Freedom being a generic term, it is unlikely that its availability or unavailability will have any significant impact on sales
Earlier this year in July, Bajaj had launched the world’s first dual-fuel CNG + petrol bike named Freedom 125. Just as people were starting to realize its benefits and potential, the bike has run into a lawsuit issue. A trademark violation case has been filed in the Delhi High Court by LML. Bajaj Auto is one of the largest automotive brands in the country. Their share price is at Rs 11,770, at the end of NSE trading day on 4th Oct 2024.
Bajaj Freedom vs. LML Freedom
With its technical collaboration with Piaggio, LML came up with popular two-wheelers such as LML Select in the 90s. Various other models were launched and one of these was the Freedom 110cc motorcycle. While the bike is no longer in production, LML claims it still holds the trademark for the ‘Freedom’ name. LML has alleged that Bajaj Auto has used the Freedom name for its CNG bike in an unauthorized manner.
LML is part of the parent company, SG Corporate Mobility Pvt Ltd. In the case filed in the Delhi High Court, LML has stated that its Freedom motorcycle was a huge success when it was available for sale in India. LML claims that there’s immense goodwill and reputation associated with the Freedom name. It’s true that LML was once a popular brand. However, claims about the popularity of Freedom motorcycle will need to be supported with proper evidence.
Bajaj Freedom name opposed on trademark portal
On the trademark search portal run by the Ministry of Commerce and Industry, the LML Freedom word mark is shown to be the property of SG Corporate Mobility Pvt. Ltd. The journal date mentions 5th August, 2024 and the status reads ‘Accepted & Advertised. In comparison, the Bajaj Freedom word mark status reads as ‘Opposed’. It is likely that LML has opposed the use of the Freedom word mark and followed it up with a trademark lawsuit against Bajaj Auto in the Delhi High Court.
In the court case, LML has mentioned that it is the rightful owner of the goodwill and reputation linked to the Freedom name. Furthermore, LML says that it is the company’s commitment to protect its trademarks and ensure integrity of the Freedom brand. LML has informed the court that it intends to launch a new range of scooters and motorcycles under the Freedom brand name. This will be done via the sister entity, LML Emotion Pvt. Ltd.
In 2022, LML had announced plans to enter the EV space. Some of the electric two-wheelers were also unveiled such as LML Star electric scooter and Moonshot electric bike. However, LML is yet to launch any of the new electric two-wheelers.
Options for Bajaj Auto
While the name Freedom is associated with multiple benefits that the bike offers, it is not something that is an absolute necessity. Just the CNG tag is enough to ensure marketability of Bajaj Freedom 125. It remains to be seen how Bajaj will respond to the lawsuit filed by LML.
One way they are likely to take is filing a new name which is not just ‘Freedom’. They seem to have already done that. As per latest data, Bajaj has filed the name – FREEDOM with device of FLYING ‘B’, where the B likely stands for Bajaj. Or, it can use any of the other registered trademark names such as Bajaj Fighter, Bajaj Technik, etc.
Source: Bike - rushlane.com