Borden claims that he was led to believe that the loaned money would be used for technology development in Lehner's SolarCode business. He was informed that SolarCode had multiple government contracts in the Caribbean, Africa, and the Middle East, and that the technology associated with the loan was operational. However, Borden alleges that Lehner misrepresented the profitability and viability of SolarCode, failing to disclose that it was not a profitable or viable commercial entity.
As part of the loan agreement, Lehner assigned 20 percent of his SolarCode royalties to Borden indefinitely, with an option for Lehner to repurchase the royalty rights for $35 million.