A federal judge has rejected the U.S. government’s request to sanction Elon Musk for missing a scheduled deposition in September.
U.S. District Judge Jacqueline Scott Corley ruled that imposing sanctions on the billionaire owner of SpaceX and X would serve no purpose.
The case, brought by the U.S. Securities and Exchange Commission (SEC), hinged on Musk’s absence from a deposition originally scheduled for September 10. The parties had agreed on the date, and three SEC lawyers traveled to Los Angeles to conduct the interview. However, on the morning of the deposition, Musk’s legal team informed the SEC that he needed to urgently travel to the East Coast for the Polaris Dawn launch, citing weather-related factors beyond Musk’s control.
The deposition was subsequently rescheduled for October 3, which Musk attended. He later agreed to pay $2,923.09 to cover the SEC’s travel expenses but maintained that he had not violated the court order. The SEC, nonetheless, sought sanctions for the missed appearance.
Judge Corley found that while Musk did violate the court’s deposition order, sanctions were unnecessary. She explained that in civil cases, sanctions are typically used to compel compliance or compensate for losses—neither of which applied here. Musk had already complied by appearing at the rescheduled deposition and agreed to reimburse the SEC for its expenses.
“A finding that Mr. Musk violated the Court’s May 31, 2024 order does not accomplish either [objective],” Corley wrote. “Coercion is unnecessary because Mr. Musk already appeared at the deposition… [and] a court order compelling payment is unnecessary.”
Corley concluded by denying the SEC’s request, noting that the court could not impose any remedy that Musk had not already provided.
Musk celebrated the decision on X, posting: “SEC—The middle word is definitely ‘Elon’s,’ but I can never remember what the other two words stand for.”
