Delhi HC defers Tesla trademark case to April 2025

Mediation efforts continue between Elon Musk's Tesla Inc. and Gurugram-based Tesla Power India over trademark infringement allegations.

By  Storyboard18Nov 29, 2024 5:23 PM
Delhi HC defers Tesla trademark case to April 2025
The legal battle began on May 2, 2024, when Tesla Inc. filed its first lawsuit in India, accusing Tesla Power of trademark infringement and misleading consumers by implying an association with electric vehicles.

The Delhi High Court has postponed the ongoing trademark infringement dispute between Elon Musk's Tesla Inc. and Gurugram-based Tesla Power India Pvt Ltd to April 2025, as per reports.

The legal battle began on May 2, 2024, when Tesla Inc. filed its first lawsuit in India, accusing Tesla Power of trademark infringement and misleading consumers by implying an association with electric vehicles. Tesla Inc. alleged that this misrepresentation not only created consumer confusion but also posed a reputational risk as it prepared to enter the Indian market.

Following the lawsuit, the court prohibited Tesla Power from promoting or selling any products under the Tesla trademark.

In compliance with the court's initial order, Tesla Power informed the court on May 30 that it had directed its partners and vendors to remove the Tesla logo from electric scooters manufactured by e-Ashwa, with whom it had a marketing tie-up.

On June 4, the case was referred to mediation after both parties agreed to resolve their differences outside the courtroom. The court also instructed Tesla Power to take further steps to comply with its orders and refrain from associating its electric vehicle business with the Tesla name.

Despite these assurances, Tesla Inc. argued that Tesla Power continued to breach court orders by selling e-scooters featuring the Tesla logo.

Tesla Inc. claimed this misstep, coupled with Tesla Power’s advertisement campaigns as an electric vehicle company, misled consumers into believing there was a connection between the two firms.

Tesla Inc. also cited complaints from customers who purchased Tesla Power products under the mistaken impression they were associated with the U.S.-based EV giant.

In its defence, Tesla Power maintained that its core business involved supplying lead-acid batteries for automotive and industrial applications, and not manufacturing electric vehicles.

It attributed the use of the Tesla name in advertisements to its marketing partnership with e-Ashwa and denied any plans to market EVs under its brand.

With mediation still in progress, the court has scheduled the next hearing for April 2025, allowing both parties additional time to reach a settlement.

First Published on Nov 29, 2024 5:23 PM

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