The Philadelphia District Attorney's Office filed a lawsuit Monday to block a $1 million giveaway by a political action committee (PAC) controlled by billionaire Elon Musk, claiming it constitutes an illegal lottery. The PAC, called Musk’s America PAC, backs former President Donald Trump in the upcoming election. The lawsuit, filed in the Philadelphia County Court of Common Pleas, alleges the PAC’s campaign targeted Pennsylvania residents with a prize draw in exchange for sharing personal data, thus violating state consumer protection laws.
Philadelphia’s District Attorney, Lawrence Krasner, stated that the giveaway threatens the public’s right to a “free and fair election,” arguing that it could manipulate voters ahead of the Nov. 5 election. Krasner’s complaint seeks an injunction to immediately halt the giveaways.
The America PAC campaign offers $1 million prizes to registered voters in battleground states like Pennsylvania, a key player with 19 electoral votes. An America PAC spokesperson responded by linking to a social media post identifying a Michigan resident who had already won the $1 million prize, stating that more prizes will be awarded daily until Election Day.
In this case, the Philadelphia District Attorney has initiated legal action against Elon Musk and his political action committee, America PAC, asserting violations of Pennsylvania's laws. The complaint brings forth two main causes of action under state law: a claim of public nuisance and a violation of the Pennsylvania Unfair Trade Practices and consumer protection lawConsumer protection law is the body of federal and state laws designed to protect people from unfair, deceptive, fraudulent, or abusive practices in the marketplace. These laws regulate areas such as advertising, sales, lending, debt collection, credit reporting, warranties, financial services, and consumer products.Read more → (UTPCPL).
Public Nuisance Claim: The district attorney argues that Musk and America PAC are running an illegal lottery. Pennsylvania’s criminal code states that all unauthorized lotteries are deemed public nuisances. The state's definition of a lottery requires three elements: (1) a prize, (2) a winner determined by chance, and (3) a consideration, or payment, to enter the contest. The lawsuit claims that America PAC’s million-dollar prize scheme meets all these criteria and does not comply with Pennsylvania’s strict lottery regulations, which are solely under state control. The DA alleges that this unregulated lottery poses a substantial threat to public welfare and order by potentially exploiting vulnerable populations and infringing on the public’s right to participate in a fair electoral process.
Violation of Consumer Protection Law: The complaint also accuses the defendants of engaging in deceptive and unfair trade practices in violation of the UTPCPL. The PAC’s alleged failure to disclose critical details about the lottery’s rules, odds, and the handling of participants’ personal data forms the crux of this charge. Furthermore, it is argued that Musk and America PAC falsely advertised the lottery as a random drawing, while, in practice, selected winners appear to have attended Trump rallies, creating a likelihood of confusion or misunderstanding among the public.
The lawsuit comes amid heightened scrutiny over potential election interference. Last week, the U.S. Department of Justice warned Musk’s PAC that the giveaways could violate federal laws prohibiting payments to influence voter registration.
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