by Lucid Motors is already facing a series of serious problems, including rapid cash burn, slow production ramp-up, delays in launching the Gravity SUV, and stories of huge repair costs for owners. Now, a high-profile lawsuit from a former chief engineer has been added to this list, pointing to serious discord at the company’s headquarters in Newark, California.
The Essence of the Lawsuit
Eric Bach, who worked at Lucid for ten years and rose to the position of Senior Vice President of Product and Chief Engineer, has filed a federal lawsuit. It alleges wrongful termination, discrimination, and retaliatory actions.
What Sparked the Conflict?
At the heart of the complaint is the claim that a high-ranking HR executive called him a “German Nazi” during an internal investigation into corporate culture. Bach, who was born and raised in Germany, calls this remark deeply offensive and discriminatory.
According to the lawsuit, Bach learned of this comment in mid-2025, several months after the start of a culture investigation that he believes was already “tainted by racist beliefs.” During this investigation, he says he was stripped of key responsibilities, including oversight of Lucid’s electric powertrain division, and excluded from board meetings. After Bach urged a colleague to report the offensive comment through internal channels, Lucid, he claims, confirmed the statement was made but took no meaningful action in response.
Pressure and Termination
The situation escalated. Bach claims the company began pressuring him to resign in October 2025, and fired him on November 5. Lucid’s public statement at the time merely said he had “departed,” hinting at no conflict brewing behind the scenes.
Lucid’s Position
For its part, Lucid categorically rejects the accusations. The automaker issued a sharp response, calling Bach’s legal claims “absurd,” and stated it is confident the facts will show lawful grounds for his termination. Sources within the company point to persistent product launch delays, quality issues, and missed targets, arguing that a management restructuring was long overdue. Bach’s responsibilities were partially transferred to Emad Dla, who was promoted to Senior Vice President of Engineering and Digital after his departure.
An Inopportune Moment
The lawsuit comes at a very inconvenient time for Lucid. The company is still trying to ramp up production of the Gravity SUV while developing a more affordable midsize electric crossover, scheduled for launch by the end of 2026. The executive exodus continues: former CEO Peter Rawlinson stepped down earlier this year, and several vice presidents from various areas of the business have also left the company.
Bach’s lawsuit paints a completely different picture of his standing, citing positive feedback from board members, repeated salary increases, and even hints that he was being groomed for a future Chief Technology Officer role. He is now seeking damages and a public jury trial. For a company built on the idea of calm and luxury, this new saga is far from cloudless.
This legal dispute highlights the complex internal challenges faced even by innovative companies in the high-tech sector. The conflict between official statements about corporate culture and real events within the team can have serious consequences for reputation and operations. Lucid’s future success will depend not only on the timely launch of new models but also on its ability to provide a stable and respectful environment for the key specialists who shape its technological advantage.
