The judge granted Musk’s request to drop fraud claims, confirming that breach of charitable trust and unjust enrichment claims will proceed to trial, with jury selection starting Monday.
Musk’s legal team argued for dismissal to reinforce that he is not seeking personal monetary damages, but wants over $100 billion transferred from OpenAI’s for-profit to its nonprofit arm.
Earlier, the trial was split into liability and remedies phases, with Musk alleging OpenAI violated its original nonprofit mission after he provided initial funding.
Has OpenAI's pursuit of profit betrayed its original mission to benefit humanity?
Could this lawsuit permanently change how charitable organizations are held accountable?
How damaging is the diary entry calling OpenAI's nonprofit pledge 'a lie'?
Can Sam Altman be trusted with AI, given his history of alleged dishonesty?
With a $17B annual cash burn, is OpenAI's financial model sustainable?
Is Elon Musk fighting for humanity's future or attacking his biggest AI competitor?
Elon Musk’s $150 Billion Lawsuit Against OpenAI: Breach of Trust and Trial Set for April 2026
Overview
In April 2026, Elon Musk streamlined his lawsuit against OpenAI by withdrawing fraud claims, focusing on breach of charitable trust and unjust enrichment. He alleges OpenAI betrayed its original nonprofit mission by restructuring to a capped-profit model in 2019 and accepting major investments from Microsoft. Musk demands OpenAI return to nonprofit status and remove key leaders. OpenAI denies these claims, calling the lawsuit a competitive tactic by Musk, founder of rival xAI. The trial, starting April 27, 2026, poses significant risks to OpenAI's planned $1 trillion IPO and highlights intense competition in AI development. Musk's prior $97.4 billion acquisition bid and outreach to Meta add complexity to the dispute.