The American Petroleum Institute (API) has accused two companies of selling engine oils bearing its trademark without authorization.
According to NACS Online, the organization has filed a federal lawsuit against two Michigan firms – Energy Resources LLC and Babylon Trading & Development.
The companies are accused of manufacturing and distributing engine oils bearing imitation API logos.
API explained that neither firm is licensed to use its trademarks and their oil does not meet its quality standards.
As such, the companies are “unfairly trading on API’s goodwill” with the intention of deceiving the public, the organization claimed.
However, Tiku Vyas, chief marketing officer at US Energy Resources, said his firm disputed the claim.
“We have never sold a single bottle of motor oil with an API logo on it,” he added.
Babylon Trading & Development could not be reached for comment.