A Pennsylvania judge decided Thursday to temporarily allow billionaire Elon Musk to continue his widely reported million-dollar cash gifts to registered voters in crucial swing states. However, this ruling might only be temporary because a federal court is scheduled to consider whether to take up the issue. This might stop the movement in the days leading up to the next U.S. presidential election.
Musk has been giving out $1,000 prizes daily to anyone in battleground states who signs a pledge supporting the U.S. Constitution through his political organization, America PAC. The project has raised significant legal debate and criticism, including a lawsuit filed by Philadelphia District Attorney Lawrence Krasner, who alleges that Musk’s actions may violate consumer protection and election laws.
Why Does the Philadelphia DA Believe "Musk Must Be Stopped"?
Earlier this week, Krasner sued Musk to stop the $1 million handouts, which he said threatened the integrity of the election. In his argument that the cash prize awards are an “illegal lottery,” Krasner said, “Musk must be stopped immediately, before the upcoming presidential election.”
After Musk retweeted a post criticizing Krasner, which sparked antisemitic comments and threats against him from Musk’s followers, the district attorney’s legal team also requested increased security during the hearing in Philadelphia. It instantly set off a chain reaction of posts from Musk’s supporters. Krasner was the target of numerous antisemitic remarks, according to a filing from his legal team.
Why Did the Judge Put the State Lawsuit on Hold Pending a Federal Court Decision?
The City of Philadelphia: According to Judge Angelo Foglietta, Krasner’s lawsuit will be put on hold until a federal court decides whether to take up the matter. The matter will return to state court jurisdiction if the federal court declines. Musk’s legal team stated that they would defend his activities in federal court despite Musk’s absence from the Philadelphia hearing.
“We will proceed to federal court, and we will address the issues there and seek to have the matter remanded back to the state court,” Musk’s lawyer said, underscoring the legal team’s strategy. After all, state law considerations are at play in this case.
Musk’s America PAC may be able to continue the daily donations until the federal ruling is made, which might not happen before Tuesday’s election.
How Do Musk's Daily $1 Million Prizes Target Voters in Key States?
Musk said earlier this month that he will give $1 million daily until November 5 to people in battleground states, such as North Carolina, Pennsylvania, Georgia, Nevada, Arizona, Wisconsin, and Michigan. Musk claims these states point to a close race between Democratic presidential candidate Kamala Harris and former President Donald Trump, whom he publicly supports.
One of the most recent winners, Dacey from Fremont, North Carolina, received a $1 million check on Thursday. To be eligible, people must sign a commitment reaffirming their constitutional support and submit personal identifying information, including their address and phone number.
Is the Giveaway a Legal Grey Area Between Lottery and Political Engagement?
The main issue in the case is whether Musk’s cash giveaway counts as an unlawful lottery, a claim Krasner is eager to prove in court. Krasner’s lawsuit claims that Musk and America PAC are lulling Philadelphia residents into divulging their personal information and making a political commitment in exchange for the opportunity to win $1 million, describing the practice as “indisputably an unlawful lottery.”
Musk’s attorneys contest this interpretation, arguing that the cash handouts are legitimate and intended to encourage public participation. In federal filings, Musk’s legal team contended that the complaint had little to do with consumer protection and nuisance concerns under state law. Instead, the complaint’s primary goal is to stop defendants from allegedly “interfering” in any way with the following federal presidential election, even if it is presented as state law allegations.
The U.S. Justice Department has previously cautioned the PAC that the lottery-style reward would violate federal election laws. Although it is illegal in the United States to pay someone to register to vote, legal experts say that Musk’s gift falls into a “gray area,” and a federal court has not yet decided whether it is lawful.
How Did Musk React to the Ruling on Social Media?
On his social networking site X (previously Twitter), Musk posted his satisfaction with Judge Foglietta’s verdict, referring to it as “American Justice FTW (for the win).” Since the federal court’s decision is unlikely to be made before Tuesday’s election, Musk’s America PAC will continue awarding prizes every day for the time being.
If a judge finds his plan illegal, Musk could be fined up to $10,000 and imprisoned for up to five years.
What Are the Broader Legal and Electoral Implications?
As the case progresses, there will be significant legal and electoral ramifications. Musk’s PAC’s activities have sparked discussions about electoral meddling, data privacy, and voter impact. Critics contend that the prize campaign may violate legal limits and deceive participants, while Musk’s defenders argue that it is only a well-known advocacy for civic duty.
Musk, who has openly advocated for Trump’s reelection, maintains that voters do not need to register as Republicans or cast a ballot to enter the prize draw. However, Krasner and his legal team insist that Musk’s giveaway’s fundamental design amounts to an unlawful lottery and is an example of voter manipulation that needs to be investigated immediately.