Philadelphia District Attorney Larry Krasner on Monday filed a civil lawsuit accusing Elon Musk and his new America PAC of violating Pennsylvania laws with the political action committee’s daily giveaways of $1 million to those who sign a petition declaring support for the First Amendment and Second Amendment of the U.S. Constitution.
Musk launched the giveaways through America PAC earlier this month, but his political action committee began in July, after the billionaire behind X, Tesla, and SpaceX endorsed former President Donald Trump following the July 13 attempt to assassinate the former president.
Congratulations Nancy of Arizona! https://t.co/F1wzkDQKf2
— Elon Musk (@elonmusk) October 28, 2024
Krasner, whose campaign was funded by controversial Hungarian-American financier George Soros, took the legal action after Governor Josh Shapiro called the giveaway “deeply disturbing” and urged law enforcement to investigate Musk and America PAC.
As part of its efforts to increase voter registration, America PAC initially announced it would pay those who sign the petition $47 to register other voters. This was raised to $100 for Pennsylvanians. During a Pennsylvania rally on October 19, Musk announced America PAC would give away $1 million to a random person who signed the group’s petition each day until Election Day on November 5.
Those who sign the petition declare their agreement with the statement, “The First and Second Amendments guarantee freedom of speech and the right to bear arms. By signing below, I am pledging my support for the First and Second Amendments.”
Krasner claims in his lawsuit this giveaway constitutes an “illegal lottery,” which is considered a public nuisance in Pennsylvania, and further that Musk and America PAC misled those who signed the petition to enter for a chance to win $1 million by failing to disclose its rules, privacy privacy policy, randomly select winners, and pay winners in a timely fashion.
Jason of Holland, Michigan received $1M for signing our petition to support the Constitution.
Every day until Election Day, a person who signs will be selected to earn $1M as a spokesperson for America PAC
SIGN: https://t.co/TMeyWUhJhf pic.twitter.com/wb2mgyZwRM
— America (@america) October 25, 2024
Neither Musk nor America PAC have called the giveaway a lottery, which Krasner acknowledges is defined by Pennsylvania legal precedent as a contest which requires a prize, a winner determined by chance, “and the payment of a consideration by the player.”
Musk does not require those who enter his giveaway to pay for tickets to participate, but Krasner argues in the lawsuit those who sign the petition declaring their support for the Constitution are “players” who “provide at least two forms of consideration,” specifically, personally identifying information associated with the petition, and “they bind their own future conduct through a pledge to support specified positions.”
Krasner also accuses Musk and America PAC of misleading those who sign the petition in violation of the Pennsylvania Unfair Trade Practices and Consumer Protection Law, claiming signing the petition, “causes detriment to the participant,” who “loses control over their personal data, which could be sold to third parties,” and “implicitly pledges that their name, likeness, and support to America PAC, which will be made public if the participant wins the lottery, thus forfeiting personal privacy.”
Marie from Pahrump, Nevada received $1M for signing our petition to support the Constitution.
Every day until Election Day, a person who signs will be selected to earn $1M as a spokesperson for America PAC.
SIGN: https://t.co/TMeyWUhbrH pic.twitter.com/Np4Fa5gBmW
— America (@america) October 26, 2024
As evidence of the lack of randomness, Krasner notes that giveaway winners happened to be physically present at two events Musk held in Pennsylvania.
While the definition of illegal lotteries is partially established by legal precedent in Pennsylvania, Title 18 Section 5512 of the Pennsylvania Consolidated Statutes defines unlawful lotteries as “common nuisances,” and explains that is a first degree misdemeanor offense applied to individuals who engage in certain behavior:
(b) Offense defined.–A person is guilty of a misdemeanor of the first degree if he:
(1) sets up, or maintains, any lottery or numbers game;
(2) manufactures or prints, or sells, exposes for sale or has in his possession with intent to sell any unlawful lottery or numbers ticket or share, or any writing, token or other device purporting or intending to entitle the holder or bearer, or any other person, to any prize to be drawn or obtained in any lottery, or numbers game; or
(3) publishes any advertisement of any lottery or numbers game.”
Pennsylvania’s public nuisance law declares a person who creates “any public or common nuisance is guilty of a misdemeanor of the second degree,” and empowers law enforcement to forcibly “abate” any such nuisance.
The legal action taken by Krasner against Musk and America PAC is civil, but should the district attorney have sought criminal charges against Musk and America PAC, the billionaire would have faced five years in prison and a $10,000 fine if convicted of a first degree misdemeanor, or up to two years in prison and a $5,000 fine for a second degree misdemeanor.
Krasner merely asked the court to bar Musk and America PAC from continuing its efforts, but its claims about the committee’s alleged violation of Pennsylvania’s consumer protection laws could prove costly.
Brian from Eau Claire, Wisconsin who received $1M for signing our petition to support the Constitution encourages Americans to get out and Vote Early
“I used to be a Democrat and we’ve just over the years seen the party change and kind of do a 180”
SIGN: https://t.co/TMeyWUhJhf pic.twitter.com/KERdYVAGzp
— America (@america) October 25, 2024
If found guilty of violating consumer protection legislation, the Unfair Trade Practices and Consumer Protection Law seems to suggest Musk and his America PAC could face civil penalties of up to $1,000 per person who signed the petition, which could increase to $3,000 for signers over age 60.
America PAC continued its giveaway as Krasner’s lawsuit was reported, with the committee posting to the social media platform X that a man from Hastings, Michigan is the group’s latest winner.
Jordan from Hastings, Michigan received $1M for signing our petition to support the Constitution.
Every day until Election Day, a person who signs will be selected to earn $1M as a spokesperson for America PAC.
SIGN: https://t.co/TMeyWUhbrH pic.twitter.com/mvxC6FYtAi
— America (@america) October 28, 2024
Pennsylvania Attorney General Michelle Henry, who was appointed by Shapiro to work his old job after he was elected governor, has not announced legal action against Musk or America PAC.
Krasner was impeached by the Pennsylvania House of Representatives in 2022, but the Pennsylvania Senate indefinitely delayed the impeachment trial against him last year.
Law enforcement has blamed Krasner’s lenient view on criminal justice for crime spreading to Philadelphia’s suburbs.
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Tom Pappert is the lead reporter for The Tennessee Star, and also reports for The Pennsylvania Daily Star and The Arizona Sun Times. Follow Tom on X/Twitter. Email tips to [email protected].