EV startup Bollinger’s rebound threatened by mounting supplier lawsuits

The owner of Bollinger Motors Inc. promised a turnaround after paying off the electric truck startup’s disenchanted founder, but more lawsuits are piling up with millions of dollars in past-due bills.

The suburban Detroit manufacturer has been hit with half a dozen lawsuits since March, demanding payment of more than $5 million in outstanding bills, according to records in Oakland County Circuit Court.

Tool House Inc. of Wisconsin filed the most recent complaint July 15 for $1.6 million in unpaid invoices for equipment and installation support dating back to 2023.

“Despite defendant’s receipt and acceptance of the Tool House Equipment which it ordered and received from Tool House, and despite Tool House’s repeated demands for payment, defendant has failed and refused to pay the principal balance,” according to the lawsuit.

Sign up for the weekly Automotive News Mobility Report newsletter for the latest developments at the intersection of transportation and technology.

In a June 4 interview with Automotive News and affiliate Crain’s Detroit Business, company executives said they had paid off or were planning to pay off their creditors. The company had about $24 million in accounts payable at the time, said David Michery, CEO of Mullen Automotive in Brea, Calif., which he merged into Bollinger early this month, signaling an all-in bid on the startup.

The company paid founder Robert Bollinger $11 million in early June after he sued to recoup his loan and alleged that the company was broke. While the startup emerged from receivership, its list of supplier lawsuits is active and growing.

“While we cannot comment on specific lawsuits, Bollinger Motors remains committed to resolving our accounts payable with our supplier network,” Jim Connelly, chief revenue officer of the company, said in a statement emailed to Crain’s on July 30.

The company’s Class 4 trucks are built by contract manufacturer Roush Enterprises of Livonia, Mich., which has not filed a lawsuit against Bollinger Motors, per court records.

Michery said in the June interview that Bollinger Motors recently made a nearly $1 million payment to Roush. “We’ve paid them, and we’re in the process of continuing to pay them,” he said.

Roush did not respond to requests for comment Wednesday.

Mullen executed its merger and name change to Bollinger Innovations on Monday, part of a plan to consolidate business functions from the West Coast to metro Detroit and revive the financially strained startup. Its stock price was about 6 cents Wednesday afternoon.

Other suppliers that have sued Bollinger Motors include:

• Wurth Electronics ICS of Ohio, a supplier of power control systems, seeking nearly $2 million

• Auto Metal Craft Inc. of Oak Park, Mich., a prototype parts supplier, suing for $728,329

• Webb Wheel Products Inc. of Alabama, a hub and rotor assembly maker, suing for $329,582

• Productivity Team LLC of Lake Orion, Mich., an engineering consultant, suing for $599,261

• Human Capital Ventures of Troy, Mich., an employment services firm, seeking $102,890

Despite major headwinds, including lack of demand, a rollback of EV incentives and tariffs on imported parts for the Class 4 truck, Michery was defiant about the company’s long-term value. He said in the June interview that the company was leaning on a $150 million equity line and $80 million of “firm committed capital” to bring it through the turmoil.

“The company has survived when nobody else has. If you look at who’s still standing, we’re the last man standing,” Michery said. “You’ve got to kill me to stop me.”

Automotive News reporter Richard Truett contributed to this report.

Have an opinion about this story? Tell us about it and we may publish it in print. Click here to submit a letter to the editor.