SKA Insurance Surveyors and Loss Assessors Pvt. Ltd., incorporated on 25.02.2022 by Mr. Sushil Kumar Agarwal who had resigned only two months earlier from the 2008-incorporated SKAAD Insurance Surveyors and Loss Assessors Pvt. Ltd. (of which he had been a director for 13 years), was directed by the Regional Director under Section 16(1)(a) of the Companies Act, 2013 to change its name within three months on the ground that “SKA” and “SKAAD” followed by identical descriptive words were too nearly resembling and likely to cause confusion, especially since both companies carry on identical business. The petitioner challenged the order in a writ petition contending that Section 16(1)(a) cannot be invoked when the earlier company has no registered trademark and that the RD impermissibly entered into trademark/passing-off considerations. The Delhi High Court dismissed the writ petition on 19.11.2025 holding that Section 16(1)(a) operates independently of trademark rights and is attracted merely on similarity of corporate names without requiring proof of deception or confusion, that the names were substantially identical when read as a whole, and that the common directorship and identical business made the RD’s conclusion unassailable.
- Section 16(1)(a) of the Companies Act, 2013 is attracted merely on objective similarity/near resemblance of corporate names and does not require proof of likelihood of confusion or deception as in a passing-off action (Para 7-10).
- Jurisdiction under Section 16(1)(a) is wider than trademark/passing-off jurisdiction and operates independently of the existence of a registered trademark (Para 8, 10).
- While comparing names under Section 16(1)(a), the names must be considered as a whole; addition or deletion of one letter (“SKA” vs “SKAAD”) in the dominant part followed by identical descriptive words renders the names too nearly resembling (Para 10).
- Common directorship and identical nature of business are relevant circumstances that strengthen the conclusion of near resemblance under Section 16(1)(a) (Para 11).
- The Regional Director is not required to decide ownership of trademark or passing-off while exercising power under Section 16(1)(a) (Para 9, 12).
Case Title: SKA Insurance Surveyors and Loss Assessors Private Limited Vs. Regional Director (Northern Region), Ministry of Corporate Affairs & Anr.
Order Date: 19 November 2025
Case Number: W.P.(C) 17574/2025
Neutral Citation: Not yet assigned
Court: High Court of Delhi at New Delhi
Judge: Hon’ble Mr. Justice Prateek Jalan
[Readers are advised not to treat this as substitute for legal advise as it may contain errors in perception, interpretation, and presentation]
[Written By: Advocate Ajay Amitabh Suman, IP Adjutor [Patent and Trademark Attorney], High Court of Delhi]
