Entrepreneur Zhan Baosheng has sued Tesla Motors in China for trademark infringement, reports Bloomberg.
The suit claims Baosheng had registered the rights to the name ‘Tesla’ before the automaker entered China. However, the company has not yet been served the lawsuit.
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In the lawsuit filed on 3 July in Beijing, Baosheng has requested Tesla to close its showrooms, service centres and supercharging facilities as well as halt all sales and marketing activities in the country. He has also asked for CNY23.9m (US$3.9m) worth of compensation.
In 2013, Chinese authorities ruled in favour of Tesla and declared Baosheng’s trademarks invalid. Baosheng is appealing against the decision and the new lawsuit will have to overcome the ruling.
Meanwhile, Tesla is working towards delivering Model S cars to customers in Shenzhen and Hangzhou. It delivered the first Model S in Shanghai and Beijing in April. Further, the company plans to manufacture cars in China in the next four years.
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