Musk Loses OpenAI Lawsuit After Jury Rules Claims Filed Too Late
A California jury has unanimously dismissed Elon Musk‘s Musk OpenAI lawsuit against the AI company and its chief executive Sam Altman, BBC Business reported Monday, finding that Musk had simply waited too long to bring his case to court.
Statute of Limitations Sinks All Claims
The jury deliberated for roughly two hours before concluding that the legal window for Musk’s allegations had already closed. His two primary claims, breach of charitable trust and unjust enrichment, were found to be time-barred. That ruling meant jurors were never asked to weigh the substance of the case. Separate claims against Microsoft were subsequently dismissed as a matter of law, following directly from the jury’s findings on the OpenAI claims. A Microsoft spokesperson said the facts and timeline had always been clear.
What Musk Originally Alleged
Musk co-founded OpenAI alongside Altman in 2015, contributing around $38 million with the understanding the organisation would remain a nonprofit focused on developing AI for broad human benefit. He departed in 2018 after his co-founders rejected his bid for operational control. Musk later argued Altman had effectively deceived donors by steering the company toward a commercial, for-profit structure. Altman countered during testimony that Musk had himself sought long-term control of OpenAI, including, according to Altman, floating the idea of passing that control to his children after his death.
Three Weeks of High-Profile Testimony
The trial drew considerable attention before reaching its swift conclusion. Over three weeks, jurors heard testimony from Musk, Altman, and Microsoft CEO Satya Nadella, as well as reviewing extensive internal correspondence. Law professor Carl Tobias of the University of Richmond praised the outcome as a grounded, fact-based decision that demonstrated why juries function as effective arbiters of factual disputes.
Musk Vows Appeal as OpenAI Claims Victory
Within hours of the verdict, Musk took to X to call the ruling a “calendar technicality” and announced plans to appeal. He also attacked the presiding judge, describing the jury as a cover for what he framed as an unjust outcome. OpenAI’s legal team pushed back sharply. Lawyer William Savitt said the jury had concluded Musk’s account of the company’s origins was not credible. A company spokesman called the verdict a victory for both OpenAI and the justice system, characterising the lawsuit as an attempt to obstruct a competitor rather than pursue genuine legal grievance.
The case adds to a run of recent courtroom setbacks for Musk across multiple jurisdictions.
