TVS Motors drags Bajaj Auto to court over 'disparaging' ads

TVS Motors has filed a Civil Suit in the Madras High Court, over Bajaj Auto's current advertisement campaign that compares the Bajaj CT100 with the TVS XL100. TVS claims that the advertisement showcases false fuel economy figures, in order to 'disparage' their product, the XL100. The Madras HC has asked Bajaj Auto to stop running the said advertisement campaign for two weeks.

The case was filed around nine days ago, after Bajaj Auto dealers in Tamil Nadu circulated advertisements that compared fuel economy of the CT100 and that of the XL100. These advertisements claim that the TVS XL100 gives a fuel economy figure which is less than 50% of what the Bajaj CT100 extracts. TVS complained to the court that Bajaj has inflated fuel economy figures of their bike. The HC has sought a reply from Bajaj within the next two weeks.

The High Court has further made it clear that a manufacturer may slightly 'puff' its products through advertisements, but they should never denigrate competitive products. The court also said that comparative advertisements can be run as long as they do not attain negative overtones.

Interestingly, TVS and Bajaj have had a bittersweet relationship ever since Bajaj dragged TVS to court in 2008, alleging that the latter had copied its DTSi technology in its bikes. That particular case ended in TVS' favour in 2009.