Faraday Future Hit With $1.8 Million Lawsuit

3 months ago by Steven Loveday 19

Faraday Future's Jia Yeuting and Nick Sampson in front of FF 91

Faraday Future’s Jia Yeuting and Nick Sampson at the FF91 Unveiling at CES in Las Vegas

FF91

The Faraday Future FF91 is Touted as The Fastest Accelerating EV in the World With a Range of Nearly 400 Miles

A company that prepared a 3D virtual vehicle tour presentation of the Faraday Future FF91 is now suing Faraday for not coming through with the funds. The Mill Group claims that Faraday owes $1.8 million for the completed work.

Of course, Faraday is not willing to comment on the situation. As before, the company is stating that it doesn’t comment on legal issues, publicly or privately.

One source close to the matter explained that the presentation was supposed to be released prior to CES, but due to lack of payment, the work was temporarily halted. According to The Mill, the agreement was for a “graphic presentation”:

“With virtual reality, augmented reality, and holographic components, to promote the January 2017 launch of a new electric vehicle deployed by Faraday.”

The estimate for the work was set at $1.82 million, and Faraday agreed to the cost. However, the Mill was told that the money would come in three installments. Thus far, Faraday has paid only $20,000, and unfortunately for the Mill Group, Faraday now has the work in hand.

“Faraday has repeatedly acknowledged that it accepts the sums owing to The Mill and its intention to pay. However, despite repeated requests for payment and promises by Faraday to pay, funds have not been received. Instead, Faraday has only paid $20,000.00 to the Mill, leaving a total outstanding balance in the amount of $1,802,750.00.”

This is just another issue in the long list of problems that Faraday is facing. Despite all of this, the company did come forward with a working vehicle. Faraday insists that construction will begin again soon on its Nevada factory, and by 2018, the FF91 will be in production.

Source: Jalopnik, hat tip to kdawg!

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20 responses to "Faraday Future Hit With $1.8 Million Lawsuit"

  1. KumarP says:

    So it begins. Expect more of these.

    1. ffbj says:

      What? More nails in the coffin? I hope they threw in a garland of garlic, before they closed the lid on Faraday Festering.

  2. philip d says:

    If it’s good enough for the man in charge making economic policy…

  3. DJ says:

    I think the real problem is that a 3D tour cost $1.8 million. Let’s see you have this, $10 million for a seat company.

    Who do they think they are, a US military contractor!?!?!?!?!?

  4. PL says:

    Sounds like a yuge problem.

  5. bro1999 says:

    Sharks are circling, and FF is bleeding and hanging on to the end of the plank by a toe nail.

    1. Josh Bryant says:

      Seems like it.

      I feel bad for the engineers that probably busted their tails to get the prototype working for CES. It is looking like a long shot to make it onto the road.

      1. Mister G says:

        CES prototype failed to start if my memory is correct, it needed a tech to fix it.

        1. Josh Bryant says:

          They had two prototypes working, one outside doing “auto-valet” and another doing 0 – 60 runs.

          The stage demo failed, but probably not because of a lack of R&D. More likely a lack of freezing work and prepping for the demo.

          Doing all that work feels better when a final product comes out of it. Doing it all for a project that gets scrapped is demoralizing, at least in my experience.

  6. DangerHV says:

    1.8 MILLION dollars for a fancy advertisement for a company attempting to start a company? Someone needs to re-evaluate their priorities at this company. And at this point, suppliers and contractors should require payment in advance of any work preformed.
    There is a definite pattern developing. Sorry F.F., I want you to succeed, but it’s looking unlikely.

    1. floydboy says:

      I’m beginning to wonder if Mr Sampson is the driver of the entire ‘MORE’ aspect of this venture. Quicker time to market, faster 0-60, more motors, more sensors, more battery, larger vehicle, more luxury….. ‘Look at us, we’re MORE than Tesla!’

      I think this is starting to look like EGO salve. One upsmanship at its worst. Looks like it wasn’t thought through at all and they bit off way more than they can chew. It certainly defies common sense!

  7. James says:

    This company is so poorly managed. Amazing. its time for them to sit down and stop making the EV sector look bad.

  8. Bob Nan says:

    They want to price the FF91 at $300,000+.

    How many people can afford such an expensive vehicle. No idea what they are thinking.

    1. Kdawg says:

      I dunno how many they plan to sell, but lots of low-volume cars are $300K plus.

      1. Pushmi-Pullyu says:

        Sure, there’s a market there. Several companies, such as Lamborghini, Ferrari, and Bugatti serve that market.

        But Faraday Future has never had anything even remotely approaching a realistic business plan. It was doomed from the start. The sooner it goes out of business, the sooner everyone will stop wasting money on it.

  9. William says:

    The Mill group, is the beginning of the line, for somebody sticking a fork into the Faraday Fraudsters. Are they done yet?

    1. Pushmi-Pullyu says:

      I was waiting for someone else to be the first to say “Stick a fork in Faraday Future, it’s done.” I thought it would be better coming from someone else, as I’ve been proclaiming the company couldn’t possible succeed ever since the first article on FF posted to InsideEVs.

      Yeah, I rather think FF has been circling the drain for some time, and it’s getting rapidly harder for FF to maintain any reasonable pretense that it’s not.

  10. Pushmi-Pullyu says:

    Millions spent (or at least contracted for) on advertising vaporware. What a tragic waste of money which could have gone to an EV startup which might actually have a chance of succeeding.

    🙁

  11. Steven says:

    Look at the pretty birds circling…

    Oh wait, vultures…

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