Elon Musk’s $1 Million Election Giveaway Case Won’t Move To Federal Court

Topline

Elon Musk’s request to move a lawsuit challenging his America PAC’s giveaways to federal court was denied on Friday, according to court filings, though it’s not immediately clear whether the litigation will be resolved in time for Election Day next week or whether the prizes will continue.

Key Facts

U.S. District Judge Gerald Pappert denied Musk’s request in Philadelphia federal court on Friday, after Musk motioned the case—filed by Philadelphia District Attorney Larry Krasner—to be moved to federal court earlier this week.

Though Krasner claims America PAC’s $1 million prizes violate state law, Musk argued the lawsuit concerned federal law and the lawsuit was intended to prevent his and the PAC’s “purported ‘interference’” in the presidential election “by any means.”

Philadelphia Judge Angelo Foglietta paused the case on Thursday while the district court considered taking up the case, allowing the giveaways to continue, though it’s unlikely the prizes will be halted before Election Day on Tuesday, according to Reuters.

Surprising Fact

Before a hearing on Wednesday, Krasner asked the court to “enhance its security” and suggested the proceeding take place at Philadelphia’s City Hall or be moved to a local center for criminal justice that’s “more fully staffed with sheriffs than City Hall.” Krasner cited posts from Musk on social media which Krasner said provoked “unquestionably … criminal” threats against him, including unspecified “antisemitic attacks” and messages that invited “political violence,” The Philadelphia DA said one user posted his home address to social media and said: “Krasner loves visitors. Mask up and leave all cellphones at home.”

Key Background

Krasner sued America PAC earlier this week, saying the PAC and Musk “must be stopped, immediately” from giving away $1 million to randomly selected swing state voters who sign a petition on the PAC’s website. Krasner alleges the prizes violate Pennsylvania’s consumer protection laws and are “indisputably an unlawful lottery,” though there is concern from legal experts over whether they violate federal law. The DA’s lawsuit reportedly followed a warning from the Justice Department, which sent a letter to the PAC saying the giveaway might violate federal law.

Forbes Valuation

Musk is the wealthiest person in the world with a fortune valued at $263.4 billion, according to our latest estimates.

Further Reading