Bankrupt Nikola Investors’ Suit Proceeds After Settlement Dash

Nikola Corp. investors will continue suing three former leaders after telling a federal court their settlement deal was off.

US District Court for the District of Arizona Judge Steven P. Logan vacated an order Monday that would have eventually dismissed those officers and director with prejudice absent the filing of a proposed class action settlement. Class representatives George Mersho and Vincent Chau had asked to keep alive their securities fraud suit concerning Nikola’s truck technology on April 4, and their notice said Nikola’s lawyers told their counsel that the company wouldn’t file a motion in bankruptcy court to get settlement ...