Tesla Inc. took a step to prevent future shareholder lawsuits like the one that blocked a record-setting pay package for Chief Executive Officer Elon Musk.

Tesla (NASDAQ: TSLA) has amended its bylaws to block shareholders owning less than 3% of the companys stock from filing derivative lawsuits against its directors or officers. The update, disclosed in a recent SEC filing,

Tesla changed its bylaws to require investors to hold at least 3% of shares to file or maintain a derivative lawsuit, aiming to limit future legal challenges like those over Musk's pay package