The Electric Lemon – Li-Ion Motors

December 31st, 2009 by Barrett Lyon

EV Innovations – Their logo looks like EVil doen’t it?
Back in June of 2008 I decided to purchase an electric car. I find new technology really exciting and I knew if I wanted to learn fully about the nuances of electric cars I had to purchase one. The Tesla was just coming out of the gate and my friend, Jay Adelson, purchased one but I thought it would be interesting to have a vehicle that’s more down-to-earth and something I could use as an every day car.

I wrote this blog to protect other people from making the same bad decision I made. Please understand that this experience is not an epidemic with all electric vehicles, it just happens to be my experience with this particular company.

I found a company called EV Innovations (whom just changed their name to Li-Ion Motor Corporation and was formally known as Hybrid Technologies). They convert (or as they would say “build”) standard gas-powered PT Cruisers into fully electric vehicles. This made sense for my needs.

My wife at the time was driving a PT that we bought from my late grandmother, it’s a pretty gutless car which has no sex appeal whatsoever, but it worked for us. It reminded me of my grandmother and is also a car I could drive into San Francisco and not really worry about theft or vandalism.

EV Innovations advertised their converted PT Cruisers as getting a distance of 120+ miles per charge with a charging time of 8 hours. Based on those specifications I could drive to the Sierra Foothills and commute to the Bay Area carbon free.

I did some research and found out EV Innovations at the time was testing their PT conversion as an EV Taxi in New York (which later ended in failure). They sold two cars to a company in Sacramento and the company was also featured on the Discovery Channel’s program Modern Marvels.

I also liked the idea of supporting a startup, I myself enjoy starting companies. Purchasing a car from an American based startup felt right. I know that if something was wrong with one of my customers, I would do anything under my power to make it right. Naively I assumed this was also true for EV Innovations.

I spent time asking EV Innovations a lot of questions about charging, regenerative breaking, cell types, and their engineering philosophy. Their sales people Kelli Cerven and Mike Cerven were very helpful.

I decided to move forward and paid the deposit for half of the car, which was used to purchase a new PT with my specification. The car was to be ready in 90 days. Unfortunately, it ended up shipping in 120+ days. But things started to go wrong much before the car was delivered.

It turns out the “new car” I paid for was in fact a demo car that already had 4,000 miles on it. In addition, they told me the car was ready to ship a month before it was actually finished. They asked for the balance so they could ship the car. I wired the remaining balance of the car only to find out later the car was not ready.


My Electric Lemon being converted from ICE to EV.
My first moments with the Li-Ion Motors (formally EV Innovations) lemon. After all was said and done, three months after the promised delivery date, the vehicle was finally shipped, and yes, it was dead on arrival. The truck driver that delivered it didn’t even have a ramp on his truck, so we used the loading dock at a local grocery store where I was visiting family for Christmas in the Sierra Foothills. The truck driver pushed the car off the truck and drove away.

I had it towed back to the garage at my family’s home and plugged it in but it would not charge. I immediately contacted EV Innovations and they instructed me to plug it into a 220V outlet and informed me that it cannot charge from empty on a 110V outlet. That seemed obnoxious, but I did as instructed and found a 220V line and plugged it in. It slowly charged to full.


The first drive made it about 50 miles (downhill) before we had to have it towed the rest of the way home to the Bay Area. The car was to do 120+ miles and their sales people suggested the “+” would be impressive.

EV Innovations asked me to do a number of things with the car, which eventually resuted in the car’s charging connector to melt and nearly catching on fire (Later they had to install a relay to prevent some sort of voltage issue which caused the problem).

After I reported the smoking plug to EV Innovations, I received this email::

From: “Luc Pham”
Date: December 29, 2008 3:58:14 PM PST
Subject: Charging
Mr. Lyon,
Please stop charging the car for until we replace the bad cell.
Please open up the emergency switch (EPO).

From there, it sat in the garage inoperable for months while EV Innovations figured out what to do. Eventually they sent people to work on the car; they replaced the lithium cells, re-wired parts of the car, etc. I had them sign work orders to prove that they were there.

In all fairness, Luc was a very nice guy and he wanted the car to work. He apologized for the awful things his management has done.

Luc Pham, EV Innovations intern working on the car.

I demanded a refund on the car but they ignored my requests. I followed up by sending their CEO and board of directors a certified letter demanding them to repurchase the car based on the Song Beverly Act (California Lemon Law), again they refused to respond.

Eventually, they asked me to ship the car back to North Carolina so they could attempt to jam more batteries into the vehicle, change the power steering system, and perform various upgrades to improve the issues I have been experiencing.

I contemplated this option but with all the bad experiences I had with the company, I did not fully trust them. So I suggested that if I were to send the car back, perhaps they could provide me with my deposit back as a gesture of good will and integrity on their part. They of course refused saying this was “warranty” work and in no way was the car being sent back due to any fault of the company. I was at a loss.

At this point the car would go about 70 miles on a 10 to 20 hour charge (depending on voltage/amperage).


I was able to drive it between my office and home for a month until the driver side wheel nearly fell off because the bearings were incorrectly packed. That was it for me.

I demanded a refund, I demanded them to take care of this problem the way any decent company would. I called Tom Zgoda their “Plant Manager” and asked them to do this right. He said I was driving the car wrong and that it’s all my fault and hung-up on me. I then pressed him via email and he said said:

“It is our position that we have been diligent in addressing the warranty on your vehicle. I guess since you disagree with that, it will be up to the courts to make a final determination.”

I hired Mark Anderson, a lawyer who specializes in Lemon Law cases and set out to do exactly what he suggested. I filed suit.

My lawyer and I hired a superstar electrical engineering expert named Art MacCarley, Ph.D., PE., who happens to be the Department Chair of the Electrical Engineering department at Cal Poly San Luis Obispo. Dr. MacCarley drove to my house and spent the entire day meticulously going through the car. Later he wrote:

“I determined that the converted vehicle may best be characterized as an engineering prototype or work-in-progress conversion, containing multiple deficiencies and defects introduced by the modification to battery-electric propulsion. These deficiencies and defects affect vehicle function, features and safety, and could be expected to limit reliability. Overall, the subject vehicle fails to meet the manufacturer’s representations and reasonable owner expectations of engineering quality.”


Art put it very politely, but basically he was saying that college students could have built this car better than EV Innovations. Attached to this article is the full report written by Dr. MacCarley.

There were spliced wires exposed to the undercarriage of the vehicle. In some cases it appeared that EV Innovations used the wrong gauge wire for high voltage lines and to top it off, and the power steering was powered by what looks to be a Briggs and Stratton electric lawn mower motor!

Excerpt from Dr. MacCarley’s report.

Excerpt from Dr. MacCarley’s report.
After we sent EV Innovations the report (I ended up paying to help EV Innovations understand why their cars are not safe) they asked to settle for less than I paid for the car. Minus the legal fees, I ended up with a loss. It was not the best outcome but at least the car would be out of my hair and I would never have to talk with the people at EV again. However, the “settlement” ended up being a delay tactic. They changed the terms of the settlement, never paid, never finalized the paperwork, did not return calls or emails as they promised, said we had been “overly aggressive” and said this is going into a “holding pattern”.

In their SEC filings from December 8th, 2009 they wrote:

“Barrett Lyon, an individual, has filed suit against the Company in the Superior Court of California, San Mateo County, for alleged breach of warranty for a vehicle he purchased from the Company seeking $68,222 in damages, plus attorney’s fees estimated in the range of $10,000 to $30,000. The Company has entered into a settlement agreement with Mr. Lyon.”


However, by December 8th, 2009 we did not have a settlement agreement and we were preparing to file a motion to continue the case and re-set a trial date. Prior to December 8th, they stopped responding to us and started to delay and break promises. Their statement in their SEC filings was very misleading to any shareholders of EV Innovations.

Today, the car sits in my garage. While very disappointing, I learned a lot during this year and a half long experience.

EV Innovations/Li-Ion Motors is in my opinion a criminal operation operated by people more interested in taking money from shareholders than building a real electric car.

There are plenty of amazing electric car companies out there such as Tesla, Fisker, and soon the big auto manufactures. Maybe in 3 to 5 years I will take another look at electric cars as a serious mode of transpiration but until then, hopefully morons like EV Innovations do not create a bad name for electric vehicles.

A detailed report on my car and the failure of EV Innovation’s design written by Art MacCarley.

Other EV Innovations a.k.a. Hybrid Technologies related links:

  • Hybrid Technologies is involved in illegal junk faxes
  • Hybrid Technologies And The Missing Fritos
  • Is Hybrid Technologies legitimate?
  • EV Innovations Stock Holders Screwed!

  • A hilarious CNET Review of EV Innovations.

    UPDATE #1: Two days ago they changed their name from EV Innovations to Li-Ion Motor Corporation. I’m guessing this is to avoid bad press?

    UPDATE #2: 1/4/2010 EV Innovations/Li-Ion Motors lawyer responds to my lawyer:

    On Mon, Jan 4, 2010 at 11:01 AM, Scott Meehan wrote:
    Dear Mr. Anderson:

    My client was not amused by the false and defamatory comments made by your client. I hereby demand that your client take down the subject entry and CEASE AND DESIST any further dissemination of the blog entry. We will be filing libel actions against Mr. Lyon and Dr. MacCarley. Will you accept service on behalf of Mr. Lyon and/or Dr. MacCarley?

    Scott Meehan

    UPDATE #3: 2/16/2010 Li-Ion Motors lawyer responds and demands I take down the blog:

    The letter accuses me of staying that EV Innovations/Li-Ion Motors has refused to do the repairs, which is not the case at all. Read the blog and you will see that I am stating the facts of the case and my opinion. I actually highlight the fact that they have offered to take the car back to rebuild it to the standards I was expecting over a year ago. However, adding more batteries so it can achieve the driving distance that it was to reach from day one coupled with my past experience with them, just seems like a losing proposition. Given the absolute nightmare and consistent problems I have experienced, not to mention the fraudulent sales representations, I think they should buy the car back. In my opinion, if they were good honest people, they should buy the car back and learn from this experience.

    Here is the letter they just sent:

    UPDATE #4: 4/22/2010 Li-Ion Motors’ Lawyer Quits:

    Apparently Li-Ion Motors was not paying him and or he did not like the liability that this case was creating for him. Here’s the PDF of his motion.

    UPDATE #5: 4/30/2010 Li-Ion Motors Posts Fake Apology Letter from me!:

    This is so strange I wrote post regarding my fake apology letter: Li-Ion Motors Crossed The Line

    Tags: , , , , , ,

    45 Responses to “The Electric Lemon – Li-Ion Motors”

    1. Mustang says:

      That’s messed up Barrett! Good luck, stay strong!

    2. Wow says:

      You should have returned it when you learned it had 4k miles. Also, it’s suspect doing pt cruisers seeing as how they are out of production.

    3. Barrett Lyon says:

      PT Cruisers were still in production when I made the original order.

      Unfortunatlly I could not have just “returned it” because I had nothing to return. I’m in California and EV Innovations/Li-Ion Motors are in North Carolina.

      Trust me, I was very upset with them, I felt that this was the begging of the series of shady events that eventually earned them a lawsuit.

      When they told me about the demo, here’s what they responded with:

      On Jul 8, 2008, at 6:59 AM, Kelli_ Cerven wrote:
      Your car will be here tomorrow. We did run into some problems with the dealership in PA. When they sold me the car they told me it had about 1500 demo miles on it. When we got the invoice it had 4200 miles on it. This won’t effect you because we take all the motor and transmission out, but we were a little shocked to say the least. I hope this is Ok with you. It was still the only one we could find. I just wanted you to be aware so when you get the car you aren’t surprised at the odometer because we will have testing miles on it also before shipping it to you. I will send pics tomorrow when it arrives.
      Thanks,

      Kelli Cerven
      Sales Associate

      Hybrid Technologies
      158 Rolling Hill Road
      Mooresville, NC 28117
      O: (704) 662-0827 Ext 206
      F: (704) 660-1014
      http://www.hybridtechnologies.com

      I called them immediately and I almost said “forget it” but they promised it was no big deal and the car looked brand new and that all of the components were being removed anyway. After the call Kelli Cerven responded with:

      Again I apologize and in NO way tried to trick you. They tricked me! I will work with Mike on this when he is out of his meeting. What would you like us to do?

      Kelli Cerven
      Sales Associate

      At that point I was still comfortable moving forward, she seemed to be honest. At this point they were just looking for ways to shave off cost.

    4. D Dixon says:

      Turns out you were an electric Guinea pig
      horrible snake oil story hope things workout for you.I’m hearing good things about the Chevy Volt coming out at the end of the year.
      You might want to test drive one of those, good luck.

      1 1 2010

    5. What a bummer. Most EV’s seem to be Chinese land fill content waiting turn to be added to the pile of other cul-de-sac ideas and designs. With so few US based EV firms, it is sad to read how mismanaged and misrepresented this venture is. As an automotive designer currently working on a pure EV variant of our ICON vehicle designs, I read your story and take caution that we do not end up taken by this new age sort of snake oil salesmen. However, I do feel the science is there, and the suppliers are taking shape, to create some truly viable electric vehicles, now! So don’t give up. I am sure the first few customers for personal computers had issues in the founding days of that industry, and we can all hope that natural business processes will “trim the herd” and leave s with quality options.

    6. David S. says:

      I hope, when you have your day in court, these crooks are out of business. With that said, as the driver of a Prius, I believe there is a role for electric cars. In the next year or the the PEHV Prius will be available. That car should be legit.

    7. ready kilowatt says:

      you should also track down the dlr that these idiots got the pt cruiser from. You might find something interesting there.

    8. [...] tells the sad tale of his experience on his blog ranging from the late delivery of a DOA car all the way through his legal action to get his money [...]

    9. Alan L. says:

      You can also file a complaint with the Securities Exchange Commission (SEC), it appears the company made materially false statements in their SEC filings (when they said they had a settlement agreement with you), which can bring them a fair amount of pain. Won’t get you your money back but maybe it will remind them you are not going away, and it is simple to do. Good luck!

    10. Roy says:

      Is it so bad that you cannot actually use it? Or if you do use it does it invalidate your quest to get your money back.

      If the answer to the two above questions is no, then:

      Did you get the wheel fixed? The wheel bearing issue should be covered by Chrysler, unless they can prove EV Innovations did something wrong. Even though EV Innovations should fix the problem, it is a small enough issue that I think you should just go ahead and fix anyway.

      Nobody gets claimed mileage, look at BMW’s Mini EV, claimed 150 miles, reports average just under 100 miles and even 1 at about 60 miles in cold (snow) weather.

    11. ready kilowatt says:

      kelli cervan and brother ron used to have a small automotive windshield replacement shop in santa clarita california. Ron actually did a side business making decals for race cars ec

    12. Barrett Lyon says:

      The car on full charge does about 10 miles, it has more bad cells. It’s undriveable. I tried my best to make it function, including having the wheel fixed. The last time I drove it about 8 miles it shutdown and I had to have it towed home.

    13. Trevor Law says:

      That is a horrible story and companies like that give a bad name to EVs. Whoever is running that operation should be ashamed, they are obviously not qualified to engineer a conversion. That said your quip about Li-Ion batteries is not entirely accurate. Lithium is available in ocean water, and Li-Ion cells are very much recyclable. If a country with Lithium reserves tried to price gouge then it would become more economical to get it from ocean water and thus there is really no geo-political issue there,

    14. roflwaffle says:

      It’s a shame there are so many incompetent/shady converters out there, but w/ a $60k price tag that’s an easy ~$30k margin if they cut corners, which seems to be the case. Unless there’s a very large corporation providing the product, I tend to go w/ the “do it yourself or run the risk of doing it again” mindset. I also don’t think a comparison between oil and Lithium is valid because we can’t recycle the gasoline we use, while we can recycle Lithium if someone runs the price up. Safety also depends on the battery type, not the battery having Lithium per say. Lithium Cobalt laptop batteries were going up on their own because the manufacturer tried to save weight by using a smaller separator, while other batteries, like Lithium Iron Phosphates, tend to be relatively robust.

      Shooting/shorting will just get the magic smoke from most LFP cells AFAIK.
      http://www.diyelectriccar.com/forums/showthread.php/thundersky-testing-methods-dont-try-home-40266.html
      Other cells can be much more spectacular.
      http://www.youtube.com/watch?v=YCWdnjLqVWw

    15. Brian says:

      This sucks, dude! I think the way they’ve treated you earns them all the bad press they can get. I’ll re-blog this when/if I get a chance.

      Hope 2010 works out a little better!

    16. fred says:

      Please dont bag on lithium-ion technology because you failed to do research, or were to cheap to buy a roadster.

      Tesla and AC Propulsion are the only relable EV manufacturers at this time. This is very unfortunate, but it’s just the way it is.

    17. John R says:

      I would never have believed anyone would try and use a motor from an electric lawnmower to run a power steering pump, until I read it here. That’s insane! Plus the unsafe routing of high voltage cables and everything else? If I was you, I would restart the court case and get your money back so you can buy a quality electric car in a couple years – and hope this would either put these crooks out of business or hopefully teach them a good lesson.

    18. christoph says:

      Good luck.

    19. [...] Innovations Li-Ion Motors – Horror Story Here's a scary story: Verbophobia | The Electric Lemon – Li-Ion Motors Seems an unfortunate fellow purchased a "new" electric conversion of a PT Cruiser hoping [...]

    20. Andy says:

      Demo can be a euphemism for other things, like fleet or daily rental service. With that many miles I would check the title history for ownership as well as auction history by carfax.(hopefully you already did that) An early return from a rental fleet could happen at that mileage.

      Sounds like a huge misrepresentation all the way. They should have just told people the platform will have a couple thousand miles.

      I have heard that a recommended platform for conversions is a manual steering/shifting model, due to the problems mentioned with wasting of energy in constantly running systems. But that’s just for garage tinkerers, not a supposed OEM EV. This company is a glorified garage conversion, apparently.

      Sorry for your loss. Too bad you crossed state lines to buy and CA probably can’t help you much. This is a disaster.

    21. Andy says:

      Just read your link, you neglected to mention the REVERSE stock split, OMG what a trainwreck.

      Sorry for your loss.

    22. Tim Young says:

      Barrett,

      This is terrible. If nothing else, the weight of the modified vehicle should be looked into by the NHTSA since there is no exemption certificate. If there’s no crash test performed on the vehicle in its modified state, in my opinion it is unsafe to drive.

    23. keeper1 says:


      WARNING:
      Author : keeper1 (IP: 74.218.173.62 , office.hybridtechnologies.com)
      E-mail : normannevrec@gmail.com
      Whois : http://ws.arin.net/cgi-bin/whois.pl?queryinput=74.218.173.62

      Don’t be ignorant. There is always two stories to a situation. EV Innovations has many vehicles on the road and has always been profesional and responsible for every one of them. There is more to this story than what is being told. Any one can write anything they want to these days. There also appears to be a lot of information being left out of the story. You can’t always beleive all that you read. It sounds like a big case of cold feet to me.

    24. Barrett Lyon says:

      This is rather disturbing to see EV Innovations posting things like above from their office IP address.

      They used their office IP address (74.218.173.62 office.hybridtechnologies.com) but then tried to make it look anonymous by using a gmail account.

      I’m not shocked, I bet they posted stuff like this on all the blogs.

    25. Ken says:

      Wow, talk about shooting holes in your own sinking ship. Do they have a PR person who might have realized that just honoring the agreement would have been a good idea? I guess they already quit…

    26. Hi, I found this blog post while was searching for automotive online related information on blog search and found it very good article, thanks for sharing, best regards and cheers!

    27. Jason says:

      Barrett, I am not surprised to hear your story…There are more than you. I worked there and I saw it first hand…Lots of taleneted people on the shop floor there, but management is clueless. They are all puppets to the main shareholder in Canada. He says jump, they say where to. There are customers who have paid for cars there that will never see them because The Main shareholder has no intentions of building those vehicles. Get what you can, let everybody know, because they are still planning more scams, even on the federal government. And don’t believe that anyone you talked to at EV isn’t in on it.

    28. Greg says:

      Yikes. I guess I won’t be buying a car from them, whatever their name is this week. Thanks for posting this.

    29. Mac says:

      I’m sorry to hear your story and I thank you for not giving up.
      As an accountant for a small public company, I’ve wondered where the hell the SEC is. There are lots of these penny-stock companies out there – they pay themselves first, and operate right on the edge of legality, if not crossing the line (to say nothing of ETHICS).

      SEC – are you listening? How about some ENFORCEMENT!!!

    30. James says:

      As Jason has said, I too worked there and found EVERYONE in a management position to be absolutely clueless with no corporate mission or direction, no vision, and no idea how or what it takes to produce a quality, viable product; let alone do this on a scale needed to be a vehicle manufacturer trying to land a GSA contract for up to 35,000 units per year – the average time for a single vehicle to delivery is more than 6 months with nearly 100% return for waranty work within 2-3 months. This operation is nothing more than a hobby for the primary shareholder in Canada (not legally permitted into the US) and the local “management” is nothing more than mediocre, at best, middlemen doing what he says. The local floor supervisor, sometimes referred to as “director, Product Development and Program Manager” – what a joke, is nothing more than a hack mechanic more concerned with keeping his mostly clueless and unskilled family members in an overpaid cushy job where they are required to do little if anything to draw a paycheck. There are some talented individuals there, or at least there were until massive lay-offs, but as a business entity, it is best to steer clear of the ineptness, poor quality and shoddy work, and marginally engineered products.

    31. Private_eye says:

      i know as a fact this company is bogus. There is no production of any vehicle and is just a company looking for investors to rip them off. The person who runs it is a shady character. The name changes each year. There are only 3 people in the entire company and the so called production center in NC is just an empty warehouse with a sign outside. One man buy lots of stock when it is bottomed out and gets investors to invest and sells all his stock and it is just a a total rip off that is never going to happen. I have followed the company for several years and watched it happen. Half the things you read on the web they paid to have posted or posted themselves. BEWARE OF THIS COMPANY. There are no Waves or Inizios in production and there never will be. BEWARE OF THIS COMPANY.

    32. JCTwist says:

      Hi Barrett,

      I wanted to sympathize with your situation and hope that it does get resolved. I know someone who worked for this company for a brief period of time and is very happy to no longer be involved there. Things were sketchy at best. Good luck and hopefully they will sign the settlement and at least return part of your investment.

    33. EV_watch says:

      Wow! Check out their March 22 SEC filing. Loan defaults, no working capital to complete business plan, etc. This company is history.

    34. [...] The Electric Lemon – Li-Ion Motors [...]

    35. Barrett Lyon says:

      Well Li-Ion Motoros is at it again, I just posted a new article about a fake apology letter regarding my web site, these people are bizarre.

      http://www.blyon.com/blog/index.php/2010/04/30/li-ion-motor-company-crook/

    36. Phil J says:

      I once went in search of their Las Vegas HQ to drop off a resume. After driving around the block several times, the closest I could find to the relevant address was a mail box type store. When I asked (Post Express?) about Hybrid Technologies, I was told they picked up their mail there several times a week- their HQ is a mailbox(!). As a former owner of a converted electric car, I can appreciate the trials of a new technology adopter (drove a little electric Geo Metro powered by golf cart batteries around San Francisco for years), however for what you were charged you should have gotten something real and debugged. Incidentally, your apology letter to them is terribly written- with poor grammar and word choice throughout. Stop outsourcing your apology letters! :-)

    37. erik says:

      greetings to the conquerors of li-ion

      they are a scam firm that is really in the real estate business

      half of their stock is owned by an anonymous firm in Belize

      every single one of their corporate entities has been pumped and dumped with faxes from the “energy bull”

      i have quite a bit of info on these people i gathered for an upcoming junkfax lawsuit email me for a copy

      erik1701x@aol.com

    38. [...] Originally Posted by william_larry The Force is doing spam by posting his website links without any sense. Thanks!!! I did not post any links idiot. Actually here is a link for you. EV Innovations Li-Ion Motors – Horror Story http://www.blyon.com/blog/index.php/…ations_crooks/ [...]

    39. Whistleblower says:

      http://www.apteraforum.com/showthread.php?t=4348&page=30

      Ron Cerven entered EV Innovations (now renamed to Li-Ion) into the X Prize Foundation’s Progressive Automotive challenge. You should blow the whistle on this asshole. People need to be educated on what kind of low-life they are dealing with.

    40. stocks'watch says:

      This blog will go down in the search engine. The LMCO scam is unstoppable!! Some genius minds are behind it…I smell some conspiracy in OTCBB itself.

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