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Tags: elon musk | openai | sam altman | microsoft

Musk Fraud Claims Against OpenAI Out, Trial Still on

Friday, 24 April 2026 08:29 PM EDT

A U.S. judge on Friday dismissed Elon Musk's fraud claims in his lawsuit accusing OpenAI and co-founder Sam Altman of betraying OpenAI's original mission, but plans to proceed to trial on ​Musk's breach of charitable trust and unjust enrichment claims.

The ruling was ⁠issued by U.S. District Judge Yvonne ​Gonzalez Rogers in Oakland, California.

Jury selection is scheduled to ⁠begin on Monday, and opening arguments are expected on Tuesday.

Musk had said dismissing his fraud and ‌constructive fraud claims, which he proposed, ​would streamline the ‌case and keep jurors focused on his goal of ‌ensuring that OpenAI benefit humanity rather than be a "wealth machine."

The case centers on Musk's ⁠claim that OpenAI; Altman; ‌and Microsoft, one ⁠of OpenAI's largest investors, conned him and the public ⁠by ⁠forming a for-profit entity in 2019, after he left OpenAI's ‌board.

OpenAI is preparing for a potential initial public offering that could value it at $1 trillion, ‌Reuters ​has reported.

Musk is ‌seeking $150 billion in damages, according to a person involved in the case, ​with proceeds going to OpenAI's charitable arm.

© 2026 Thomson/Reuters. All rights reserved.


StreetTalk
A U.S. judge on Friday dismissed Elon Musk's fraud claims in his lawsuit accusing OpenAI and co-founder Sam Altman of betraying OpenAI's original mission, but plans to proceed to trial on ​Musk's breach of charitable trust and unjust enrichment claims.
elon musk, openai, sam altman, microsoft
179
2026-29-24
Friday, 24 April 2026 08:29 PM
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