Elon Musk’s Request to Relocate Twitter Case to Texas Denied

Billionaire Elon Musk’s request to relocate a Securities and Exchange Commission (SEC) lawsuit from Washington, DC, to Texas has been denied by a federal judge. The case concerns Musk’s delayed disclosure regarding his Twitter stake.

Background of the SEC Lawsuit

The SEC filed a lawsuit against Musk in January 2022. The allegation centers on Musk’s 11-day delay in revealing his initial 5% stake in Twitter. This delay, the SEC claims, allowed him to purchase over $500 million worth of shares at reduced prices.

The SEC is seeking a civil penalty against Musk and wants him to forfeit $150 million that he allegedly gained at the expense of unsuspecting investors.

Court Proceedings and Judge’s Ruling

US District Judge Sparkle Sooknanan denied Musk’s request on October 2, 2025. She acknowledged Musk’s busy schedule but noted that he has substantial resources and spends a significant portion of his time outside Texas, with 40% of his activities based elsewhere.

In her ruling, Sooknanan pointed out that Musk’s own statements indicate he has spent significant time in Washington, DC, this year. The judge highlighted the greater caseload faced by Texas judges, asserting her court could handle the case efficiently.

Musk’s Argument

Musk argued against the burdens of litigating in Washington, claiming that his demanding work schedule exceeds 80 hours a week. He even mentioned that he frequently sleeps in his office or factory. Despite these claims, Judge Sooknanan maintained that transferring the case to Texas was not warranted.

Reactions from the Parties Involved

Following the ruling, Musk’s legal team did not immediately respond to inquiries from the media, and the SEC declined to comment due to a government shutdown that had begun just prior to the ruling.

Musk’s Business Interests

Musk is known for his vast wealth, reportedly surpassing $500 billion as of the ruling date. He purchased Twitter for $44 billion in October 2021 and subsequently rebranded it as X. Musk resides in Austin, Texas, where he manages companies such as Tesla, SpaceX, and The Boring Company.

Looking Ahead

As Musk seeks to dismiss this ongoing case, it remains to be seen how the legal battles will affect his business empire and reputation.