Business

Judge Orders Musk to Face Lawsuit Over $1 Million-a-Day Giveaway

Elon Musk must face a lawsuit accusing him of misleading voters into signing a petition during the 2024 election campaign with the promise of winning his $1 million-a-day giveaway, a federal judge has ruled.

US District Judge Robert Pitman in Austin, Texas, found that plaintiff Jacqueline McAferty plausibly alleged that Musk and his political action committee, America PAC, misrepresented the giveaway to obtain personal information. Musk created America PAC to back Donald Trump’s presidential campaign.

McAferty, an Arizona resident, said voters in seven swing states were told winners would be chosen randomly “like a lottery.” Participants were required to provide names, addresses, emails, and phone numbers, though she claims there was no genuine chance of collecting the prize.

Musk sought to dismiss the case, arguing the money was not a prize but compensation for becoming PAC spokespeople, making the scheme distinct from a lottery.

But Judge Pitman cited statements suggesting the $1 million was something to be “awarded” or “won.” He wrote: “It is plausible that plaintiff justifiably relied on those statements to believe that defendants were objectively offering her the chance to enter a random lottery—even if that is not what they subjectively intended to do.”

Lawyers for Musk and America PAC have not commented on the ruling.

 

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