Musk v. Altman trial opens in Oakland with focus on charitable trust breach
Judge clarifies proceedings concern the validity of the trust agreement rather than general AI safety risks as the three-week hearing begins.
The first week of the Musk v. Altman trial commenced in Oakland, California, with Elon Musk testifying against OpenAI. The proceedings centre on allegations that Sam Altman and Greg Brockman breached the company's charitable trust by converting OpenAI from a non-profit to a for-profit entity. This action allegedly contravenes the original 2015 agreement between the founders.
Musk is seeking remedies including significant damages and the removal of Sam Altman from his position. He also seeks to unwind OpenAI's 2025 restructuring deals with the attorneys general of California and Delaware. While the case involves high-stakes financial implications for the company, the presiding judge intervened to clarify that the trial concerns the validity of the trust agreement rather than general AI safety risks.
During the hearing, the judge sternly intervened when counsel discussed catastrophic AI safety risks. She clarified that the trial is strictly about whether Musk was deceived regarding the company's mission, not a debate on whether AI has damaged humanity. This intervention highlighted the legal boundary between the specific breach of trust being litigated and broader discussions on artificial intelligence stewardship.
Notable testimony included Musk's admission that xAI distils OpenAI's models to train its own systems. He defended this practice as standard industry procedure. The trial is expected to last approximately three weeks, with a jury scheduled to deliver an advisory verdict that will guide the judge's final decision on liability and remedies.
Musk appeared calm, collected, and witty in court, contrasting his online persona. He engaged in banter with lawyers but became flustered when faced with tough, piercing questions from OpenAI's counsel. The proceedings also revealed extensive coordination among Big Tech executives, including a text exchange between Musk and Mark Zuckerberg attempting to jointly stop OpenAI's restructuring.
Upcoming witnesses include Greg Brockman, who is expected to testify next week, followed by high-profile figures such as Stuart Russell, Ilya Sutskever, Mira Murati, and Satya Nadella. A key legal battleground remains the timing of Musk's discovery of alleged misconduct, with the statute of limitations for charitable trust claims requiring action within three to four years of discovery.
