Elon Musk Reaches Settlement in Lawsuits Over $1 Million Election Giveaways

Billionaire entrepreneur Elon Musk and his political action committee, America PAC, have agreed to settle two lawsuits alleging that they misled voters with promises of daily $1 million giveaways ahead of the 2024 US presidential election. The proposed settlements are subject to approval by a federal judge in Austin, Texas.

The lawsuits were filed by two Arizona residents who accused Musk and America PAC of misleading voters across seven battleground states. According to the complaints, the campaign encouraged people to sign a petition supporting the US Constitution by promising that randomly selected signatories could receive $1 million each day.

Settlement Terms Remain Undisclosed

Court filings submitted on Thursday confirmed that the parties had reached an agreement to resolve the two proposed class-action cases. However, the documents did not disclose the financial or other terms of the settlements.

Lawyers involved in the proceedings declined to comment or did not immediately respond to requests for further information. The agreements must receive court approval before the cases can be formally resolved.

Musk and America PAC have denied the allegations. The settlements do not, by themselves, establish that the defendants committed fraud.

Voters Questioned How Winners Were Selected

The plaintiffs argued that the giveaway was presented as a random lottery, but alleged that recipients were selected based on their potential value as public representatives for America PAC. They claimed they would not have signed the petition or shared their personal information had they known how the winners were chosen.

The initiative was launched in the weeks before the November 2024 presidential election. Musk, who founded America PAC to support Donald Trump's successful campaign, offered the payments to registered voters in seven competitive states: Arizona, Georgia, Michigan, Nevada, North Carolina, Pennsylvania and Wisconsin.

Court Had Ordered Musk to Testify

In June 2026, a federal judge ordered Musk to testify under oath in connection with the lawsuits. The court proceedings examined claims that voters had been misled about the selection process and the conditions attached to the giveaway.

The newly announced settlements could bring the two cases to a close without further litigation, depending on the court's decision. The undisclosed terms leave questions about any payments or other obligations under the agreements unanswered.