices at several fast food chains in the state before and after April 1.

Chipotle: Prices at the Mexican grill chain rose 7.5% in California after the law took effect, per the Kalinowski report. Company executives confirmed this on a late April earnings call, saying that the company increased prices between 6% and 7% at its restaurants in the state versus one year earlier.

Wendy's: Menu prices at Wendy's rose 8% in California, according to Kalinowski.

Starbucks: Beverages at Starbucks' California stores were 50 cents more expensive after April 1, BI reported after the law took effect. The Seattle-based coffee chain's California stores raised by 7%, according to Kalinowski.

Taco Bell: Menu prices rose 3% after the new wage law took effect, Kalinowski found.

Fatburger: Marcus Walberg, whose family runs four Fatburger franchises in Los Angeles, told BI in January that he was planning to raise prices between 8% and 10% in response to the new wage law. He also planned to cut PTO for employees and freeze hiring, he said.

Vitality Bowls: Brian Hom, the franchisee in charge of two Vitality Bowls locations in San Jose, increased prices between 5% and 10% after the law took effect, he told BI. He has also stopped hiring and reduced the number of workers on duty per shift.

Chick-fil-A: Prices rose 10.6% between mid-February and mid-April, according to data from Gordon Haskett.

Shake Shack: The burger chain hiked prices 7.7% in California between mid-February and mid-April, Gordon Haskett found.

Do you work at a fast food restaurant and have a story idea to share? Reach out to this reporter at abitter@businessinsider.com

• China's most advanced aircraft carrier set sail for sea trials in early May.
• It boasts electromagnetic catapults capable of launching the modern air wing China hopes to build.
• Here's how this ambitious ship and its predecessors compare to US aircraft carriers. 

On May 1, China's newest aircraft carrier left its berth in Shanghai under its own power for its first-ever sea trial, which lasted eight days.

Known as the Fujian, the carrier, the sole vessel of China's Type 003-class, is a completely new design compared to China's previous carriers, and is a symbol of China's ever-expanding naval ambitions.

With a displacement of over 80,000 tons, it is also the closest thing to a direct rival to US Navy aircraft carriers, which have long been regarded as the masters of the seas.

With vessels from follow-on classes expected, Fujian represents the latest evolution in China's carrier program, which, despite its scale and the impressive speed at which it has developed, has been regarded as lacking overall strength and capability compared to those of the US Navy.

China looks to have built a formidable warship in the Fujian, a centerpiece of its effort to design a modern carrier air wing. But a review of its capabilities shows it lacks some key advantages of the newest class of US supercarriers and also the infrastructure demanded by far-flung operations, possibly tethering its operations near China's mainland.

Liaoning and Shandong

With construction beginning around 2017, Fujian is the third aircraft carrier China has built for the People's Liberation Army Navy (PLAN). The first two carriers, the Type 001-class Liaoning and Type 002-class Shandong, were commissioned in 2012 and 2017 respectively.

Liaoning and Shandong are both based on the Soviet-designed Kuznetsov-class. Liaoning itself was purchased as an incomplete hulk from Ukraine in 1998 for just $20 million under the pretense that it would be turned into a casino. It was instead towed to China and refitted for war.

Both carriers were slightly modified from their original Soviet design to incorporate modern tech and enable more space for aircraft. Liaoning and Shandong's flight decks both measure about 1,000 feet in length, and while Liaoning displaces around 60,000 tons, Shandong displaces around 66,000 tons.

Despite attempts at modernization, Liaoning's and Shandong's capabilities are limited by their employment of the short take-off, barrier-arrested recovery (STOBAR) system, which utilizes a ski-jump ramp at the bow to get jets airborne under their own power.

This imposes limits on the weight of the jets at take-off, as they need to be light enough to lift off the deck under their own engines. Consequently, force multipliers like airborne early warning aircraft and dedicated aerial refueling aircraft cannot operate from Liaoning and Shandong.

The air wings of the Liaoning and Shandong, which consist of 24 to 32 jets and 12 to 17 helicopters, respectively, are less than optimal for this setup, as the backbone of the wings, the J-15 fighter, is the heaviest carrier-borne aircraft in service. This means it has to carry a limited armament and fuel load, reducing its capabilities and combat range.

Because of these severe limitations, some observers have looked at Liaoning and Shandong less as battle-ready warships and more as training platforms from which China can gain experience with carrier production and operations as it prepares to field a more advanced and capable design.

China's latest carrier

Fujian appears to be that more advanced and capable design.

Measuring 1,036 feet long and displacing over 80,000 tons, Fujian is larger than its predecessors. The most obvious advantage of its larger size is that it enables a larger airwing, which is believed to number approximately 60 aircraft.

The most important upgrade on Fujian, though, is its employment of a catapult-assisted take-off barrier arrested recovery (CATOBAR) system, which uses a catapult to launch an aircraft off a carrier's deck. While the CATOBAR system isn't new, Fujian is one of only two carriers in the world equipped with electromagnetic catapults (EMALS), the other being the new USS Gerald R. Ford.

An EMALS catapult enables Fujian to launch heavier aircraft than steam catapults, which means a more diverse air wing. China is currently developing a host of new carrier aircraft, including a catapult-launched variant of the J-15 known as the J-15S, a twin-seat electronic warfare variant known as the J-15D (similar to the EA-18 Growler), and a carrier-based airborne early warning and control (AEW&C) aircraft known as the KJ-600, which is almost identical in appearance to the US Navy's E-2 Hawkeye.

China is also in the process of developing a carrier variant of its unadopted J-35 stealth fighter for the PLAN.

With three catapults on its deck, Fujian will have a higher sortie generation rate than its predecessors, as it will be able to catapult multiple aircraft into the sky within seconds of each launch. By comparison, Liaoning and Shandong can only launch one aircraft at a time off their ski-jump bows.

Fujian's sea trial was meant to test the reliability and stability of its propulsion and electrical systems, according to the state-run Xinhua News Agency. The carrier has already passed its mooring trials and completed its outfitting, and reporting has suggested that the carrier will be commissioned in late 2025 or 2026.

Nimitz and Ford classes

The US Navy's carrier fleet is currently made up of 11 carriers from two classes; the Nimitz-class, and the new Gerald R. Ford-class.

The 10 flattops of the Nimitz class hardly need an introduction. Built between 1968 and 2006 and in commission since 1975, each carrier measures 1,092 feet long and displaces some 97,000 tons. All are nuclear-powered, meaning their range is virtually unlimited — constrained only by crew comfort and provision stores.

Each ship is capable of carrying around 65 aircraft of varying types, including F/A-18 multirole fighters, EA-18G Growlers electronic warfare aircraft, E-2 AEW&C aircraft, C-2 Greyhound or MV-22 Osprey logistics/transport aircraft, and SH-60 helicopters.

All Nimitz-class carriers utilize the CATOBAR system and are equipped with four steam catapults. However, only a few of the 10 carriers are able to operate F-35Cs — the carrier-based variant of the F-35 only in service with the US Navy — as the F-35C requires retrofits to a carrier's maintenance spaces and weapons lockers.

In 2017, the US Navy commissioned the USS Gerald R. Ford, the flagship of the successor class to the Nimitz. At 1,106 feet long and with a displacement of 100,000 tons, Ford is the largest warship ever built.

It is also one of the most advanced, with 23 new technologies on board. This includes a new Dual Band Radar system, two newly designed A1B nuclear reactors (capable of generating almost three times more power than the reactors on the Nimitz class), and a new elevator system built and positioned for modern smart munitions.

The most impressive upgrades may be its four EMALS catapults, which, thanks to their use of linear induction motors, have enabled the Ford to have a 33% increased sortie generation rate compared to the Nimitz-class. This measures the total number of aircraft the carrier can launch for missions in a day.

There is also the Advanced Arresting Gear (AAG), which, in addition to handling the weight of a wider variety of aircraft, is capable of self-diagnosing problems and sending maintenance alerts. Carrier aircraft snag a tensioned cable on the angle deck with their tailhooks, rapidly slowing the aircraft to a stop; those that miss must lift off and circle around for another try.

The sheer amount of new systems proved to a major headache for the Navy, as not all of them were functioning properly when the ship was launched. Consequently, the carrier didn't conduct its first deployment until 2022, five years after its commissioning.

Two more Ford-class carriers, USS John F. Kennedy and USS Enterprise, are under construction. The fourth, the future USS Doris Miller is on order, with its first cut of steel ceremony occurring in 2021.

At over 90% complete, Kennedy was originally expected to be delivered to the Navy in 2024, but is now planned to be delivered in 2025, whereupon it will join the Pacific Fleet. Enterprise's original delivery date of 2028 was likewise delayed to late 2029 or early 2030.

As Ford is unable to support the F-35C, Kennedy will be the first Ford-class vessel to have the stealth fighters as part of its air wing. Ford itself is scheduled to receive the modifications to be able to do so after an overhaul in fiscal year 2025.

How the flattops compare

The speed and scale of the development of China's carrier fleet is astonishing, but its limitations are also important to note — especially when it is compared to the US Navy.

At just 11 years old, China's carrier fleet is still quite nascent compared to the US Navy, which commissioned its first carrier over a century ago. Consequently, the US Navy has a wealth of carrier experience, including seasoned personnel and a training pipeline to impart lessons to new generations of sailors and naval aviators.

In contrast, China has only a few years' worth of experience with carrier operations, has no historical or practical experience protecting carriers from anti-ship weaponry or enemy submarines, and has no experience operating naval AEW&C aircraft. Like its larger fleet, its carriers have no experience in combat.

The experience issue is also relevant when it comes to development.

China has no experience operating carrier catapults on its warships (though it did study carrier catapults when it purchased the decommissioned Australian carrier HMAS Melbourn from Canberra in 1985 under the guise of scrapping). Despite this, it has chosen to skip developing a steam catapult system in favor of an electromagnetic one. This is likely going to prove a difficult task; it took years to solve the problems with Ford's EMALS catapults, and since the US is the first and only other country that operates the novel system, China can't learn how to develop or operate such catapults from anyone else.

Another large limiting factor is the fact that all of China's carriers so far are conventionally powered, meaning their steam turbines are powered by fuel combustion. This means their ranges are much more limited as they will have to be refueled, something made more difficult by China's lack of a network of dedicated overseas naval bases like the US Navy's.

Chinese-controlled ports along the so-called "String of Pearls" may provide locations for Chinese carriers to refuel, but they are unlikely to be able to provide other kinds of necessary support like aircraft maintenance, and may also be unable to be defensive safe havens as dedicated military bases would, as they are more oriented towards civilian use. China does have a force of replenishment ships, but they would require escorts for protection.

The lack of nuclear reactors may also limit Fujian's sortie generation rate, as it is unknown how well its conventional steam turbines and diesel generators can generate the power for the EMALS catapults and the rest of the ship's systems.

"China is making progress, but it is slow and still lags the US considerably," Timothy Heath, a senior defense researcher at the RAND Corporation, told Business Insider. Heath noted in particular that China's carriers "rarely attempt to operate aircraft in blue water (outside the range of landing unrefueled aircraft to a divert airfield on land)" and that their overall sortie numbers are much smaller — about a dozen a day compared to 170 by the US.

Nonetheless, Heath said the launching of the Fujian "shows clear ambitions to operate carriers at long range and this would overcome at least some of the issues of lack of bases and fuel."

China's continued investment in its carrier program, the progress it has made in naval aviation so far, and Fujian's size and sophistication indicate that China's commitment to a long-range and battle-ready carrier fleet is real and will only bear more results going forward.

"This will take years of practice and training to eventually overcome, but the Fujian gives China the ability to do so once they have mastered flight operations," Heath said.

China plans to build a fleet of six carriers by the year 2035. A fourth carrier, the first of the presumably named Type 004-class, is reportedly in development, though Chinese officials have been quiet on its details, including whether it will be nuclear-powered.

Benjamin Brimelow is a freelance journalist covering international military and defense issues. He holds a master's degree in Global Affairs with a concentration in international security from the Fletcher School of Law and Diplomacy. His work has appeared in Business Insider and the Modern War Institute at West Point.

• My landlord tried to raise my rent by 15%, so I wrote an impassioned email.
• A rent increase of that size is illegal for some buildings in NYC due to the new Good Cause Eviction law.
• Not all units are covered, but the legislation could impact thousands of renters.

It was lease renewal season in New York City, and I was crying in Central Park.

My landlord had just emailed me that my rent was rising by 15%. I had been bracing myself for an increase — my neighbors told me they had seen hikes of around 6% — but this proposal was untenable. Of course, my situation wasn't unique; plenty of New Yorkers find themselves priced out of their apartments every year. Some never return.

I called my best friend to tell him the news. His response: "How can that be legal?"

The answer, it turns out, is that it no longer was legal. After an impassioned email — and a week of waiting — my landlord reversed course. They said my building was covered under the new Good Cause Eviction law, and my rent increase would instead be 8%.

Of course, that is still a lot. But it is certainly cheaper than moving and was at least workable with my budget. As a New York City renter, I was shocked to learn that there was a law protecting me. New York City real estate is like the Wild West if it were incredibly overpriced, somehow even scarier, and full of sad little closets.

"In our current housing market, landlords have an immense amount of power over our lives," Cea Weaver, the campaign coordinator of Housing Justice for All — a coalition that coordinated the campaign for Good Cause — told me.

But Good Cause Eviction marks something that feels increasingly rare in today's rental landscape, where units are scarce and pricing feels like a free-for-all: Some protection for renters. While the law has its own caveats, its impact might be felt immediately for many New Yorkers — especially as summer rental season looms.

"We have been fighting for good cause because we think it's really critical that landlords should have a good reason to raise the rent — and a good reason to push you out of your home," Weaver said.

What is Good Cause Eviction?

According to Ellen Davidson, a staff attorney at the Legal Aid Society who represents tenants, good cause eviction is meant to solve two key problems facing New York renters: large and unpredictable rent spikes and evictions.

As Davidson told me, the law doesn't necessarily stop either of those practices but instead requires landlords to give reasons for them. In the case of an eviction, landlords need to have good cause — such as you haven't been paying rent, or their family member wants to move into the unit.

Good Cause also has what's called the reasonable rent increase measure: Buildings covered under Good Cause have limits on how much landlords can raise rent. A reasonable increase is now either 5% plus the rate of overall inflation, or 10% — whichever comes out to be lower. That's why my 15% increase was now off the table with CPI hovering around 3.4%.

How to know if your unit is protected under Good Cause

Like many aspects of the New York City renting experience, Good Cause Eviction isn't completely straightforward. Not every building or unit is covered under the legislation.

"There's a little bit of a maze when it comes to figuring out if good cause applies to you," Allia Mohamed, co-founder and CEO of leasing and landlord review platform openigloo, told me.

For instance, buildings built after 2009 are exempt, as are ones where the landlord owns fewer than 10 units. If your apartment is rent-stabilized, it's also not covered. Co-ops and condos aren't covered, and neither are some buildings where the landlord lives on the premises. Mohamed's platform, openigloo, has a good rundown of the carve-outs — and the platform also has badges for buildings that are covered, if you want to search yours, like I did.

With those carveouts, the new law might still not be enough to truly move the needle on broader rental costs.

"The final version cut out a lot of people, so it still remains to be seen on whether or not it will change market behavior, but it still will cover 500,000 households," Weaver said.

Per Mohamed and openigloo's data analysis, a good chunk of buildings in ultra-pricey Manhattan are covered under the new law.

But while the picture may look bleaker for more residential outer boroughs, Mohamed notes that the shares are skewed by more buildings being single-family homes. By extrapolating that 55% of units in those boroughs are likely covered — since that's the percentage of units across the city that are not regulated — Mohamed estimates that around 93% of units in the Bronx and 46% in Brooklyn are covered.

While determining whether you're covered right now may seem like a bit of guesswork, that should be cleared up soon.

"There is a disclosure requirement that landlords need to give to their renters if good cause applies to them, but they have four months to catch up with the disclosure requirements," Mohamed said. "So there is a bit of this window right now in New York City where landlords are not obligated to tell tenants yet, but good cause has gone into effect already."

For renters on the summer cycle, that's both good and bad news: The law applies to you, but, like me, you might have to seek it out. Landlords don't have to start those disclosures until August 20th.

What to do if your rent is way too high

If you receive a shocking rent increase, take some deep breaths — and also feel free to cry it out in Central Park. Then, go and check if your building is covered. If it is, a rental increase above 10% isn't necessarily illegal, but it requires more explanation.

Under the new legislation, landlords can try to raise rent above that standard, but "they have to actually talk to their tenants and tell them why they're increasing the rent," according to Davidson. It could be that your landlord had to install a new roof or boiler or put other money into the building that could merit an increase.

But if talking through the increase fails, renters can then do a few things. Of course, going to court may be daunting — and a particular strain for New Yorkers who don't have the time or resources to prepare for a battle. Sometimes, a well-articulated email communicating that you know your rights can do the trick, Mohamed said.

"Usually all that it takes is just sending a quick email and saying, 'Hey, I'm a bit surprised by this 15% increase. I was under the impression that this building falls under the good cause eviction umbrella. Let me know the next steps before I flag this to the city or to my attorney or to whomever,'" she said. After all, many landlords may want to avoid the costs of a court battle.

In my case, a long email resulted in my rent increase going down. But I also have the resources to know the economic landscape of the city and the country — I am, in fact, an economics reporter. English is also my first language, unlike other renters in the city, again giving me a leg up in pushing back. But for some, court may have to be the way to go.

"The way to challenge it is to either not sign the lease and then get taken to court for not signing your lease and then defend saying, 'this increase is too high,' or to pay the old amount and not the new amount, get taken to court for a nonpayment case and defend that the rent is too high," Davidson said.

That might still mean a power balance weighted against renters — and one that requires further action.

"What people need to know is that you have these rights and the best way to enforce them is if you're collectively working with your neighbors," Weaver said.

It's a power-in-numbers situation: When just one tenant like me goes against a landlord, they might be able to change their circumstance. But that's not a guarantee.

"They are going to have the money — that's your rent money — to hire every lawyer under the sun to try to fight you," Weaver said. "I think it's really important that tenants spend time together organizing in order to make sure that these rights are enforced."

Will Good Cause Eviction change or impact your life? Contact this reporter at jkaplan@businessinsider.com.

• Google Forms is a free online software for creating surveys and questionnaires.
• You need a Google account to create a Google Form, but anyone can fill out a Google Form.
• You can personalize your Google Form with question types, header images, and color themes.

Google Forms is free online software that allows you to create surveys, quizzes, and more. 

Google Forms is part of Google's web-based apps suite, which also includes Google Docs, Google Sheets, Google Slides, and more. It's a versatile tool that can be used for various applications, from gathering RSVPs for an event to creating a pop quiz.

You'll need a Google account to create a Google Form, but you can adjust the form settings so that recipients can fill it out regardless of whether they have a Google account.

Currently, Google Forms does not offer a native mobile app but you can access it on your desktop computer.

Here's everything else you need to know about Google Forms.

How can I create a Google Form?

Google Forms differentiates itself from similar online software through its library of customization options. When creating your new form, you'll have the ability to select from a series of templates or design your very own. 

If you choose to make a new template, consider adding your logo and photos, and watch Google generate a custom color set to match.

Here's how to do it: 

1. Go to docs.google.com/forms
2. Click Blank form to create a new form, or choose a pre-made template to kick-start the process. Google has a number of helpful template options, including feedback forms, order forms, job applications, worksheets, registration forms, and even "Find a Time" forms if you're trying to schedule an event or Google Meet conference call.

With the Q&A format at the heart of Google Forms, the Workspace tool offers various question and response options, including multiple-choice, dropdown, linear scale, and multiple-choice and tick-box grid.

With each new question, you can integrate multimedia, such as images or YouTube videos, or add text descriptions that offer hints or expound on the question.

If you're a Google Classroom user, you can use Google Forms to create quiz assignments for your students.

How can I customize or organize my Google Form?

In the Settings tab, you can customize options in the Responses dropdown, like Collect email addresses.

You can choose to require respondents to enter an email address to submit the Form by selecting Responder input or force respondents to sign into their Google accounts to respond by selecting Verified. You can also let respondents submit anonymously by choosing Do not collect.

In the Presentation dropdown below, you can click boxes to include a progress bar, shuffle the order of the questions, and set a custom confirmation message that respondents will receive upon submitting the Form.

In the Quizzes dropdown, you can turn your form into a quiz.

Organizational features let you determine the order of your queries through a drag-and-drop tool or randomize the answer order for specific questions through the form's settings.

Another way to organize your form is through Google Forms' section tool. These can be helpful for longer surveys, as they break questions up into manageable chunks. To create a section, click the Add section icon (two vertically stacked rectangles) on the right toolbar. It's located on the same toolbar as the "+" for adding a question.

Once you're ready to share your Google Form, clicking the Send button at the top right of the screen will let you send the Form via email, copy a link, or copy an embedded HTML code to add the form to your website or blog.

How to navigate Google Forms responses

Once your Google Form is published and you've shared it using either the multiple public and private share options, it will automatically collect responses as people fill out and submit their responses. Answers gathered by a Google Form are only viewable to you, the creator, and any collaborators you add.

To view responses for your Google Form, open your Google Form and navigate to the Responses tab. Here, you will see a summary of the responses collected. Click the green Google Sheets icon to create a spreadsheet that displays all of the information gathered from the Form, which will automatically update as people submit your Google Form.

In the Responses tab, you can also elect to get email notifications for new responses, select a response destination (either a new or existing spreadsheet), download, or print the answers by clicking the three dots next to the Google Sheets icon. There's also an option to delete all replies, which can be useful in deleting responses collected when testing your sheet.

• Google Voice is a service that lets you merge multiple phone numbers into a single number.
• You can make free calls or texts from your Google Voice number within the US and Canada.
• To get started with Google Voice, you need to have a Google account and an existing phone number.

Google Voice is a free internet telephone service that allows you to combine all your cellular services and forward calls to several devices at a time.

Google Voice was launched in March 2009, after Google acquired the communications startup GrandCentral. Today, some 15 years later, Google Voice is part of Google Workspace, alongside other core services like Gmail, Google Calendar, Google Drive, and Google Meet.

This internet telephone service remains free for almost all calls placed within the United States and Canada, with varying international rates. 

While you do have to have at least one existing phone line in order to use Google Voice — and a Google account, of course — there are still many good reasons to use the service. 

And that's especially true if you have more than one phone number, such as a cell number, a work number, and a home landline. Google Voice can streamline your calls and texts, helping ensure you never miss an important communication.

Google Voice has a fascinating history — it was at the heart of a major spat between former Google CEO Eric Schmidt and the late Apple founder Steve Jobs.

Google sought to bring Google Voice to the iPhone as an app, but Apple rejected the move amid Google's growing forays into the telecommunications market. The tensions culminated with Schmidt's resignation from Apple's board of directors in 2009. Apple ultimately relented, adding Google Voice to the App Store in 2010.

But controversy around Google Voice continues today: in 2024, a federal jury ordered Google to pay $12 million in damages for infringing on internet voice-calling patents with Google Voice. It's one of several major federal lawsuits Google has faced throughout 2023 and 2024.

Why would someone use a Google Voice number?

Google Voice allows you to combine all your phone services and forward calls to several devices at a time. So, if you have a landline at home, a business phone, and your personal smartphone, rather than bouncing people between three different numbers and devices, you can give out one simple Google Voice number. When someone calls, you'll be notified at all three numbers simultaneously.

You can also use Google Voice on a computer to place and receive calls. But before you can use any of Google Voice's features, you'll need to have a Google account first. As noted, you'll also need to have an existing US-based mobile or landline phone number, so in that sense, Google Voice is not a free phone service but rather an add-on to your extant services.

For users who simply have too many phones and numbers to manage, Google Voice is a great resource for merging multiple communication channels. It's also good for regular travelers who are forced to bounce between carriers because you can use your Google Voice number internationally. However, it does not work in all countries, and rates vary by location.

If you find yourself changing phone numbers and paying a fortune for international calls, or for those users who are looking to record incoming calls for free, it's also a great option.

What are the disadvantages of Google Voice?

Google Voice works well throughout much of Europe and Latin America, but it's not usable in many other parts of the world, not without upgrading to a Google Voice plan offering access to a Google SIP (Session Initiated Protocol) that enables VoIP (Voice Over Internet Protocol).

And if you are setting up Google Voice for a small business, it's not free even for domestic calls and calls placed to Canada, though the monthly plans are hardly prohibitively expensive.

People will not know that you are using Google Voice when you call or text them unless they are already aware of your Google Voice number; it will be displayed as a number separate from any phone lines you attach to the account, as Google Voice issues you a new number. This can be a benefit if you want to preserve some anonymity, but it's a drawback if people screen your calls for not recognizing you.

Also, Google Voice cannot be used with a classic landline — not completely, anyway. While it can be set up to forward calls to your landline, you can't call out from a landline phone via your Google Voice number.

All that noted, there are more pros to cons to using Google Voice for many people. So, here's a step-by-step guide to getting you started using Google Voice. 

How to set up Google Voice on a computer

1. Go the Google Voice website.

2. Sign into your Google account if you aren't already.

3. Enter your area code or city in the Google Voice text box. 

4. In the drop-down that appears, select a phone number. 

5. You'll then be prompted to verify your existing phone number. Click Verify on the page that loads. 

6. Type in the number you want Google to forward your calls to, which should be your primary cell phone. 

7. Click Send code.

8. Once you receive the code via text or phone call, enter it into the box. 

9. Click Verify. 

10.  To confirm that this is the number you want your calls forwarded to, click Claim.

11. It will prompt you to click "Finish" twice before you're done. 

How to link more than one number to your Google Voice account on your computer

1. While logged in, go to the Google Voice Settings menu. 

2. Click New linked number at the bottom. 

3. Enter the number you wish to link and click Send code. 

4. Finish verifying your new number the same way as your first. 

5. To see all your linked numbers, return to Google Voice's Settings menu and scroll to the bottom of the page. You can find all your linked numbers under the phone icon. 

How to set up Google Voice on a mobile device

1. Download the Google Voice app on your iPhone or Android phone. 

2. Once the app is open, select which Google account you'd like to attach a Voice number to and tap Continue.

3. On the next page, tap Search in the lower-right corner to select a Google Voice number. 

4. Enter your ZIP code, city, or area code to load a list of regionally relevant numbers for you to choose from.

5. Tap the blue Select button next to the number you want. 

6. Google Voice will confirm the number you selected. Tap Next on the next two screens to begin the verification process. 

7. Enter the phone number you want to connect to your Google Voice number. 

8. On the next screen, enter the code texted to your phone before selecting Verify.

9. Tap Claim to confirm you want to link the Google Voice number to your phone before choosing Finish.

How to use Google Voice 

You can treat Google Voice just like your normal phone app but with even more flexibility. 

To make a call through Google Voice, simply go to Calls, hit the dialpad icon, and type in the number. In the Settings menu, you can set up and listen to voicemail, block numbers, and customize other preferences. 

You can also send and receive text messages through Google Voice using WiFi or cellular data, but there are certain restrictions. Texts are free if you're sending messages to anyone in the US or Canada, but when you're outside the US and not using WiFi, you might get hit with extra roaming fees.

And on your computer, simply go to the Google Voice page while you are signed into your Google account and use the keypad at the bottom right corner of the screen or use the number keys on your computer to type in the number you want to call, then hit the phone icon near the top right corner of the screen. Google Voice will place a call, and you can use your computer's speaker and microphone to listen and talk.

• Tesla investor Michael Perry sued Elon Musk for insider trading.
• He accused Musk of selling $7.5B worth of Tesla stock, knowing the company would miss Q4 targets.
• The stocks would be worth 55% less if Musk sold them after the Q4 results were released, he alleged.

A Tesla investor accused Elon Musk of using insider information on his company to sell $7.5 billion worth of Tesla stock in 2022, according to a lawsuit filed Thursday in Delaware Chancery Court.

The investor, Michael Perry, alleged in his suit that Musk knew Tesla would miss fourth-quarter expectations that year on vehicle deliveries and sold $7,530,113,926 worth of Tesla stock in November and December 2022 before the financial report was made public in January 2023.

The suit alleged that Musk's trades "would have netted him less than 55% of the amounts realized" had they been made after the quarter results were released to shareholders.

"Musk's insider profits for his November and December sales were approximately $3 billion based on the January 3, 2023 closing price of $108.10 per share," the lawsuit alleged.

Attorneys for Perry and Musk did not immediately respond to a request for comment.

Perry alleged in the lawsuit that Musk must have had access to information on his company that was not yet available to the public, which led to his stock sales.

The lawsuit cited statements Musk made later on in a 2023 earnings call, during which the Tesla CEO said the company has a "daily real-time update of how many cars were ordered yesterday, how many cars were produced yesterday" and that the data "does not have latency" or delays.

In addition, the lawsuit alleged that "a change in Tesla's production and delivery logistics" at the time should have made it more likely that Musk had access to material non-public information on Tesla's fourth-quarter production and delivery numbers.

Perry also accused Musk of misleading shareholders about what to expect in the fourth quarter of that year in an October 2022 earnings call.

"So, Q4 is looking extremely good," Musk said in the call, according to a transcript published by The Motley Fool.

"I can't emphasize enough," Musk also said, "We have excellent demand for Q4, and we expect to sell every car that we make for as far in the future as we can see."

Musk's Larry Ellison moment?

Shareholders can launch a derivative lawsuit against a company's directors if they believe a breach of duty has occurred.

A notable case came in 2001 when Larry Ellison, then the CEO of Oracle, was accused of selling nearly $900 million worth of shares before his company revealed it would not meet earnings expectations, The New York Times reported.

Ellison settled and agreed to pay $100 million to charity, according to the report.

James Park, a securities regulation expert at the University of California, Los Angeles, told Business Insider that these lawsuits are not uncommon but often dismissed at an early stage.

"But in some cases, like Ellison's, courts refuse to dismiss the case and then there is an incentive to settle rather than risk trial," he said.

Musk has been accused of insider trading before.

Last year, a group of investors filed a class-action lawsuit against the billionaire, accusing him of manipulating the price of Dogecoin, the Shiba Inu emblazoned cryptocurrency.

The lawsuit, which was filed in June 2023, is still ongoing.

Musk is also fighting to retain a $55 billion pay package after the chancellor of the Delaware Chancery Court, Kathaleen McCormick, struck down the agreement in January. McCormick, described by a colleague as "unflinching" and having a record of siding with sellers in company acquisitions, will also review Perry's lawsuit.

McCormick's ruling has caused Musk to sour on Delaware and has been pitching a move for Tesla to be incorporated in Texas.

Since the pay package was sunk, investment funds, shareholders, and a proxy advisory firm also have urged Tesla investors to vote against reinstating Musk's deal.

Investors will meet on June 13 to vote on the package and a proposal to move Tesla's incorporation state from Delaware to Texas.