Chennai-based TVS Motor Companytoday got some reprieve, with the Supreme Court allowing the two-wheeler firmto make and sell 125-cc 'Flame' motorbike that sports twin-spark plugs, the technology for which Bajaj Auto claims to hold patent.
A Bench headed by JusticeMarkandey Katju, while disposing of Bajaj's petition, asked the single judge ofthe Madras High Court to hold day-to-day hearings and decide the matter beforeNovember 30.
"Without going into themerits of the case... The respondent (TVS) is allowed to sell till the pendencyof the suit before the high court, but it shall maintain accurate records ofits sales all over the country," the court ordered.
The apex court also ordered thehigh court to appoint a receiver, who will keep record on sales of Flame acrossIndia and submit its report to the high court.
While vacating its interim ordersof June 8 and August 31 that allowed TVS Motor to make TVS Flame but restrainedit from moving its "finished product (motorcycle) from its warehouse",the bench added that the single judge should not be influenced by anyobservations made by the apex court or the division bench of the high court.
The directions came on a petitionfiled by Bajaj Auto challenging the Madras High Court's ruling that permittedTVS to use twin-spark plugs in its motorcycles.
The single Bench of the HighCourt had earlier restrained TVS from manufacturing, marketing and selling125cc motorcycle TVS Flame after Bajaj Auto alleged that the bike used twinspark engines, which is its patented technology.
Bajaj had alleged that its patenton twin spark plug engines had been infringed by its arch-rival TVS.
However, TVS had argued that itshould be allowed to make as the patent itself was under challenge before theIntellectual Property Appellate Board and there cannot be any blanket ban.
Bajaj contended that it is thegrantee of the Indian patent in respect of its invention titled 'An improvedinternal combustion engine working on four stroke principle' since July 16,2002