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Troubled electrical automotive startup Lordstown Motors has filed for Chapter 11 chapter and issued litigation in opposition to Hon Tai Know-how Group and Foxconn, the corporate that Lordstown offered its Ohio plant to and entered into a producing settlement with.

Lordstown Motors claims that Foxconn has brought on it materials and irreparable hurt and that it’s commencing a complete advertising and sale course of for the Endurance pickup and all of its associated belongings. Following Foxconn’s buy of the manufacturing website, the carmaker says it had contractual assurances that the iPhone producer would help the introduction of the Endurance by means of a three way partnership improvement program.

Nonetheless, Lordstown now says that Foxconn had no intention of dwelling as much as its commitments and claims it used contractual preparations to destroy Lordstown’s enterprise in unhealthy religion, all whereas “leveraging sources gained by means of the partnership to advance its personal enterprise pursuits.”

Learn: Lordstown’s Electrical Truck Lacks Endurance, Will get Disappointing 174 Mile EPA Vary

“As one of many early entrants to the EV trade, we have now delivered the Endurance, an modern and highly-capable EV with important industrial and retail potential – and had subsequently engaged with Foxconn in a purposeful, strategic partnership to leverage this experience right into a broader EV improvement platform,” Lordstown chief govt and president Edward Hightower described. “Regardless of our greatest efforts and earnest dedication to the partnership, Foxconn willfully and repeatedly did not execute on the agreed-upon technique, leaving us with Chapter 11 as the one viable possibility to maximise the worth of Lordstown’s belongings for the advantage of our stakeholders. We are going to vigorously pursue our litigation claims in opposition to Foxconn accordingly.”

By submitting for Chapter 11 chapter, Lordstown is assured it may possibly discover a purchaser who will use the Endurance as a “springboard” to launch their very own EV. It provides that the suitable “purchaser might make the most of the Endurance platform to create a number of EV variants.” The carmaker additionally believes that its chapter restructuring will expedite its litigation in opposition to Foxconn.