Nikola Corp (fka NKLAQ)

[I-Man]

Nikola's $2B Lawsuit Against Tesla Days Away From Dismissal: What Investors Should Know


5:15 pm ET October 3, 2021

In case you forgot, Nikola Corp (NASDAQ: NKLA) filed a $2 billion lawsuit against Tesla Inc (NASDAQ: TSLA) in 2018 over the similarity in design between the two companies' semi-trucks. The lawsuit could officially come to an end with Nikola ending communication with court officials.

What Happened: In 2018, Nikola filed a lawsuit against Tesla for patent infringement. Nikola accused Tesla of mimicking its design on items like the wraparound windshield, mid-entry doors and aerodynamic fuselage.

Nikola’s lawsuit also said Tesla tried to hire the company’s chief engineer.

Nikola “has dropped the ball and this 2018 action is languishing without explanation or apparent good cause,” Judge James Donato wrote in an order last week, as shared by The Verge.

Nikola now has until Oct. 6, 2021 to show in writing cause for the case to continue and not be dismissed.

Both Nikola and Tesla stopped responding to the Northern District Court of California. The court asked in July and September for responses from the two companies.