{"id":325934,"date":"2024-07-06T17:30:00","date_gmt":"2024-07-06T12:00:00","guid":{"rendered":"https:\/\/www.scconline.com\/blog\/?p=325934"},"modified":"2024-07-11T11:32:28","modified_gmt":"2024-07-11T06:02:28","slug":"tesla-v-tesla-delhi-hc-refers-trade-mark-dispute-between-tesla-inc-and-tesla-power-india-to-mediation","status":"publish","type":"post","link":"https:\/\/www.scconline.com\/blog\/post\/2024\/07\/06\/tesla-v-tesla-delhi-hc-refers-trade-mark-dispute-between-tesla-inc-and-tesla-power-india-to-mediation\/","title":{"rendered":"[Tesla v. Tesla] Delhi High Court refers trade mark dispute between Tesla Inc and Tesla Power India to mediation"},"content":{"rendered":"<div style=\"text-align: justify; line-height: 150%;\">\n<p style=\"margin-bottom: 3%;\"><span style=\"font-weight: bold;\">Delhi High Court:<\/span> In a suit filed by Elon Musk&#8217;s Tesla Inc. (&#8216;Tesla&#8217;) against Tesla Power India Private Limited (&#8216;defendants&#8217;) seeking permanent and mandatory injunction and damages for infringement of trade marks, passing off and unfair trade competition under Section 134(1) read with Sections <a href=\"https:\/\/www.scconline.com\/DocumentLink.aspx?q=JTXT-0001563669\" target=\"_blank\" rel=\"noopener\">27<\/a> and <a href=\"https:\/\/www.scconline.com\/DocumentLink.aspx?q=JTXT-0001563671\" target=\"_blank\" rel=\"noopener\">29<\/a> of the <a href=\"https:\/\/www.scconline.com\/DocumentLink.aspx?q=JTXT-0002776236\" target=\"_blank\" rel=\"noopener\">Trade Marks Act, 1999<\/a>, <span style=\"font-weight: bold;\">Mini Pushkarna, J.<\/span>, referred the matter to mediation before the Delhi High Court Mediation and Conciliation Centre.<\/p>\n<p style=\"margin-bottom: 3%;\">Tesla, a multinational company owned by Elon Musk, engaged in the manufacturing of electronic vehicles (&#8216;EV&#8217;), filed a suit for permanent injunction and damages against the defendants, for infringement of trade mark, passing off, and unfair trade competition. The grievance of Tesla is that defendants had been wrongfully using the trade mark\/trade name &#8216;TESLA POWER&#8217; \/ &#8216;TESLA POWER USA&#8217; as well as <a href=\"https:\/\/www.scconline.com\/blog\/wp-content\/uploads\/2024\/07\/17-30_Tesla-Inc-v.-Tesla-Power-DHC-1.jpg\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/www.scconline.com\/blog\/wp-content\/uploads\/2024\/07\/17-30_Tesla-Inc-v.-Tesla-Power-DHC-1.jpg\" alt=\"\" width=\"100\" height=\"80\"\/><\/a> and <a href=\"https:\/\/www.scconline.com\/blog\/wp-content\/uploads\/2024\/07\/17-30_Tesla-Inc-v.-Tesla-Power-DHC-2.jpg\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/www.scconline.com\/blog\/wp-content\/uploads\/2024\/07\/17-30_Tesla-Inc-v.-Tesla-Power-DHC-2.jpg\" alt=\"\" width=\"100\" height=\"80\"\/><\/a>.<\/p>\n<p style=\"margin-bottom: 3%;\">Tesla&#8217;s trade mark in India is pending registration. Tesla claims to have come across defendant 1 and 2, which is a company registered in USA, using the impugned marks &#8216;TESLA&#8217; in its entirety, in addition to the descriptive phrase &#8216;POWER USA&#8217;.<\/p>\n<p style=\"\">It was also contended by Tesla that the defendants announced their entry into the same business category i.e., EVs, and provided screenshots of articles and advertisements announcing it:<\/p>\n<p style=\"text-align: center; margin-bottom: 3%;\"><a href=\"https:\/\/www.scconline.com\/blog\/wp-content\/uploads\/2024\/07\/17-30_Tesla-Inc-v.-Tesla-Power-DHC-3.jpg\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/www.scconline.com\/blog\/wp-content\/uploads\/2024\/07\/17-30_Tesla-Inc-v.-Tesla-Power-DHC-3.jpg\" alt=\"\" width=\"400\" height=\"300\"\/><\/a> &nbsp;  &nbsp;  &nbsp;  &nbsp; <a href=\"https:\/\/www.scconline.com\/blog\/wp-content\/uploads\/2024\/07\/17-30_Tesla-Inc-v.-Tesla-Power-DHC-4.jpg\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/www.scconline.com\/blog\/wp-content\/uploads\/2024\/07\/17-30_Tesla-Inc-v.-Tesla-Power-DHC-4.jpg\" alt=\"\" width=\"250\" height=\"350\"\/><\/a><\/p>\n<p style=\"margin-bottom: 3%;\">Consequently, a cease-and-desist notice was sent by Tesla to the defendants on 18-04-2022, to which they gave a detailed response. However, since defendants continued to advertise and market their goods, Tesla filed the present suit in which notice was issued to the defendants by the Court, vide order dated 02-05-2024.<\/p>\n<p style=\"margin-bottom: 3%;\">The defendants were also present in the Court on 02-05-2024, where they stated that theirs was a business dealing predominantly with lead acid batteries which were supplied for automobiles, inverters, UPS, and they did not manufacture EVs of any kind, whatsoever. It was further stated by the defendants that the advertisements that were issued, were in respect of a marketing alliance that they had with another manufacturer of EVs, being &#8216;<span style=\"font-style: italic;\">E-Ashwa<\/span>.&#8217;<\/p>\n<p style=\"margin-bottom: 3%;\">Defendants contended that they had no intention of manufacturing EVs and undertook not to market other entities&#8217; EVs as well under their trade mark and trade name &#8216;TESLA POWER USA&#8217; or any other brand deceptively similar or use the word &#8216;TESLA.&#8217; It was further submitted that they would refrain from issuing any promotional advertisements or material in relation to EVs under their brand name\/ trade name.<\/p>\n<p style=\"margin-bottom: 3%;\">However, when the matter came up before the Court on 28-05-2024, it was stated by Tesla that despite the order dated 02-05-2024, which recorded the defendants&#8217; undertaking that they did not manufacture EVs, the investigator&#8217;s affidavit revealed an image of a scooter from a dealer which was available for sale, which included brochures as well. Accordingly, by order dated 28-05-2024 the Court directed the defendants to place on record an affidavit disclosing the total number of EVs sold. The defendants filed relevant documents complying with the order dated 28-05-2024.<\/p>\n<p style=\"margin-bottom: 3%;\">On 04-07-2024 when parties appeared before the Court, the defendants sought permission of the Court to file sur-rejoinder to Tesla&#8217;s rejoinder and expressed their desire to explore the possibility of mediation, to which Tesla was agreeable.<\/p>\n<p style=\"margin-bottom: 3%;\">The Court, therefore, referred the matter before the Senior Mediator of the Delhi High Court Mediation and Conciliation Centre.<\/p>\n<p style=\"margin-bottom: 3%;\">The matter has been listed next on 18-09-2024, before the Court.<\/p>\n<p style=\"margin-bottom: 3%;\">[<span style=\"font-weight: bold; color: #632423;\">Tesla Inc. v. Tesla Power India (P) Ltd., <a href=\"http:\/\/www.scconline.com\/DocumentLink\/00Lnbkb1\" target=\"_blank\" rel=\"noopener\">2024 SCC OnLine Del 4594<\/a>, decided on 04-07-2024<\/span>]<\/p>\n<hr\/>\n<p>Advocates who appeared in this case :<\/p>\n<p style=\"margin-left: 18pt;\"><span style=\"font-weight: bold;\">Advocates for the plaintiff:<\/span> Chander M. Lall, Sr. Adv., Nancy Roy, Raghav Malik, Prakriti Varshney, Ananya Chug, Prashant, Advocates.<\/p>\n<p style=\"margin-left: 18pt;\"><span style=\"font-weight: bold;\">Advocates for the defendants:<\/span> J. Sai Deepak, Mohit Goel, Sidhant Goel, Abhishek Kotnala, Kartikeya Tandoon, Aishna Jain, Satish Ahuja, A. Mishra, Avinash Sharma, Advocates.<\/p>\n<h3 style=\"color: #000080;\">Buy Trade Marks Act, 1999 &nbsp; <a href=\"https:\/\/www.ebcwebstore.com\/product_info.php?products_id=1218\" target=\"_blank\" rel=\"noopener\">HERE<\/a><\/h3>\n<p style=\"margin-bottom: 3%;\"><a href=\"https:\/\/www.ebcwebstore.com\/product_info.php?products_id=1218\" target=\"_blank\" rel=\"noopener\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/www.scconline.com\/blog\/wp-content\/uploads\/2023\/07\/trade-marks-act-1999-300x200.jpg\" alt=\"trade marks act, 1999\" width=\"300\" height=\"200\" class=\"aligncenter size-large wp-image-296380\" srcset=\"https:\/\/www.scconline.com\/blog\/wp-content\/uploads\/2023\/07\/trade-marks-act-1999-300x200.jpg 300w, https:\/\/www.scconline.com\/blog\/wp-content\/uploads\/2023\/07\/trade-marks-act-1999-768x512.jpg 768w, https:\/\/www.scconline.com\/blog\/wp-content\/uploads\/2023\/07\/trade-marks-act-1999-1536x1024.jpg 1536w, https:\/\/www.scconline.com\/blog\/wp-content\/uploads\/2023\/07\/trade-marks-act-1999-2048x1365.jpg 2048w, https:\/\/www.scconline.com\/blog\/wp-content\/uploads\/2023\/07\/trade-marks-act-1999-440x293.jpg 440w, https:\/\/www.scconline.com\/blog\/wp-content\/uploads\/2023\/07\/trade-marks-act-1999-650x433.jpg 650w, https:\/\/www.scconline.com\/blog\/wp-content\/uploads\/2023\/07\/trade-marks-act-1999-886x590.jpg 886w, https:\/\/www.scconline.com\/blog\/wp-content\/uploads\/2023\/07\/trade-marks-act-1999-60x40.jpg 60w\" sizes=\"auto, (max-width: 300px) 100vw, 300px\" \/><\/a><\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p style=\"font-style: italic;\">With consent of both the parties, the matter is referred to the Senior Mediator of Delhi High Court Mediation and Conciliation Centre.<\/p>\n","protected":false},"author":67011,"featured_media":325945,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[3,10],"tags":[2543,66901,3740,31345,70657,70654,70655,70656,46158],"class_list":["post-325934","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-casebriefs","category-highcourts","tag-Delhi_High_Court","tag-elon-musk","tag-mediation","tag-mediator","tag-section-134-trade-marks-act","tag-tesla","tag-tesla-inc","tag-tesla-power-india","tag-trade-mark-infringement"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v26.4 (Yoast SEO v26.4) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>[Tesla v. 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