:Khadi and Village Industries Vs Bala Saheb Walnuj

Delhi High Court Issues Injunction Against Swami Enterprises for Trademark Infringement

In a significant ruling on April 30, 2024, the Delhi High Court issued an ex-parte ad-interim injunction in favor of the Khadi & Village Industries Commission (KVIC), a statutory body established under the Khadi and Village Industries Commission Act of 1956. The plaintiff, KVIC, is the registered proprietor of the well-known wordmark "KHADI" and various device marks, registered across multiple classes including 3, 25, 29, 30, and 35. The "KHADI" mark is also listed among well-known trademarks by the Registrar of Trademarks, as published in the trademark journal no. 2065 dated August 15, 2022.

The defendants in this case, partners of M/s Swami Enterprises—Defendant Nos. 1-3—were found to be marketing, promoting, and selling cosmetic products under the mark "AYUVED'S KHADI" on the e-commerce platform Amazon.in. Additionally, they filed for the registration of a device mark in class 3 under application no. 5584097 through their partnership firm, which has yet to be advertised.

During a routine search in October 2023, KVIC discovered the impugned marks on cosmetic products sold by the defendants, which led to the legal action. The court, upon examining the evidence, found that the defendants' use of "AYUVED'S KHADI" and the domain name "ayuvedskhadi.com" wholly incorporated the plaintiff's "KHADI" mark. This, according to the court, is likely to cause consumer confusion and deception due to the prima facie deceptive similarity to the plaintiff's well-known trademark.

Judge Sanjeev Narula noted that the defendants' use of the impugned marks in their trading name and on their products, which do not originate from KVIC, constitutes trademark infringement and passing off. The court recognized the irreparable harm KVIC would suffer without the injunction, finding the balance of convenience in favor of the plaintiff.

As a result, the Delhi High Court granted KVIC an ex-parte ad-interim injunction, restraining M/s Swami Enterprises from using the impugned marks "AYUVED'S KHADI" and related domain names, pending further orders.

This case underscores the robust protection afforded to well-known trademarks in India and highlights the judiciary's proactive stance in preventing consumer confusion and safeguarding the rights of trademark proprietors.

Case Title:Khadi and Village Industries Vs Bala Saheb Walnuj

Judgement/Order Date: 30.04.2024

Case No. CS(COMM) 345 of 2024

Neutral Citation:NA

Name of Court: Delhi High Court

Name of Hon'ble Judge: Sanjeev Narula. H.J.

Disclaimer:

Ideas, thoughts, views, information, discussions and interpretation expressed herein are being shared in the public Interest. Readers' discretion is advised as these are subject to my subjectivity and may contain human errors in perception, interpretation and presentation of the fact and issue involved herein.

Written By: Advocate Ajay Amitabh Suman

IP Adjutor [Patent and Trademark Attorney]

United & United

Email: amitabh@unitedandunited.com

Ph No: 9990389539