New Suit - Contract

Elon Musk sued OpenAI, its CEO Samuel Altman and OpenAI's co-founder Greg Brockman on Feb. 29 in California Superior Court for San Francisco County over alleged breach-of-contract. The lawsuit, brought by Irell & Manella, contends that the defendants violated the company's founding agreement by abrogating away from the intended and initial purpose: to create a nonprofit artificial intelligence research company designed to 'benefit humanity' and be 'free from financial obligation.' Musk claims that OpenAI has been transformed into a 'closed-source de facto' subsidiary of Microsoft and purportedly seeks to maximize profits primarily to serve the proprietary commercial interests of Microsoft. The suit also contends that U.S. officials are concerned with Altman's purported discussions with Middle Eastern investors, including the national security advisor of the UAE and the UAE's alleged ties to China. Counsel have not yet appeared for the defendants. The case is CGC-24-612746, Elon Musk Vs. Samuel Altman Et Al.

AI & Automation

March 01, 2024, 2:01 AM

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