Lucid Motors Hit With Discrimination Lawsuit as Cash Burn Mounts

Former Lucid Motors chief engineer Eric Bach has sued the electric vehicle maker. He filed a federal lawsuit in California on Monday. Bach alleges wrongful termination, discrimination, and retaliation.

The complaint centers on a shocking claim. Bach says a top HR executive referred to him as a “German Nazi.” According to TechCrunch, Bach learned of the comment months after an internal culture investigation began.

Allegations Detail a Toxic Workplace Culture

Bach’s lawsuit outlines a dramatic fall from grace. He was a long-time engineer overseeing all hardware engineering. The complaint states he was once praised by the board and seen as a future CTO or CEO.

That changed with a late 2024 workplace investigation. Bach claims the probe was “tainted by HR’s racist beliefs.” He was stripped of responsibilities for the powertrain team and excluded from board meetings.

He filed an internal complaint after confirming the alleged Nazi remark. Bach says Lucid then tried to force his resignation in October. The company officially fired him on November 5, 2025.

Lawsuit Compounds Existing Company Troubles

This lawsuit arrives at a difficult time for Lucid. The company is burning through significant cash reserves. It is trying to ramp up production of its Gravity SUV while developing more affordable models.

Executive turnover has been high. The VP of engineering left on the same day Bach was fired. Former CEO Peter Rawlinson resigned suddenly in February, with no permanent replacement named yet.

Several other senior leaders in operations, investor relations, and marketing have also departed recently. This lawsuit adds a serious legal and reputational challenge to Lucid’s operational and financial pressures.

The discrimination lawsuit against Lucid Motors exposes deep internal strife at a critical juncture. The company must now navigate this legal battle while fighting for its financial future in a tough EV market.

Thought you’d like to know

What exactly is Eric Bach accusing Lucid Motors of?

Bach is suing for wrongful termination, discrimination, and retaliation. His core allegation is that a senior HR executive called him a “German Nazi,” targeting him due to his heritage.

How has Lucid Motors responded to the lawsuit?

As of the initial report by TechCrunch, Lucid Motors had not yet issued a public comment on the specific allegations. The company’s press release in November only stated Bach had “departed.”

Why is the timing of this lawsuit significant for Lucid?

The lawsuit comes as Lucid is burning cash and trying to scale production. It adds a major legal distraction during a period of high executive turnover and intense market pressure.

What happened after Bach reported the alleged comment internally?

Bach claims the company confirmed the HR executive made the remark. He alleges Lucid then retaliated by trying to force his resignation before ultimately firing him.

What was the workplace culture investigation mentioned in the suit?

Lucid launched an internal investigation into its workplace culture in late 2024. Bach claims this investigation was biased and led to him losing significant responsibilities and status.