No judge with Tesla stock should handle Elon Musk cases, watchdog argues

Elon Musk's ongoing legal battle with Media Matters for America (MMFA) has raised concerns regarding potential bias from judges who own Tesla stock. MMFA's lawyers argue that any judge with a financial interest in Tesla, including Judge Reed O'Connor, should recuse themselves from cases involving Musk, as outcomes could impact Tesla's finances. They claim that the public association between Musk and Tesla could lead observers to question a judge's impartiality. Although it remains unclear if Judge O'Connor currently owns Tesla stock, MMFA has requested that Tesla be recognized as an interested party in the litigation, which could necessitate O'Connor's recusal if he does own shares.

In response, X Corp, Musk's company, contends that Tesla is not a party to the case and has no stake in the litigation, labeling MMFA's motion as "meritless." X argues that judges should not be required to recuse themselves from cases that might indirectly affect companies in which they hold stock. Recent instances of judges recusing themselves from Musk-related cases have occurred without clear explanations, raising further questions about judicial impartiality. MMFA maintains that Musk's actions could influence Tesla's stock price, suggesting that the court should consider Tesla's financial interests in the case. A ruling on MMFA's motion is expected in the coming weeks.