Delhi HC refers trademark infringement case of Tesla Inc vs Tesla Power for mediation

New Delhi: The Delhi High Court has referred a trademark infringement case involving Tesla Inc and Tesla Power for mediation. Both parties agreed to attempt settlement through this process. A senior mediator from the Delhi High Court Mediation and Conciliation Centre will begin proceedings on July 18. If mediation fails, the court will hear the case on September 18.

Tesla Inc's Allegations

Tesla Inc, the US-based electric vehicle giant, sued Tesla Power India, accusing it of trademark infringement and misleading consumers by implying association with Tesla's EVs. This allegedly caused confusion and reputational damage as Tesla Inc entered the Indian market.
  
Tesla Power's Response

Tesla Power argued that "Tesla" is not a unique trademark, citing numerous companies and registrations globally with similar names. It clarified that it primarily supplies lead-acid batteries and partners with e-Ashwa for EV marketing, but does not manufacture EVs under the Tesla brand.

Non-Compliance Claims

Tesla Inc's lawyer claimed Tesla Power continued selling e-scooters with the Tesla logo on IndiaMart, despite court orders. Allegations of customers feeling cheated were raised.

Compliance Steps

Tesla Power informed the court it had instructed partners to remove the Tesla logo from e-scooters. It clarified its focus on battery supply and denied intent to market EVs under the Tesla brand.

The court instructed Tesla Power to ensure full compliance with its orders and refrain from EV-related activities using the Tesla trademark.
  
The mediation process aims to resolve the dispute amicably; however, concerns remain about Tesla Power's adherence to trademark regulations and consumer confusion.

This case highlights ongoing legal challenges in trademark disputes amidst the burgeoning electric vehicle market in India.