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Judge rules Elon Musk's lawsuit against OpenAI will go to trial
Summary
A federal judge in California found there is enough evidence to send Elon Musk's 2024 lawsuit against OpenAI and CEO Sam Altman to a jury trial, rejecting motions to dismiss; the trial is scheduled for March.
Content
A federal judge in California has ruled that Elon Musk's lawsuit against OpenAI and its CEO, Sam Altman, contains sufficient evidence to proceed to a jury trial. The suit, filed in 2024, alleges Musk was misled about OpenAI's transition from its original nonprofit orientation to a more profit-focused model. During a hearing, the judge indicated she would deny motions from Altman's attorneys to dismiss the case. The matter is set for trial in March.
Court findings and claims:
- U.S. District Judge Yvonne Gonzalez Rogers said the record contains substantial evidence that supports moving the case to a jury, while noting much of the evidence is circumstantial.
- The complaint states Musk contributed approximately $38 million to OpenAI under the understanding it would remain focused on nonprofit goals and broad public benefit.
- OpenAI has disputed those claims, saying Musk was informed as early as 2018 about plans to pursue a for-profit approach and that the nonprofit parent still exercises control.
- The judge's decision clears the path for a jury trial scheduled for March.
Summary:
The ruling allows factual disputes between Elon Musk and OpenAI to be resolved by a jury at the March trial. Undetermined at this time are the outcomes the jury may reach and any subsequent legal steps following the trial.
