Musk calls the $1 million election a legitimate promotion, not an illegal lottery investment.com
Investing.com-Elon Musk has asked a federal judge to throw out a proposed class-action lawsuit alleging that his $1 million-a-day election campaign to support the U.S. Constitution is an illegal lottery under Texas law.
The lawsuit, filed by Arizona resident Jacqueline McAferty on November 5, 2024, alleges that Tesla Inc (NASDAQ 🙂 CEO Musk and his political action committee, America Pac, misled participants by suggesting that winners would be chosen at random.
In his defense, Musk argued that participants were fully aware that signing the petition provided an opportunity to earn funds as America’s PAC spokespeople, not a random lottery. He stressed that the provision of personal information did not cause harm, as alleged in the lawsuit.
The lawsuit seeks $5 million in damages for the petition’s signatories, claiming the gift was fraudulent and violated state law.
Musk’s initiative, which was part of his endorsement of Donald Trump’s 2024 presidential campaign, included daily rewards of $1 million to registered voters in Swing states who signed a petition supporting the US Constitution. The legal debate centers on whether this is an illegal inducement or a legitimate promotional activity.
