Flash Electronics Files Suit Against Royal Enfield — Are The Good Times Over?

Auto component manufacturer Flash Electronics India stated that it has filed a suit against Chennai based motorcycle manufacturer Royal Enfield. The suit has been filed in the United States for patent infringement regarding production of an electronic component.

Pune based Flash Electronics India said that Royal Enfield has infringed its patents on the 'Regulator Rectifier Device' and the method for regulating an output voltage of the same.

The company claimed the patent for its product was issued by the United States Patent And Trademark Office (USPTO) on February 20, 2018, four years after research and development came up with the component.

Flash Electronics has been the key manufacturer and supplier of this component to many leading two-wheeler manufacturers in India and overseas.

Flash Electronics India's Founder and Managing Director, Sanjeev Vasdev, said,"We have been trusted suppliers to leading auto manufacturers across India and overseas and it is unfortunate to have to deal with such an unexpected and unprecedented act on the part of Royal Enfield."

"The incident is objectionable and has dented the credibility of Royal Enfield, at least with Flash Electronics India as a partner," he added. Mr Vasdev said that Flash was approached by three senior officials of Royal Enfield on October, 12, 2018, in New Delhi to offer a settlement. The Royal Enfield officials also requested that Flash not file a suit against the manufacturer.

"Flash waited for the outcome of this meeting but Royal Enfield did not address the issue," he noted.
He added that the company will take necessary action across the world to ensure that Royal Enfield stops infringing the patent and pays compensation for the violation which would run into millions of dollars.

The regulator-rectifier is a vital component that converts the Alternating Current voltage Direct Current voltage to charge the batteries, power the headlights, light up the instrument panel, and drive the motorcycle's electrical systems.
Outside of the United States, Flash said it has been granted patents in other countries including Germany, France, Italy, the United Kingdom, the Netherlands, Sweden, Spain, Austria, Switzerland, and Turkey. The company intends filing similar suits across all these territories.

The Flash group currently supplies components to Bajaj Auto, India Yamaha Motor, and JAWA Motorcycles. Globally, it caters to Porsche, Audi, BMW, KTM, Kawasaki, Harley-Davidson, Ducati, Triumph and BRP-Rotax.

Thoughts About The Suit Filed Against Royal Enfield

It looks like the good times are over. Royal Enfield has had a good run over the last few years and now they seem to be getting in to trouble. First they've had bad sales numbers over the last six months. Now we hear they're headed in to a law suit across multiple territories. Wow! Well, we guess that's what happens when a domestic motorcycle manufacturer retails bad quality motorcycles to it's own countrymen. Karma!

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Article Published On: Monday, May 20, 2019, 18:57 [IST]
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