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Delhi HC sets up arbitration tribunal to settle Hero trademark dispute
Hero trademark dispute

Delhi HC sets up arbitration tribunal to settle Hero trademark dispute

| @indiablooms | 18 Feb 2022, 03:59 pm

New Delhi: The Delhi High Court has set up arbitration tribunal of three retired judge to settle a trademark dispute between Hero Electric and Hero Moto Corp Hero.

The tribunal comprising Indu Malhotra, Deepak Mishra and Indermeet Kaur to decide on whether Hero Electric has exclusive rights to use the Hero trademark for its electric vehicles, Money Control reported.

“A petition was filed by Hero Electric to refer the disputes to arbitration which was strongly opposed by Hero MotoCorp. The Court, while rejecting all contentions of Hero MotoCorp, has referred all the disputes under the family arrangement to a three-member arbitral tribunal," said Hero Electric in a statement.

Naveen Munjal, Managing Director, Hero Electric, and his uncle Pawan Munjal are entangled in a legal battle over the use of the brand name ‘Hero’ for its electric vehicles.

In January 2022, Vijay Munjal and his son Naveen Munjal had approached the Delhi High Court seeking an injunction against Pawan Munjal led Hero MotoCorp -- India’s largest two-wheeler producer.

"The high court has declined relief to Hero Electric and Hero MotoCorp is free to manufacture and sell electric vehicles under the trade mark Hero", said Senior Advocate Rajiv Nayar representing Hero MotoCorp to CNBC-TV18.​

However, sources close to Hero Electric have said that the company has withdrawn its plea for injunction, as the dispute related to the Hero trademark will now be decided by the arbitration tribunal, the report stated.

"Given the reference of all disputes between the parties, we will be making a prayer for interim injunction against Hero MotoCorp before the duly constituted tribunal. Needless to add that we will also take all possible steps to thwart any challenge to the order of reference of the disputes to arbitration," said Hero Electric, according to te report.

Hero Electric, citing the non-compete clause, claimed they had the sole right to use the brand for the electric vehicle business, and not even entities controlled by the larger Munjal family shall have rights over it, he said.

This is as per the non-compete clause mentioned in the restructuring plans of the Hero Group hammered out in 2010.

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