Lordstown Endurance Scandal And What Investors Can Get Now

Court: N.D. Ohio

Case: 4:21-cv-00616

Lordstown Motors went public in October 2020, promising to revolutionize the EV market, raising over $675M from investors through its merger with DiamondPeak Holdings.

But by early 2021, it was revealed that most of Lordstown’s 100,000 pre-orders for its Endurance truck were either fake or came from entities without the means to purchase.

At the same time, Lordstown was accused of hiding information about its financial health and production capabilities. And the company’s aggressive production targets and claims about securing critical components also proved wildly exaggerated.

As this wasn’t enough, in June 2023, the company filed for bankruptcy, blaming a failed partnership with Foxconn for irreparable harm.

These issues, combined with the resignation of key executives and financial troubles, eroded investor confidence. The SEC eventually charged Lordstown for misleading investors, and lawsuits followed, accusing the company of fraud and deception.

Fast forward to today, Lordstown, now rebranded as Nu Ride, has agreed to a $10M settlement to resolve all these claims. So if you bought shares back then, you might still be eligible to file a claim and recover some of your losses.