
The lawsuit against Elon Musk and SpaceX seeks to hold Musk personally liable for the alleged workplace issues on several legal grounds. These include:
Sexual Harassment: The lawsuit alleges that Musk personally engaged in sexually harassing conduct and contributed to the creation of a hostile work environment. This includes making sexually inappropriate comments and allowing a culture of sexism, harassment, and discrimination to persist within the company.
Retaliation: The plaintiffs claim that Musk retaliated against them for opposing the discrimination, harassment, and hostile work environment they observed at SpaceX. They assert that Musk ordered their termination after they circulated an open letter addressing his inappropriate behavior and its impact on the workplace.
Violation of Federal and State Labor Laws: The lawsuit alleges that Musk and SpaceX violated both federal and state labor laws by fostering a discriminatory and hostile work environment, as well as by retaliating against employees who raised concerns about these issues.
Negligent Hiring, Supervision, and Retention: The plaintiffs argue that SpaceX, under Musk's leadership, failed to take appropriate action to prevent sexual harassment and discrimination, and did not address employee complaints in a timely or effective manner.
The lawsuit aims to hold Musk personally accountable for his actions and the workplace environment at SpaceX, in addition to seeking damages for the plaintiffs who were fired after raising concerns about the company's culture.

Gwynne Shotwell, SpaceX's president and chief operating officer, defended the company and Elon Musk against the allegations of sexual harassment and fostering a hostile work environment. In an interview with The Wall Street Journal, Shotwell claimed that the reporting on the issue painted "a completely misleading narrative" of the company. She also described Musk as "one of the best humans I know" and assured that SpaceX fully investigates all complaints of harassment and takes appropriate actions. Shotwell's defense primarily focused on refuting the allegations and highlighting the company's commitment to addressing harassment complaints.

Elon Musk allegedly responded to the open letter circulated by the employees criticizing his behavior by firing the employees who were involved in organizing and distributing the letter. According to the lawsuit filed by the former employees, Musk personally ordered their terminations. The employees had urged SpaceX executives to condemn Musk's public behavior, including his comments on Twitter, which they claimed were a frequent source of distraction and embarrassment for them and a threat to the company's reputation3.