Texas federal judge steps down from Musk’s X lawsuit

The case has now been reassigned to Judge Ed Kinkeade in Dallas.

Judge gavel with Justice lawyers

A federal judge in Texas has recused himself from overseeing a lawsuit filed by Elon Musk’s social media platform, X, against a group of advertisers. US District Judge Reed O’Connor, who was assigned to the case, stepped down after reports surfaced that he owned shares in Tesla, another company owned by Musk. The lawsuit, initiated by X, accuses the World Federation of Advertisers of conspiring to boycott the platform, leading to revenue losses.

Judge O’Connor did not provide a specific reason for his recusal, but the move follows concerns about his potential financial interest in Musk’s companies. According to a recent judicial financial disclosure, O’Connor held between $15,001 and $50,000 in Tesla stock. Judges often recuse themselves from cases with a financial stake in one of the parties involved.

The case has been reassigned to US District Judge Ed Kinkeade in Dallas. The Northern District of Texas, where the case was filed, is known as a preferred venue for conservative lawsuits challenging Democratic policies.