The aim of this research is to develop a control algorithm to improve the stability and controllability of the in-wheel motors electric vehicle. The focus of this research is on presenting the algorithm of the lateral control system of the in-wheel motors electric vehicle in the framework of multi layers control strategy. The proposed advanced control strategy includes two independent and coordinated controllers based on the Lyapunov model. The interference of goals between controllability and stability is avoided. Coordination is guaranteed with regard to road friction information and vehicle performance. The control objective in the linear driving region is to enhance the vehicle's steering response by tracking an angular velocity of the vehicle around the yaw axis. The yaw torque produced for control purposes is converted into four torque inputs in the wheel of the electric motor in the wheel. The proposed control algorithm works well to distribute the effective torque to maintain the vehicle's longitudinal speed. The results of the performed simulations on a complete non-linear model of the in-wheel motors electric vehicle show the optimal and effective performance of the proposed control algorithm to improve the controllability and stability of the motor-in-wheel electric vehicle.