US-based electric vehicle manufacturer Tesla Inc. has initiated legal action in the Delhi High Court against Tesla Power India Pvt Ltd, based in Gurgaon, for trademark infringement on its name ‘Tesla’.
During the court proceedings, Tesla Inc.’s senior counsel, Chander Lall, emphasized the need to prevent Tesla Power from using its trademark, arguing that the local company’s use of the brand in India was causing confusion among consumers and negatively impacting Tesla Inc.’s business interests.
Additionally, complaints regarding Tesla Power batteries are being misdirected to Tesla Inc. as consumers mistakenly associate them with the latter.
In response to Tesla’s petition, the high court issued a notice to Tesla Power and prohibited the company from releasing any promotional material featuring electric vehicle products with a similar Tesla trademark until the next hearing on May 22.
Tesla Inc. highlighted that consumers were unintentionally purchasing Tesla Power batteries under the assumption that they were affiliated with Tesla Inc., leading to complaints directed towards them.
However, the court expressed dissatisfaction with Tesla Inc.’s lack of urgency in addressing the matter, especially considering their ongoing communication with Tesla Power since 2020 regarding the trademark dispute.
Tesla Power clarified that it is not involved in manufacturing electric vehicle batteries but rather sells lead-acid batteries for conventional vehicles and inverters.
Kavinder Khurana, Chairman of Tesla Power India, personally appeared in court and affirmed that they had no intentions to enter the electric vehicle market under the Tesla brand. He explained that the advertisement featuring the Tesla trademark was related to another company, e-Ashwa, with whom Tesla Power has a strategic partnership.
Tesla Power, operational since 2020, boasts of having 1 million customers in India.
Meanwhile, Tesla CEO Elon Musk postponed his anticipated visit to India, citing prior commitments to Tesla.
Reports suggest that Tesla is contemplating a substantial investment of around $30 billion in India over the next five years, including the establishment of manufacturing facilities and a battery ecosystem.
