financetom
Business
financetom
/
Business
/
Musk's bid to dismiss OpenAI's harassment claims denied in court
News World Market Environment Technology Personal Finance Politics Retail Business Economy Cryptocurrency Forex Stocks Market Commodities
Musk's bid to dismiss OpenAI's harassment claims denied in court
Aug 13, 2025 5:32 AM

(Reuters) -A federal judge on Tuesday denied Elon Musk's bid to dismiss OpenAI's claims of a "years-long harassment campaign" by the Tesla CEO against the company he co-founded in 2015 and later abandoned before ChatGPT became a global phenomenon.

In the latest turn in a court battle that kicked off last year, U.S. District Judge Yvonne Gonzalez Rogers ruled that Musk must face OpenAI's claims that the billionaire, through press statements, social media posts, legal claims and "a sham bid for OpenAI's assets" had attempted to harm the AI startup.

Musk sued OpenAI and its CEO Sam Altman last year over the company's transition to a for-profit model, accusing the company of straying from its founding mission of developing AI for the good of humanity, not profit.

OpenAI countersued Musk in April, accusing the billionaire of engaging in fraudulent business practices under California law. Musk then asked for OpenAI's counterclaims to be dismissed or delayed until a later stage in the case.

OpenAI argued in May its countersuit should not be put on hold, and the judge on Tuesday concluded that the company's allegations were legally sufficient to proceed.

A jury trial has been scheduled for spring 2026.

(Reporting by Deborah Sophia in Bengaluru; Editing by Devika Syamnath)

Comments
Welcome to financetom comments! Please keep conversations courteous and on-topic. To fosterproductive and respectful conversations, you may see comments from our Community Managers.
Sign up to post
Sort by
Show More Comments
Related Articles >
Weyerhaeuser Completes Sale of Lumber Facility to Gorman
Weyerhaeuser Completes Sale of Lumber Facility to Gorman
Sep 2, 2025
05:43 PM EDT, 09/02/2025 (MT Newswires) -- Weyerhaeuser (WY) said Tuesday it completed the sale of its lumber mill in Princeton, British Columbia, to Gorman Group, receiving about $60 million for the facility. The transaction also includes Weyerhaeuser's timber licenses in the province, which will be transferred separately following regulatory review. The company said it expects to receive the remaining...
Dream Finders Homes Prices $300 Million Notes Offering
Dream Finders Homes Prices $300 Million Notes Offering
Sep 2, 2025
05:18 PM EDT, 09/02/2025 (MT Newswires) -- Dream Finders Homes ( DFH ) said late Tuesday it priced a private offering of $300 million of 6.875% senior unsecured notes due 2030. The company expects net proceeds of about $295 million, which will be used to repay a portion of borrowings under its existing revolving credit facility and for general corporate...
Nordson Medical Divests Select Contract Manufacturing Product Lines to Focus on Higher-Value Opportunities
Nordson Medical Divests Select Contract Manufacturing Product Lines to Focus on Higher-Value Opportunities
Sep 2, 2025
05:17 PM EDT, 09/02/2025 (MT Newswires) -- Nordson ( NDSN ) said late Tuesday it closed the sale of select product lines of its medical contract manufacturing unit, Nordson Medical, to Quasar Medical. The divestment will enable Nordson Medical to prioritize higher-value opportunities related to medical components, according to a statement. Financial details were not disclosed. ...
Rackspace Technology Appoints New CEO
Rackspace Technology Appoints New CEO
Sep 2, 2025
05:43 PM EDT, 09/02/2025 (MT Newswires) -- Rackspace Technology ( RXT ) said late Tuesday it named Gajen Kandiah as chief executive officer, starting Sept. 3. Kandiah succeeds Amar Maletira, who will transition to the role of board vice chairman and continue as a board member to support the transition, according to a statement. Kandiah previously served as president and...
Copyright 2023-2026 - www.financetom.com All Rights Reserved