Details of Rossi’s Suit against Industrial Heat Available

Many more details of Rossi’s lawsuit against Industrial Heat LLC are now available, because a copy of the actual lawsuit has been posted online.

Not surprisingly, the information contained in the suit is very different than many of the media accounts. Some interesting new details about Rossi, Leonardo Corporation and the e-cat low energy nuclear reaction (LENR) technology are now available.

Andrea Rossi


  • The major target of the suit is Tom Darden. Darden’s partner John T. Vaughn, Industrial Heat LLC (a US company), IPH International B.B. (a Dutch company) and Darden’s hedge fund; Cherokee Investment Partners LLC are also named as defendants.


  • Rossi and Leonardo Corporation; which is described as a “Florida Corporation,” are named as the plaintiffs.


  • Rossi claims that Darden and the other defendants defrauded him by misappropriating his intellectual property rights in the e-cat.


  • “DARDEN, VAUGHN and CHEROKEE have deceptively created numerous foreign and domestic shell companies which they have, on more than one occasion, used to execute a classic “bait and switch” with ROSSI and LEONARDO, all while assuring Plaintiffs that they were actually just wholly owned holding entities and subsidiaries of CHEROKEE, and that CHEROKEE was still the true party in interest,” the suit alleges.


  • The defendants broke a license agreement when they refused to pay Leonardo Corporation $100 million for the rights to e-cat.


  • Industrial Heat; illegally copied Rossi’s technology, and has illegally obtained a patent for Rossi’s intellectual property.


  • “ROSSI and LEONARDO’s trade secrets which have been misappropriated by the Defendants, including the E-Cat IP, are not generally known to the public or to any other unaffiliated third parties,” the suit alleges.

Tom Darden

  • Darden and company have tried to obtain international patents for e-cat technology, without Rossi’s permission.


  • The relationship between Rossi and Cherokee Partners dates back to 2012; when Darden contacted Rossi, and offered to license e-cat in the United States.


  • Darden and Rossi signed the e-cat license agreement on October 26, 2012, before most of us were aware of it.


  • Industrial Heat was formed on October 24, 2012, without Rossi’s knowledge.


  • Rossi is alleging that Industrial Heat was set up with the express purpose of stealing and commercializing his technology.



  • Darden and Vaughn misled Ross with claims that Industrial Heat and Cherokee were the same company; when in reality they were separate organizations.

  • The e-cat license that belonged to Ampenergo Inc. was apparently signed over to Industrial Heat in exchange for a promised of three payments to Rossi and Leonardo. The payments totaling $100.5 million were to be made in three installments. One of $1.5 million at the start of the agreement, a $10 million payment after the successful completion of an e-cat validation test. $89 million to be paid after a 350 day test Guaranteed Performance Test. Industrial Heat is claiming that ecat did not pass the tests so it is under obligation to pay the money.


  • Industrial Heat paid Leonardo $1.5 million on October 26, 2012.


  • The agreement did not give Industrial Heat the e-cat technology. Instead it gave the company the right to commercialize the e-cat technology in North America, Central America, South America, the Caribbean, China, Russia, Saudi Arabia and the United Arab Emirates. Rossi’s attorney are alleging that Industrial Heat has tried to sell e-cat technology elsewhere namely in Europe.


  • IPH was formed to take ownership of Industrial Heat’s intellectual property in 2013.


  • An e-cat unit was shipped from Fererra, Italy to Raleigh, North Carolina for the Guaranteed Performance Test in August 2013.


  • Industrial Heat failed to carry out the test; requiring the agreement to be rewritten.


  • The guaranteed performance test was finally carried out in Miami, starting in February 19, 2015, at the facility of an unidentified company. Industrial Heat paid $1,000 a day to conduct the test.


  • The Guaranteed Performance Test was successfully completed on February 15, 2016.


  • Rossi’s attorneys claim that the e-cat operated successfully for more than 350 days during the test.


  • “By all accounts, the amount of energy produced by the E-Cat Unit during the Guaranteed Performance Test was substantially greater than fifty (50) times the amount of energy consumed by the E-Cat Unit during the same period,” the suit filed by Rossi’s lawyers claims.


  • “More specifically, the ERV found that over the Guaranteed Performance period, the amount of energy produced by the E-Cat Unit was consistently substantially greater than six (6) times the amount of energy consumed by the unit,” the suit states.


  • These results were verified by Engineer Fabio Peron who is described as the “expert responsible for validation” or ERV. Peron and two experts hired by Industrial Heat Barry West and Fulvio Fabiani monitored the test and helped operate the e-cat during the testing.

  • Industrial Heat sent out a press release claiming that the test disproved all of Rossi’s claims about e-cat.


  • Vaughn and Darden used the information provided in the test to raise $50 million for Industrial Heat from a variety of sources including British fund managers Woodford Investment Management during the test.


  • Rossi is alleging that Vaughn and Darden falsely claimed they owned his technology, when raising that money.


  • “In fact, the ERV found that during the testing period, the average energy multiplier (Energy Produced + Energy Consumed) was often greater than sixty (60),” the lawsuit claims.


  • On March 29, 2016, Rossi demanded that Industrial Heat pay him $89 million to comply with the license agreement.

The suit was filed in United States District Court for the Southern District of Florida in Miami on April 5, 2016, where Rossi lives. Rossi’s attorney; John W. Annesser Esquire of the Silver Law Group, is demanding a jury trial in federal court.




3 Responses to Details of Rossi’s Suit against Industrial Heat Available