Electric trucking company Harbinger has submitted an objection to the proposed sale of Canoo’s assets to its CEO, potentially disrupting the two-month-old bankruptcy proceedings.

In its objection, filed on Friday, Harbinger alleges that Canoo has concealed certain assets from the sale process, including those acquired from another bankrupt EV company, Arrival. Additionally, Harbinger claims that Canoo has listed assets it does not actually own, although it does not specify which ones. This determination was made after Harbinger considered purchasing the assets and gained access to the virtual data room for potential bidders.

Furthermore, Harbinger asserts that the sale process has thus far “unfairly favored Mr. Aquila,” referring to Canoo’s CEO Anthony Aquila, who reached an agreement to purchase the assets in early March. Harbinger claims that the bankruptcy trustee accepted Aquila’s offer without adequately marketing the sale of the assets or obtaining an appraisal.

This objection is the latest development in the complex relationship between Harbinger and Canoo. Harbinger was founded by a group of former Canoo employees in 2021. Canoo later sued Harbinger in late 2022, alleging that these employees misappropriated trade secrets.

The trade secret case was still ongoing when Canoo filed for bankruptcy in January. Notably, one of the assets Aquila is purchasing is an interest in any potential settlement Harbinger may be required to pay to Canoo.

A specific clause in the purchase agreement grants Aquila and the trustee significant control over any settlement in the Harbinger case. Harbinger argues that this could be in violation of the Department of Justice’s guidelines for Chapter 7 trustees.

The trustee in the case, Jeoffrey Burtch, and a lawyer for Canoo did not immediately respond to a request for comment. Lawyers representing Aquila and Harbinger declined to comment on the matter.