Elon Musk's electric vehicle (EV) giant, Tesla, has taken legal action against Gurgaon-based battery manufacturer, Tesla Power USA. The lawsuit alleges trademark infringement, with Musk's company accusing the Indian counterpart of unlawfully using the Tesla name.
The dispute centres around the usage of trade names 'Tesla Power' and 'Tesla Power USA' by the Indian battery maker, which has its headquarters in Delaware, USA. Musk's Tesla, incorporated in the same state, asserts that the usage of these names by the Indian company violates its trademark rights.
During a recent hearing at the Delhi High Court, representatives of Musk's Tesla argued that despite issuing a cease-and-desist order, the Indian company continued to advertise under the contested brand name. The ongoing usage prompted the legal action taken by the company.
In response, the Indian battery maker defended its position, claiming that it operates solely as a battery manufacturer and has no intentions to produce electric vehicles, thus arguing against any potential confusion in the market.
The presiding judge has granted Tesla Power USA a three-week window to submit written responses after presenting its defence document.
Musk's Tesla emphasized that it had previously notified its Indian namesake regarding the trademark issue in 2022. However, no response was received, leading to the escalation of the matter to a legal dispute.