Elon Musk’s attempt to block OpenAI’s conversion from a nonprofit to a for-profit entity was denied by a federal judge. Musk had claimed that the conversion violated the terms of his donations to the company. However, Judge Yvonne Gonzalez Rogers ruled that Musk did not meet the burden of proof required for an injunction. The judge expedited the case, setting a trial before the end of the year to address Musk’s core claims. The court recognized the potential public interest implications, noting that donors might have taken tax deductions for contributions to a nonprofit now turning for-profit. Despite this, the judge denied the preliminary injunction, stating that such relief is extraordinary and rarely granted without a full trial. The case will proceed with an expedited schedule to address the legality of the conversion.
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