A judge just handed down a ruling that keeps Elon Musk’s legal battle with OpenAI alive, but not without some major setbacks. The Northern District of California court tossed out one of his central arguments while letting others move forward. This isn’t the end of the road, though. The case still has legs, and the real fight is just getting started.
Judge Yvonne Gonzalez Rogers made it clear that while Musk’s claims aren’t all strong enough to survive, enough of them are to keep the pressure on OpenAI. The court dismissed Musk’s argument that a formal contract existed between him and OpenAI. His team pointed to email exchanges from 2015 to 2019 as proof, but the judge wasn’t convinced. Without a single, clear agreement, that part of the case collapsed.
But here’s where things get interesting. The judge ruled that Musk’s alternative claim—that an unspoken, implied contract existed—could proceed. The court found his argument plausible enough to let a jury decide whether OpenAI’s actions created an obligation they later violated. This keeps a crucial piece of the lawsuit intact.
Beyond the contract dispute, the court also allowed other claims to move forward, including allegations of fraud and unjust enrichment. These will now face further scrutiny as the case progresses. It’s worth noting that this ruling only addresses whether Musk’s claims are legally viable at this stage. The court isn’t weighing in on whether OpenAI actually did anything wrong—that’s a battle for another day.
Earlier this year, Musk tried to block OpenAI’s shift from a nonprofit to a for-profit model. The judge called his request extraordinary and denied it, but the broader lawsuit remains active.
For those following the case, this is a pivotal moment. While some arguments didn’t survive, enough did to ensure the legal showdown continues. The stakes are high, and the outcome could reshape how tech collaborations are structured in the future. One thing’s certain: this isn’t over yet.