Elon Musk Sues Indian battery company Tesla Power Over Trademark Infringement

Tesla Inc., the American electric vehicle and clean energy company led by Elon Musk, has filed a lawsuit against Indian battery maker Tesla Power India in the Delhi High Court, alleging trademark infringement. The lawsuit claims that Tesla Power India's use of the brand name "Tesla Power" to promote its products has caused confusion and harm to Tesla Inc.'s business.

Why this matters: This lawsuit highlights the importance of trademark protection in the global market, particularly as companies expand into new territories. The outcome of this case may set a precedent for trademark law in India, impacting how international brands navigate the Indian market.

According to court documents, Tesla Inc. sent a cease-and-desist notice to Tesla Power India in April 2022, but the Indian company continued to advertise its products with the "Tesla Power" brand. Tesla Power India argues that its main business is making lead acid batteries and it has no intention of making electric vehicles.

During a court session, Justice Anish Dayal issued a notice to Tesla Power and restrained the company from publishing any promotional advertisements featuring EV products with a similar Tesla trademark until the next hearing on May 22. Tesla Power India's chairman, Kavinder Khurana, stated that the company would not be manufacturing or marketing its EV under the Tesla brand.

"We have never claimed to be related to Elon Musk's Tesla," said Manoj Pahwa, a representative of Tesla Power India, as quoted by Reuters. The Indian company claims it has been present in India before Musk's Tesla and has all necessary government approvals.

The lawsuit highlights the importance of trademark protection, particularly in cases where similar brand names can cause confusion among consumers. The outcome of this case, set to be heard next on May 22, may have implications for trademark law in India. As Tesla Inc. seeks to expand its presence in the Indian market, this legal battle underscores the challenges that can arise wheninternational brandsenter new territories.

Key Takeaways

• Tesla Inc. sues Indian battery maker Tesla Power India for trademark infringement.
• Tesla Power India uses "Tesla Power" brand, causing confusion and harm to Tesla Inc.'s business.
• Court restrains Tesla Power India from publishing ads with similar Tesla trademark until May 22.
• Tesla Power India claims it doesn't intend to make electric vehicles, only lead acid batteries.
• Case highlights importance of trademark protection in global market, especially in new territories.