Trevor Milton’s Disruptive Move in Nikola’s Bankruptcy Case
I tuned into the recent bankruptcy hearing involving Nikola Corporation, and what seemed like a smooth process took a sharp turn. Everything was on track—no objections, quick verbal approval from the Delaware bankruptcy judge Thomas Horan for Lucid Motors to buy Nikola's assets—until a late interruption changed the energy entirely.
Toward the end of the hearing, a lawyer unmuted on Zoom, representing ISSO LLC. That’s the same entity Trevor Milton, Nikola’s controversial founder, is reportedly using to assess a possible bid for his old company’s remaining assets. His lawyer claimed they had “concerns” about the fairness of the auction process—though he didn’t go into specifics.
This wasn't just a side comment—it signaled that Milton, despite being out of the company and fresh off a Trump-issued pardon, is not done making moves around Nikola.
Why Trevor Milton’s Return Raises Eyebrows
Let’s take a step back. Milton is no stranger to legal trouble. He was previously found liable for fraudulent claims during his time as Nikola's CEO. The result? A massive $168 million arbitration award that he’s supposed to pay the company. That award, by the way, plays a huge role in Nikola’s Chapter 11 bankruptcy proceedings. It’s tied directly to the settlement Nikola reached with shareholders, who sued over Milton's misleading statements.
His recent appearance in court, through ISSO, could signal an attempt to delay or manipulate that payout—at least that’s what Nikola's legal team strongly suggests.
Lucid Motors Takes Over Key Nikola Assets
Lucid Motors, the luxury EV brand, is officially taking over several of Nikola’s core assets. Here’s what the deal includes:
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Nikola’s Coolidge, Arizona factory
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The Phoenix headquarters lease
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Manufacturing equipment
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300 employees who will now be absorbed by Lucid
Even with that major deal finalized, Nikola still retains other assets—most notably a stockpile of hydrogen-powered trucks and some remaining equipment.
Nikola’s Lawyers Slam Milton’s Intentions
Joshua Morris, representing Nikola, didn’t mince words during the hearing. He called out Milton and ISSO for trying to “taint these proceedings” and cast unnecessary doubt over a transparent process.
Morris went on to say this wasn’t a one-off move—he described it as part of a larger pattern of behavior. His theory? Milton might be attempting to create legal and financial uncertainty that could benefit him, perhaps by pressuring Nikola’s creditors to accept a low settlement deal.
Honestly, I found this part of the hearing telling. It felt like a chess match—one side trying to tie things up with clean execution, the other possibly planning long-term disruptions.
The Bigger Picture: What’s Next for Nikola?
Nikola still has a long way to go. Selling its prime assets to Lucid gives it a bit of breathing room, but uncertainty looms. The remaining hydrogen-powered trucks, equipment, and, of course, that $168 million arbitration award are all pivotal.
Milton’s sudden re-emergence adds another layer of complexity. While he’s no longer part of the company’s leadership, his actions could shape the trajectory of Nikola’s post-bankruptcy operations and any remaining obligations.
As someone closely following the electric vehicle and tech startup space, this hearing reminded me how even "finalized" deals can unravel at the last moment. Milton’s move wasn’t just dramatic—it was strategic. And it shows how deeply personal and financially tangled these high-profile startup collapses can become.
I’ll be watching closely to see if he challenges the arbitration award next—or pushes further into Nikola’s remaining assets. Either way, this story is far from over.
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