alt Hacker NewsAside from the disagreements between these parties, what about the precedent of running a non-profit, and then transferring all IP to a for profit when it’s convenient to do so?
I wonder if the government or taxpayers have a case to bring regarding that.
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Transactions like that happen all the time and are not problematic if handled legally. Any of the interested parties could have sued over it, but none have.
Or a self dealing conversion.
Yeah. I wonder if the question "Did OpenAI steal a non-profit worth what is now maybe hundreds of billions of dollars?" will ever be answered. If not it will be one of the biggest heists in history.
The non-profit received shares in the for-profit as a result of the transfer. Those shares are theoretically worth hundreds of billions.
If it had been a for-profit company contributing assets to another for-profit company, the transaction would not have had any different tax consequence.
This case sets no precedent one way or the other on that question. The IP was transferred to the for-profit for fair value in 2019, and Musk never argued otherwise in this case.
The attorneys general of California and Delaware could challenge that 2019 IP transfer if they so wished on behalf of the public.