← Back to Home

SpaceX must face sex-bias claims after appeals court rejects arbitration request

Reuters

By Blake Brittain

Nov 10 (Reuters) - ‌SpaceX must face a lawsuit accusing it of illegally firing eight engineers who ​raised concerns ‌about alleged sexual harassment and discrimination at ‌the company after a US appeals court on Tuesday rejected its request to send the case ‌to private arbitration.

• The San Francisco-based 9th US Circuit Court of Appeals upheld a federal judge's ruling that the engineers' claims were exempt from the ⁠arbitration agreements they signed at SpaceX and can ‌continue in court.

• Spokespeople ⁠for SpaceX did not immediately respond to a request ​for comment on the decision.

• The engineers' attorney, Laurie Burgess, said they were "delighted" with the court's "well-reasoned" ​decision.

• The engineers filed the lawsuit in ​2024, ‌claiming SpaceX CEO Elon Musk ordered their firing after ​they circulated a letter calling the billionaire ⁠a "distraction and embarrassment" and urging ‌executives to disavow ​sexually charged comments he ​made on social media.

• The lawsuit said Musk's conduct fostered a "pervasively sexist culture" at SpaceX where female engineers were routinely subjected to harassment and ‌sexist comments.

• SpaceX has denied the allegations.

• The 9th Circuit on Tuesday rejected SpaceX's argument that ‌the ​claims were not covered by a federal law that allows individuals to pursue lawsuits in "sexual harassment disputes" regardless of arbitration agreements.

(Reporting by Blake Brittain in Washington, ‌Editing by Alexia Garamfalvi and Matthew Lewis)