Tesla Inc. found itself in a legal dispute in New Delhi this week seeking compensation and a restraining order against Tesla Power India, a local battery maker
Tesla Inc. was embroiled in a legal conflict in New Delhi this week, pursuing compensation and a restraining order against Tesla Power India, a local company specialising in battery production. The legal representatives of the American car producer informed the presiding judge that despite receiving a cease-and-desist notification in April 2022, the Indian entity persisted in using the Tesla name in its promotional materials for battery units.
This was revealed in a report from Reuters. In contrast to Tesla’s sophisticated technology integrated into their vehicles and energy storage solutions, Tesla Power’s legal counsel contended that the company exclusively produces traditional lead acid batteries, a technology considered antiquated in comparison.
Nevertheless, an examination of the company’s website revealed prominent branding as “Tesla Power USA” and a clear indication of its headquarters located in Delaware, where Tesla Inc.’s establishment is. The judge accorded the Indian company a 21-day timeframe to present written counterarguments after submitting validating documents asserting its right to name usage.
Additionally, Tesla Power was prohibited from circulating any promotional content containing trademarks resembling those owned by Tesla Inc. until the forthcoming hearing scheduled for May 22, according to Bloomberg’s report. Recently, we discussed Tesla’s likely backtracking of its plans to set up a manufacturing plant in India, following Q1 losses.
Tesla’s CEO, Elon Musk, was initially slated to convene with Indian Prime Minister, Narendra Modi, during a visit to India on April 21. However, Musk altered his plans, opting to travel to China for discussions with China’s Li Quang which proved to be fruitful as Tesla obtained authorisation to offer its full self-driving autonomous tech to Tesla EV buyers.
The brand is currently developing more affordable iterations of its existing models including Model 3 and they will essentially be stripped-down versions of them instead of being developed from scratch to lower the production costs. Tesla could target both developed and developing markets with it and it will be interesting to see what it has in store for India next!