Judge temporarily stays lawsuit against Elon Musk for $1 million gift he offered voters
The judge decided to stay the proceedings while the billionaire's lawyers try to move the case from state court to federal court.
Elon Musk at a rally organized by America PAC in support of former U.S. President Donald Trump.
A judge temporarily stayed a lawsuit that Philadelphia District Attorney Larry Krasner filed against businessman Elon Musk. Krasner is seeking to rein in Musk, who is offering $1 million a day to registered voters in key states.
At Thursday's hearing in Philadelphia City Hall, Judge Angelo Foglietta decided to stay the lawsuit while Musk's lawyers try to move the case from state to federal court.
Musk's lawyers argued in their court filing that the lawsuit "has little to do" with valid claims under state nuisance and consumer protection law. Instead, they argue that Krasner's allegations address fundamental questions of federal law, which are the exclusive province of the federal court system.
Context of the sweepstakes and allegations
Since Oct. 19, Musk has been handing out daily prizes to random voters who sign a petition supporting free speech and the right to bear arms. The offer is aimed at registered voters in one of seven key states likely to determine the outcome of the Nov. 5 election: Arizona, Georgia, Michigan, Nevada, North Carolina, Pennsylvania, and Wisconsin.
This campaign, backed by his political committee, America PAC, has been interpreted as an effort to mobilize support in favor of former President Donald Trump. Philadelphia District Attorney Larry Krasner contends that these massive payments could violate election and lottery laws by being considered a financial inducement that could sway the vote. Musk argues that the sweepstakes only rewards participants for their endorsement, not constituting vote buying.
Musk's absence and request for sanctions
Musk was not present at the hearing, prompting Krasner's lawyers to seek sanctions against him. Musk's attorney, Matthew Haverstick, explained that his client did not have enough time to attend due to the short 12-hour notice. He further argued that the America PAC political committee, not Musk personally, funds the awards, so only the committee should be liable.
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