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US judge dismisses Musk's fraud claims in OpenAI case at his request, plans to proceed to trial

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A U.S. judge dismissed Elon Musk's fraud claims against OpenAI and Sam Altman, but breach of trust and unjust enrichment claims will proceed to trial starting next week.

(Reuters) - A U.S. judge on Friday dismissed Elon Musk's ​fraud claims in his lawsuit accusing OpenAI ‌and co-founder Sam Altman of betraying OpenAI's original mission, but plans to proceed to trial on Musk's ​breach of charitable trust and unjust ​enrichment claims.

The ruling was issued by U.S. ⁠District Judge Yvonne Gonzalez Rogers in Oakland, ​California.

Jury selection is scheduled to begin on Monday, ​and opening arguments are expected on Tuesday.

Musk had said dismissing his fraud and constructive fraud claims, which he ​proposed, would streamline the case and keep ​jurors focused on his goal of ensuring that OpenAI benefit ‌humanity ⁠rather than be a "wealth machine."

The case centers on Musk’s claim that OpenAI, Altman and Microsoft (MSFT.O), one of OpenAI's largest investors, conned him and ​the public ​by forming ⁠a for-profit entity in 2019, after he left OpenAI's board.

OpenAI is ​preparing for a potential initial public ​offering ⁠that could value it at $1 trillion, Reuters has reported.

Musk is seeking $150 billion in damages, according ⁠to ​a person involved in the ​case, with proceeds going to OpenAI’s charitable arm. 

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