Lodha versus Lodha: A ₹5000-crore legal battle and what’s at stake
Abhishek Lodha-led real estate firm Macrotech Developers has approached the Bombay HC to restrain Abhinandan Lodha from using the brand name ‘Lodha’ in any form
Abhishek Lodha and Abhinandan Lodha, the two real estate developers, are in the news after listed real estate firm Macrotech Developers, also known as Lodha Group, where Abhishek Lodha is the Managing Director, filed a 5000-crore lawsuit against his younger brother’s firm, the House of Abhinandan Lodha (HoABL), over allegations that the latter was unlawfully using the ‘Lodha’ or ‘Lodha Group’ brand name.
All about the petition
In its application filed last week, Macrotech Developers claimed it was the flagship company of the Lodha Group, a real estate firm founded in the early 1980s that offers residential and commercial properties under the brand name Lodha. It claimed it was the proprietor of the trademark 'Lodha' and various other registered trademarks containing the name as the leading, essential, and prominent feature.
The High Court will now hear the matter on January 27.
As per the application filed by Macrotech Developers helmed by Abhishek Lodha against HoABL, until 2015, there was an internal agreement that all companies in the Lodha Group could use the trademark. However, in 2015, it was decided that Abhinandan Lodha would separate from the Lodha Group and start his own business.
The terms of separation were also recorded in a Family Settlement Agreement in March 2015. In December 2023, a new agreement was signed, prohibiting him from using the name unless he met certain conditions.
"The plaintiff company, who is the registered proprietors of the 'Lodha' trademarks, has neither in the past nor till date hereof granted any no-objection/permission to the defendants for the use of 'House of Abhinandan Lodha'," the application said.
In the suit, Abhishek Lodha claimed the ‘Lodha’ brand name was built over the last four decades, and his firm had spent ₹1,700 crore in brand building in a decade alone. The suit said the Lodha name commands a lot of goodwill, and Macrotech's domestic property sales alone stand at ₹91,000 crore over the last decade.
"The Lodha Group has spent considerable time, effort and money building its brand through advertisements and endorsements and is renowned across India and abroad," it added.
Abhinandan Lodha has said that Lodha Ventures and Lodha FinServ were given to him as part of the family settlement, with an understanding that the ‘Lodha’ name was not to be used on a standalone basis in real estate. Hence, they had companies named Lodha Ventures, The House of Abhinandan Lodha (the real estate arm), and Lodha Finserv, which are now non-operative.
The Lodha brothers are sons of BJP leader and Maharashtra cabinet minister Mangal Prabhat Lodha, and they reached a settlement in 2015.
Also Read: Lodha vs Lodha: Macrotech’s Abhishek Lodha takes younger brother’s company to court over trademark
Here’s a primer on the real estate projects launched by the two real estate firms
Real estate projects under Abhishek Lodha's Macrotech Developers, also known as the Lodha Group.
After the 2015 separation, Abhishek Lodha continued to operate under the umbrella of Lodha Group, founded in the 1980s by Mangal Prabhat Lodha. The company was listed in April 2021.
Lodha Group has projects in Mumbai, Pune, and Bengaluru and has completed two in London. The company is also expected to announce its foray into the Gurugram and Ahmedabad real estate markets in the coming months.
Macrotech Developers' website shows that it has delivered around 65,000 homes across Mumbai, Thane, Pune, Bengaluru, and London. As of March 2024, the company has a 44-year legacy of delivering 100 million sq ft and having nearly 40 real estate projects.
Under Abhishek Lodha, the company is also developing a mega township project called Palava City near Kalyan in the Thane district, which is about a two-hour drive from South Mumbai.
Abhishek Lodha said in 2024 that Palava City, spread over around 4,500 acres, may scale up and generate a revenue of over ₹8,000 crore per year in the next couple of years owing to the development of residential and commercial properties, including warehousing and industrial spaces and a life sciences hub.
Also Read: Buying a property is better than renting one: Abhishek Lodha
Real estate projects launched under the HoABL umbrella
According to the website of HoABL, Abhinandan Lodha founded Lodha Ventures in 2015 with the aim of incubating new-age, profitable and sustainable consumer tech businesses.
The HoABL, founded in 2021, maintains that it is the country’s largest branded land developer. According to HoABL's website, the company has at least 14 projects, including Alibaug, Anjarle, Dapoli, Goa, Neral, Ayodhya, Nagpur, and other upcoming locations. The company shot to fame after it launched the first luxury plotted development project in Ayodhya soon after the Ram temple consecration ceremony,
The company also plans to develop projects near Mumbai in Amritsar, Vrindavan, Varanasi, Shimla, Nagpur, and Khapoli.
In November 2024, the company announced that it had acquired 352 acres of land across the six cities. More than 60 acres have been acquired in Vrindavan, over 50 acres in Khapoli near Mumbai, 11 acres in Shimla’s Mashobra, more than 100 acres in Nagpur, 75 acres in Varanasi and around 45 acres in Amritsar.
Abhinandan Lodha believes land has great potential for investors in the Indian real estate market. He has spoken about how, if land is invested in for 10 years, it can give good returns.
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