The result of the trial will determine what assets Lordstown is able to sell in Chapter 11 and could dictate if the startup is able to survive bankruptcy, Judge Walrath said.
“This is deciding what the debtor owns and does not own,” Judge Walrath said.
The ruling is a setback to Lordstown, which filed bankruptcy last month in order to conduct a quick sale of its assets. Karma filed the lawsuit in 2020, accusing Lordstown of poaching key employees and