Elon Musk asks court to move Tesla shareholders trial to Texas due to potential jury bias
The billionaire says he won't get a fair trial in San Francisco.
Elon Musk has asked a federal judge to move his upcoming trial of Tesla shareholders out of San Francisco. According to the Associated Press, Alex Spiro, the billionaire's personal lawyer, filed the request Friday evening, less than two weeks before the start of the trial scheduled for January 17. Musk's legal team argues that "a substantial portion" of the potential jury pool in San Francisco is likely to be biased against Musk due to recent media coverage criticizing his actions on Twitter and the seemingly endless firings in the business. Musk asked to move the trial to Texas, which has been home to Tesla's headquarters since late 2021.
The class action lawsuit involves "false and misleading" statements Musk made in 2018 when he said he was considering taking Tesla private at $420 a share. Musk's now infamous 'funding secured' tweet got the billionaire in trouble with the US Securities and Exchange Commission, which ultimately led to a $40 million settlement with the agency. Shareholders involved in the lawsuit scored an early victory last spring when federal judge Edward Chen found that Musk had "recklessly made the statements knowing they were false." The upcoming lawsuit will determine whether Musk's tweet affected the automaker's stock price and whether it should be held liable for potential damages.
"Musk's concerns are unfounded and his claim is without merit," Nicholas Porritt, one of the attorneys representing Tesla shareholders, told The Associated Press. "The Northern District of California is the appropriate location for this lawsuit and where it has been actively litigated for more than four years." On Saturday, Judge Chen told both sides that he would hear Musk's request on January 13.
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The billionaire says he won't get a fair trial in San Francisco.
Elon Musk has asked a federal judge to move his upcoming trial of Tesla shareholders out of San Francisco. According to the Associated Press, Alex Spiro, the billionaire's personal lawyer, filed the request Friday evening, less than two weeks before the start of the trial scheduled for January 17. Musk's legal team argues that "a substantial portion" of the potential jury pool in San Francisco is likely to be biased against Musk due to recent media coverage criticizing his actions on Twitter and the seemingly endless firings in the business. Musk asked to move the trial to Texas, which has been home to Tesla's headquarters since late 2021.
The class action lawsuit involves "false and misleading" statements Musk made in 2018 when he said he was considering taking Tesla private at $420 a share. Musk's now infamous 'funding secured' tweet got the billionaire in trouble with the US Securities and Exchange Commission, which ultimately led to a $40 million settlement with the agency. Shareholders involved in the lawsuit scored an early victory last spring when federal judge Edward Chen found that Musk had "recklessly made the statements knowing they were false." The upcoming lawsuit will determine whether Musk's tweet affected the automaker's stock price and whether it should be held liable for potential damages.
"Musk's concerns are unfounded and his claim is without merit," Nicholas Porritt, one of the attorneys representing Tesla shareholders, told The Associated Press. "The Northern District of California is the appropriate location for this lawsuit and where it has been actively litigated for more than four years." On Saturday, Judge Chen told both sides that he would hear Musk's request on January 13.
All products recommended by Engadget are selected by our editorial team, independent of our parent company. Some of our stories include affiliate links. If you purchase something through one of these links, we may earn an affiliate commission. All prices correct at time of publication.
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