SAN FRANCISCO (AP) — A federal judge on Friday rejected Tesla CEO Elon Musk's bid to move or delay a trial over a misleading tweet about a potential buyout of the electric automaker, setting the stage for the mercurial billionaire to be thrust into a legal drama amid the turmoil of his Twitter takeover.
The decision by U.S. District Judge Edward Chen came during a hearing held in San Francisco federal court to go over the final details of a trial scheduled to begin Tuesday with jury selection.
Musk's attorneys last week asked Chen to transfer the trial to a federal court in Texas, where Tesla moves its headquarters in 2021, arguing that negative coverage of Musk since his $44 billion purchase of Twitter in October had poisoned the jury pool in the San Francisco Bay Area.
But Chen brushed aside those concerns Friday, and expressed confidence that a panel of impartial jurors could be drawn from a region populated by millions of people. He also noted that a jury was pulled together for trial in the highly publicized criminal trial of former Theranos CEO Elizabeth Holmes, whose transformation from a Silicon Valley star to accused swindler was the subject of an HBO documentary and book before those proceedings began in nearby San Jose, California.
Holmes, 38, is now facing more than 11 years in federal prison of being convicted of investor fraud and conspiracy.
Musk's upcoming trial revolves around a civil lawsuit brought on behalf of Tesla shareholders who allege they were duped by a n Aug. 7, 2018 tweet in which he indicated he had lined up financing for a Tesla buyout — a deal that never materialized and resulted in a $ 40 million settlement with U.S. securities regulators.
Chen already has determined that Musk’s buyout tweet was false, leaving it to a jury to decide...
