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SG Corporate Mobility — the parent company of the Indian two-wheeler brand LML — has taken auto major Bajaj Auto to high court, claiming that it was illegally using its ‘Freedom’ trademark in newly-launched Bajaj Freedom CNG motorbikes, the company said in a statement on Thursday.
SG Corporate Mobility claims that the term ‘Freedom’ has a deep-rooted association dating back to 2002 when the company had introduced its ‘LML Freedom’ motorcycle.
The trademark ‘Freedom,’ along with the ‘LML’ brand, was officially assigned to SG Corporate Mobility in 2021 after being transferred by LML.
The lawsuit claims that Bajaj Auto’s use of ‘Freedom’ infringes on these trademark rights, as well as the goodwill associated with the brand.
Bajaj Auto declined to comment regarding the lawsuit filed by SG Corporate Mobility. According to reports, as of September 5 Bajaj Auto has sold over 5,000 units since its launch in July.
Since the time of launch (2002) till it got discontinued (2017) , more than 1 million units of LML freedom were sold.
“Trademark law is pretty well settled. Just because a word exists and the word is free for everybody to use doesn’t mean that you can use it as a trademark to sell competing goods.
“The test of the law is the average person who is an everyday consumer,” said a person close to the development.
LML further explained “An ordinary consumer, If he sees a similar trademark on the market, he will probably think that this is also some new addition to do with the same manufacturer.
“There are degrees of harm there on how the consumer who bought something under a mistaken impression and also on the company making a similar trademark because it lost the consumer…And of course, there is a loss of goodwill and reputation in the process.”
According to the company, Bajaj’s use of ‘Freedom’ infringes on its trademark rights which in turn is diluting its established reputation as well as the goodwill associated with the brand which has been cultivated over decades.
In recent years, SG Corporate Mobility has been working towards relaunching the LML brand and expanding its product offerings.
The company has announced plans to introduce new scooters and motorcycles under the ‘Freedom’ label through its sister company, LML Emotion Pvt Ltd.
In 2022, SG Corporate Mobility announced its collaboration with Saera Electric Auto, which formerly manufactured Harley Davidson motorcycles in India.
The partnership was aimed at reclaiming LML’s market share, with plans to use Saera’s manufacturing facility in Bawal, Haryana, to produce new two-wheeler models under the ‘Freedom’ and ‘LML’ brands.
In the same year, SG Corporate Mobility unveiled the ‘LML Star’ electric scooters, marking its entry into the electric two-wheeler market.
SG Corporate Mobility is represented by the law firm Anand and Anand, with Advocate Pravin Anand leading the legal team, along with Advocate Jaya Negi and Advocate Yashi Agrawal.
The case is currently pending in the Delhi high court.
