Tesla CEO Elon Musk is being sued for allegedly running an illegal lottery with his million-dollar giveaways, which are intended to register voters, though his attorneys contend winners are “not chosen by chance.”
“There is no prize to be won,” Musk’s lawyer, Chris Gober, argued Monday at the Philadelphia Court of Common Pleas, stating that the winners “are not chosen by chance.” So far, Musk’s America PAC has awarded million-dollar prizes to 16 people and said the final prize will be given on Nov. 5.
Judge Angelo Foglietta is considering whether to block Musk’s America PAC from holding the sweepstakes after Philadelphia District Attorney Larry Krasner (D) argued the giveaways constitute an illegal lottery operating outside of Pennsylvania’s gaming laws.
The pushback from Musk’s counsel was notable given that the billionaire technology CEO announced on Oct. 19 that America PAC would be “awarding $1 million randomly to people who have signed the petition.”
In more recent days, Musk and promoters of the sweepstakes have adjusted their language to suggest that winners are picked “by chance,” arguing there is a distinction between that and winners who are selected “randomly,” which is more akin to how lotteries work.
BREAKING: Elon Musk announces that he will be randomly awarding $1 MILLION every day from now until Election Day to registered Pennsylvania voters who sign America PAC’s petition and surprised a member of the audience as the first winner.
— America (@america) October 20, 2024
An attorney for Krasner’s office, John Summers, said the argument by Musk’s counsel was a “complete admission of liability.” Part of Krasner’s argument in his initial lawsuit filed last week was the giveaway winners were not being randomly selected.
Musk’s PAC clarified in recent days that the sweepstakes winners are receiving payment to serve as spokespeople, a point that was not initially clarified until days after Musk started handing out the million-dollar prizes last month.
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The hearing in the battleground state comes just one day before former President Donald Trump, for whom Musk has been relentlessly campaigning, will face off against Vice President Kamala Harris.
It’s not immediately clear when the judge will rule on whether to halt Musk’s sweepstakes.