The legal action, filed by Hagens Berman, centers on a Capital Equipment Purchase Agreement announced on June 24, 2026. FuelCell had promised to supply 380 megawatts of power systems to Fit Energy, a deal that helped the company raise $245.5 million through a public stock offering at $21 per share. According to the complaint, CEO Jason B. Few and CFO Michael S. Bishop failed to disclose that the company lacked the manufacturing infrastructure to meet these production requirements, resulting in product costs that far exceeded contractual pricing.

These hidden operational realities surfaced on September 2, 2026, when FuelCell reported a $45.3 million net loss for its fiscal third quarter. The report included $17 million in charges related to the Fit Energy deal, directly contradicting earlier optimism. Investors who purchased shares between June 24 and September 1, 2026, have until November 10 to seek appointment as lead plaintiff in the case. Hagens Berman partner Reed Kathrein noted that the firm is investigating whether the company intentionally misled shareholders regarding its capacity to execute the contract profitably.