US judge dismisses Musk's fraud claims in OpenAI case at his request, plans to proceed to trial


A 3D-printed miniature model of Elon Musk and the OpenAI logo are seen in this illustration taken January 23, 2025. REUTERS/Dado Ruvic/Illustration

April 24 (Reuters) - 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 OpenAIbenefit humanity rather ⁠than be a "wealth machine."

Thecasecenters on ​Musk’s claim thatOpenAI, Altman and Microsoft, one of OpenAI's largest investors, conned him and the public ⁠by forming a for-profit entityin 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.

(Reporting by Jonathan Stempel in New York; Editing by Chris Reese)

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