Legal experts are expressing skepticism about Elon Musk’s lawsuit against OpenAI and Sam Altman, particularly regarding claims about the company’s shift from non-profit to for-profit status. The lawsuit alleges that OpenAI’s transformation violates its founding agreement and mission. However, attorneys specializing in non-profit law suggest that such transitions are common and legally permissible in California. They note that non-profits can create for-profit subsidiaries or convert entirely if they continue serving their charitable mission. The experts point out that OpenAI’s structure, with a non-profit parent organization maintaining control over the for-profit entity, is designed to ensure alignment with its original mission of developing safe AI for humanity’s benefit. The lawsuit’s claims about OpenAI’s exclusive partnership with Microsoft are also questioned, as the arrangement appears to maintain the non-profit’s ultimate decision-making authority. Legal specialists emphasize that California law provides significant flexibility for non-profits to evolve their structures while preserving their charitable purposes. The experts suggest that Musk’s lawsuit may face significant challenges in proving that OpenAI’s current structure violates any legal obligations or founding principles. The case highlights the complex intersection of non-profit law, technological innovation, and corporate governance in the AI industry.