Elon Musk and his America PAC reached a settlement on Thursday, October 15, 2026, in a class-action lawsuit alleging the organization misled voters during the 2024 presidential election. The lawsuit claimed the PAC falsely advertised that registered voters in battleground states could randomly win $1 million by signing a petition, when the winners were allegedly predetermined.
The legal dispute originated from a campaign before the 2024 election intended to support then-candidate Donald Trump. Musk’s PAC offered $1 million prizes to individuals who signed an online petition supporting the First and Second Amendments and provided their personal identifying information. While the campaign was marketed as a chance to win, later court testimony revealed that recipients were selected based on their potential as spokespeople.
According to a one-page court filing, the involved parties have requested a 30-day stay of proceedings to finalize and execute the settlement agreement. The filing asks the court to vacate all current deadlines while they prepare a Motion for Preliminary Approval. Joy Havrick of Arizona, a plaintiff in the case represented by attorney Mark Bankston, alleged in her complaint that she would not have provided her personal data had she known the selection process was not random.
During the 2024 campaign, Philadelphia District Attorney Larry Krasner challenged the giveaway as an illegal lottery. However, a Pennsylvania judge allowed the payments to continue after attorneys for America PAC argued the payouts were not a lottery because winners were chosen for their suitability to serve as PAC representatives and the money was earned as payment for that role. The PAC ultimately distributed millions of dollars to more than a dozen individuals during the contest.
For the public, this case addresses the legal boundaries of political sweepstakes and data collection. The settlement prevents further public testimony regarding how the PAC selected its winners and how it managed the personal data of signatories. The specific financial terms of the settlement, including any potential payments to class members, have not yet been disclosed.
The settlement addresses the claims of fraud and consumer deception regarding the nature of the giveaway. The next steps involve the parties filing a formal settlement agreement within 30 days, after which a judge will review the terms for preliminary approval. The specific date for that filing was not reported.
