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Hero Electric Vs Hero MotoCorp In Court – Over Use Of Brand HERO

Hero Electric Scooter Launch
Image for reference

As per legal agreement, Vijay and Naveen Munjal (father-son duo) were granted exclusive rights to use ‘Hero’ brand for their electric vehicles

Around a decade back, the extended Munjal families parted ways and were given their respective ownership of businesses. Vijay and Naveen Munjal got ownership of Hero Electric whereas Pawan Munjal continued with Hero MotoCorp. As per claims, Vijay and Naveen Munjal have the rights to use ‘Hero’ brand to manufacture and sell electric vehicles in domestic as well as international markets.

Hero Electric approaches Delhi High court

Just a few years back, there didn’t appear to be any friction between the two Munjal families. However, things may have changed dramatically in recent times with growing interest in electric two-wheelers. With clear indications of things moving in favour of an all-electric ecosystem, Hero Electric is taking proactive steps to protect its turf.

Hero Electric has approached Delhi High Court to prevent Hero MotoCorp from using the Hero brand name for its upcoming electric two-wheelers. This appears to be a pre-emptive move, as Hero MotoCorp has not indicated any plans to use the Hero nameplate for its upcoming electric two-wheelers. At least nothing has been revealed in public domain. However, as stakes are high, the fight over ‘Hero’ brand may intensify in future.

Hero Electric Vs Hero MotoCorp

While Hero MotoCorp is currently the largest two-wheeler manufacturer, Hero Electric has made significant gains. The latter currently leads in electric two-wheeler sales. One of Hero Electric’s USP is affordable pricing, which has helped boost sales. Moreover, Hero Electric has the first-mover advantage in electric two-wheeler segment.

Hero Electric scooters
Hero Electric Scooter Dealer

Ten years earlier, it may have been difficult to predict the dramatic shift to electric two-wheelers. As of now, one can easily visualize that the future will be an all-electric ecosystem. This may be one of the core reasons that may have revived the fight for use of ‘Hero’ brand.

From Hero Electric’s perspective, they have the rights to use the brand for their electric vehicles. In case of Hero MotoCorp, it can be argued that the shift to electric is something beyond their control. Moreover, it is happening at national and global level and is linked to managing climate change. It would be unfair if they are not allowed to use the Hero brand for their upcoming electric two-wheelers.

While Hero Electric has legal rights, the dramatic shift in industry ecosystem may warrant a review of the earlier agreement. It remains to be seen how the court takes a decision in this case. Both parties have refused to comment, as the matter is currently sub-judice.

Hero MotoCorp VIDA Electric
Hero MotoCorp has filed trademark for the name VIDA Electric

Earlier, it was reported that Hero MotoCorp could launch its electric scooters and motorcycles under VIDA brand. The company is expected to launch its first electric two-wheeler in March 2022. Hero MotoCorp has partnered with Taiwan-based Gogoro to manufacture its electric two-wheelers.

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