A mechanical contractor is taking legal action against SpaceXAI, alleging the company has failed to pay for extensive work on its Memphis-area data centers. Darrell Cuttell, owner of Ohio-based Darana Hybrid, claims he is owed $136 million for construction services rendered since 2024. The firm has filed formal liens against SpaceXAI in Shelby County, covering projects at the Colossus and Colossus II sites.
These filings are part of a broader conflict involving multiple contractors on the project. Reports indicate that additional liens exceeding $400 million are expected in Mississippi regarding work at the Southaven facility. Other entities, such as USW-Menard Inc. and TorcSill Foundations, have also initiated lien filings citing outstanding balances for services provided at the same locations.
The impact of this financial dispute extends beyond the data centers. Cuttell, who leads the International Hot Rod Association, has seen plans for the overhaul of the Memphis Motorsports Park delayed until 2027. Local officials in Millington stated they are monitoring the situation but have not received direct updates from the developer regarding the project timeline.
Neither SpaceXAI nor representatives for Elon Musk have issued a public response to the allegations. As of now, the legal proceedings remain active in the court system, and the total financial impact of the unpaid invoices continues to grow as more contractors come forward with similar claims.