In a surprising turn, U.S. District Judge Reed O’Connor has withdrawn from the case involving Elon Musk’s social media platform X and a group of advertisers. The judge’s recusal follows revelations that he owns shares in Tesla, another company linked to Musk.
O’Connor, based in Fort Worth, Texas, filed a brief statement citing no specific reason for his departure from the case. This legal clash, initiated by X last week, accuses the World Federation of Advertisers and others of orchestrating a boycott that allegedly harmed X’s revenue. The federation has yet to respond publicly.
Recent reports unveiled that O’Connor holds between $15,001 and $50,000 in Tesla stock, raising potential conflicts of interest. Judicial ethics often require judges to recuse themselves from cases where their financial interests could influence their impartiality.
Previously, O’Connor had been managing another case brought by X against Media Matters, alleging interference with X’s advertiser relationships—a claim Media Matters disputes. With O’Connor stepping down, U.S. District Judge Ed Kinkeade from Dallas will now take over the advertising boycott lawsuit.
The Northern District of Texas, known for its conservative leanings, continues to attract high-profile legal battles, often involving disputes against federal policies from the Biden administration.
