Lordstown Motors' Bankruptcy Filing and Legal Battle with Foxconn over Funding Deal

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Written By Jennifer Joslyn

💰 Lordstown Motors' Bankruptcy Filing and Legal Battle with Foxconn over Funding Deal.

Lordstown Motors, the struggling electric-truck maker, has filed for Chapter 11 bankruptcy protection and has initiated a lawsuit against Foxconn, accusing the Taiwanese manufacturer of breaching an agreement to provide additional funding. Lordstown had sold its Ohio factory to Foxconn last year for $230 million and entered into a second deal for Foxconn to invest up to $170 million in Lordstown. However, Foxconn failed to make the second payment, claiming that Lordstown breached the agreement by allowing its stock price to fall below $1 per share.

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Jennifer Joslyn
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