4 times automakers sued other automakers over alleged copy-catting

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Car companies share a lot more information with each other than you might think — some will even swap new models with one another to help them evaluate and benchmark the competition.

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But if they’re going to get real cozy, more often than not, the companies will enter into a formal partnership, often to jointly develop tech such as infotainment software, chassis systems, and engine development.

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4 times automakers sued other automakers over alleged copy-catting Back to video

This helps cut down costs for both manufacturers while also bettering the quality of the technology developed. Not to mention that when the agreement involves one company licensing the tech to the other, there’s profit to be had.

But the new-car marketplace is still a very competitive place, too; sometimes these partnerships fall through, or friendly talks between companies end up having more sinister undertones. Other times an automaker might poach an engineer from a rival to get the scoop on how to perfect a new piece of tech. Long story short, occasionally accusations of intellectual property theft fly, and that’s when the lawyers come out.

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Here are five times carmakers sued other carmakers over copy-catting.

Fiat verus Mahindra

You might have heard of this one, it being fairly recent and high-profile:

, since the latter’s military-style vehicle “borrowed” countless visual similarities from Jeep.

According to FCA, the Mahindra Roxor, assembled in Michigan, is a “nearly identical copy” of its Jeep, particularly the “boxy body shape with flat-appearing vertical sides and rear body ending at about the same height as the hood.”

And according to a judge, yeah, it seems Mahindra purposefully tried to evoke the Jeep image with its Roxor’s styling, and diminish the value of the Wrangler.

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Mahindra has since come out to say its new 2020 model will features significant design changes that should help it avoid further lawsuits with FCA, though they might just garner lawsuits from another off-road vehicle brand — Toyota.

Tesla versus Rivian

Yes, Tesla recently filed a lawsuit against soon-to-be electric carmaker Rivian over allegedly stolen trade secrets related to sales, infrastructure, and manufacturing practices.

To be transparent, some 178 of the 2,300 people working at Rivian used to work at Tesla, with 70 of those people making the switch directly from the latter to the former. The lawsuit, however, specifically alleges Rivian pushed a former Tesla employee to steal internal documents, such as recruitment plans and pay information, and bring them along with him to Rivian.

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Rivian has called the lawsuit “baseless,” but that hasn’t stopped Tesla from pressing further. Tesla also accused two employees of downloading confidential files in the final days before their termination of employment, files containing secrets about charging technology and manufacturing.

It’s worth noting Tesla opened up some of its patents to other automakers in 2015 under an agreement that would see a mutual back-and-forth trade between parties, but no other automaker has yet to take up the offer.

Karma versus Lordstown

In November 2020, Karma Automotive launched a lawsuit against Lordstown Motors , alleging the electric truck manufacturer tricked Karma into a partnership in order steal its trade secrets.

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Lordstown was, quite transparently, rather interested in licensing Karma’s infotainment system for use in its upcoming electric truck. The two companies signed a non-disclosure agreement in February of 2020, which saw Karma let Lordstown evaluate the system.

The two brands signed a letter of intent on June 11 detailing the partnership, and on July 9 Lordstown informed Karma it would be moving forward with the project. However, no payment was ever made. Based on Lordstown production forecasts, the deal would have net Karma US$3 billion in revenue by 2024.

Land Rover versus Volkswagen

Talk about the clash of two titans: November 2020 also saw J aguar Land Rover attempt to block Volkswagen from selling a number of its SUV models in the U.S., alleging the brand infringed on a patent for off-road vehicle technology.

The lawsuit claims VW stepped on the patent for its Land Rover’s Terrain Response technology, which controls the braking, engine, suspension, and transmission when driving on different surfaces. JLR spent a long time perfecting the system, mapping more than 50 different surfaces during development.

According to JLR, its Terrain Response technology is what makes its vehicles stand out against the competition from other SUVs, and it says the systems found on several SUVs from VW-owned brands such as Porsche, Audi, and Lamborghini copied their homework a little too closely.