Information on this blog is being shared only for the purpose of creating legal awareness in public at large, especially in the field of Intellectual Property Right. As there may be possibility of error, omission or mistake in legal interpretation on the contents of this blog, it should not be treated as substitute for legal advise.
Tuesday, July 15, 2025
Maulana Arshad Madani Vs Union of India
LT Foods Limited Vs Murli Flour Mills Pvt. Ltd.
Monday, July 14, 2025
Inder Raj Sahni Vs Neha Herbal
The defendant, Inder Raj Sahni, sole proprietor of M/s Sahni Cosmetics, claimed to have adopted the "NEHA" mark in 1990 for creams, asserting honest and concurrent use. He supported his claim with a 1990 manufacturing license and invoices demonstrating continuous use. The defendant’s attempts to register the "NEHA" mark (Applications No. 1462077 and 2153566) were refused or abandoned due to objections under Sections 9 and 11 of the Trade Marks Act, 1999, and non-compliance with examination reports. The plaintiffs initiated legal action in May 2019 after discovering cold creams bearing the "NEHA" mark sold by a retailer in Sadar Bazar, Delhi, alleging trademark infringement and passing off. The defendant countered that the plaintiffs were aware of his use since 2003 through a common wholesaler and accused them of delay and acquiescence, arguing that their suit was an opportunistic attempt to enter the creams market.
Parallelly, the defendant filed two cancellation petitions, C.O. (COMM.IPD-TM) 355/2021 and C.O. (COMM.IPD-TM) 455/2022, before the Intellectual Property Appellate Board (IPAB), seeking removal of the plaintiffs’ "NEHA" and "NEHA HERBALS" registrations. Following the IPAB’s abolition in April 2021, these petitions were transferred to the Delhi High Court. On March 22, 2023, the High Court, with the parties’ consent, transferred the suit to itself and tagged it with the cancellation petitions, agreeing that evidence in the suit would apply to the cancellation proceedings. On April 17, 2023, the Supreme Court noted the transfer and directed the High Court to dispose of all proceedings within six months. On January 3, 2024, the parties agreed to hear the suit and cancellation petitions together, leading to a consolidated hearing and a common judgment delivered on May 19, 2025.
Defendant’s Submissions: The defendant claimed prior adoption of the "NEHA" mark in 1990 for creams, supported by a manufacturing license and invoices. He invoked honest concurrent use and prior use under trademark law, arguing that his long-standing use predated the plaintiffs’ adoption. The defendant challenged the plaintiffs’ continuous use, alleging non-compliance with the Drugs and Cosmetics Act, 1940, for lacking a manufacturing license from 1992 to 2010. He accused the plaintiffs of acquiescence, claiming they were aware of his use since 2003 through a common wholesaler but initiated litigation only in 2019 to opportunistically enter the creams market. The defendant questioned the plaintiffs’ proprietorship, citing the timing and nominal consideration (INR 1,000) of the 2019 assignment deed, and sought cancellation of the plaintiffs’ registrations under Sections 47 and 57, arguing non-use, false claims, and lack of distinctiveness of the mark "NEHA" as a common name.
- Nandhini Deluxe v. Karnataka Co-operative Milk Producers Federation Ltd., (2018) 9 SCC 183: Cited in the context of Issue No. 8 (infringement), this Supreme Court decision addressed the use of the common name "NANDHINI"/"NANDINI" for different goods within the same class. The court held that registration in one class does not confer exclusive rights over all goods in that class, especially for non-distinctive marks. In this case, it supported the finding that the plaintiffs’ registration for henna did not extend to creams, given the functional dissimilarity and lack of evidence of brand spillover.
- Osram Gesellschaft Mit Beschrankter Haftung v. Shyam Sunder, 2002 SCC Online Del 423: Delhi High Court decision clarified that a registered trademark holder cannot claim monopoly over all goods in a class based on a single product. The court applied this to hold that the plaintiffs’ goodwill in henna did not extend to creams, as the goods were distinct in function and trade channels.
- Renessaince Hotel Holdings Incorporated v. B. Vijaya Sai, 2001 SCC Online Del 1051: For Section 29(4) infringement, this case outlined the three cumulative requirements for infringement involving dissimilar goods: identical/similar mark, reputation in India, and unfair advantage or detriment. The court found that the plaintiffs failed to prove reputation in creams, rendering Section 29(4) inapplicable.
- Reckitt & Colman Products Ltd. v. Borden Inc., 1990 (1) All ER 873 (HL): Referenced in Issue No. 7 (passing off), this House of Lords decision established the classic trinity test for passing off: goodwill, misrepresentation, and damage. The court applied this test to assess whether the defendant’s use of "NEHA" for creams misrepresented an association with the plaintiffs’ henna products, concluding it did not.
- Cadila Health Care Ltd. v. Cadila Pharmaceuticals Ltd., (2001) 5 SCC 73: Supreme Court case provided factors for determining deceptive similarity in passing off, emphasizing the nature, character, and trade channels of goods. The court used this to evaluate the likelihood of confusion, finding that the distinct packaging and product functions negated confusion.
- Kaviraj Pandit Durga Dutt Sharma v. Navaratna Pharmaceutical Laboratories, 1965 (1) SCR 737: Supreme Court decision distinguished trademark infringement (statutory) from passing off (common law), emphasizing that passing off protects goodwill from misrepresentation. The court applied this to assess the plaintiffs’ passing off claim, focusing on misrepresentation.
- Marico Ltd. v. Agro Tech Foods Ltd., 2010 SCC Online Del 3806: Delhi High Court decision held that overlapping trade channels and consumer bases alone do not establish confusion if packaging is distinct. The court used this to conclude that the plaintiffs’ green packaging for henna versus the defendant’s distinct cream packaging reduced confusion.
- Colgate Palmolive Company v. Anchor Health and Beauty Care Pvt. Ltd., 2003 SCC Online Del 1005: Delhi High Court case emphasized that passing off depends on overall presentation, not exact similarity. The court applied this to find that the distinct trade dress of the parties’ products negated misrepresentation.
- People Interactive (India) Pvt. Ltd. v. Vivek Pahwa, 2016 SCC Online Bom 7351: Bombay High Court decision held that common names or dictionary words have a narrower scope of protection. The court used this to reason that "NEHA," a common forename, required strong secondary meaning for broad protection, which the plaintiffs failed to prove.
For Issue No. 2 (continuous use), the court found that the plaintiffs established use since 1992 through invoices, advertisements, and witness testimonies, rejecting the defendant’s claim of non-compliance with the Drugs and Cosmetics Act due to insufficient evidence. On Issue No. 3 (defendant’s prior use), the court held that the defendant failed to prove use since 1990, as his invoices and license lacked specificity, and his registration attempts were unsuccessful. Issue No. 4 (concealment) was decided against the defendant, as no material misstatement by the plaintiffs was proven. Issue No. 5 (delay and acquiescence) was also rejected, as the court found no evidence that the plaintiffs were aware of the defendant’s use before 2019, negating acquiescence.
On Issue No. 6 (validity of registration), the court upheld the plaintiffs’ registrations, finding no grounds under Sections 47 (non-use) or 57 (rectification) for cancellation, as the plaintiffs demonstrated continuous use and no false claims. Issue No. 8 (infringement) was decided against the plaintiffs. The court analyzed Section 29(2)(a), which requires similarity of goods and likelihood of confusion, and found that henna and creams were functionally dissimilar despite being in Class 3. Citing Nandhini Deluxe and Osram, the court held that registration does not confer class-wide monopoly, and the plaintiffs’ goodwill was limited to henna. For Section 29(4) (dissimilar goods), the court, referencing Renessaince Hotel, found no evidence of the plaintiffs’ reputation in creams or detriment to their mark, rendering the claim untenable.
Issue No. 7 (passing off) was central to the plaintiffs’ case. Applying the trinity test from Reckitt & Colman, the court assessed goodwill, misrepresentation, and damage. The plaintiffs established goodwill in henna but not in creams, as their application for creams was proposed-to-be-used, and no evidence showed brand extension. On misrepresentation, the court, citing Cadila, Marico, and Colgate, found no likelihood of confusion due to distinct packaging (green for plaintiffs’ henna, different colors for defendant’s creams) and functional differences. The court noted the defendant’s admission of overlapping trade channels but held it insufficient without evidence of confusion, such as market surveys. Referencing People Interactive, the court emphasized that "NEHA," a common name, required secondary meaning for broad protection, which was absent. Thus, no misrepresentation or damage was proven, defeating the passing off claim.
Final Decision: The court dismissed the plaintiffs’ suit (CS(COMM) 207/2023), finding no trademark infringement or passing off by the defendant’s use of "NEHA" for creams. The defendant’s cancellation petitions (C.O. (COMM.IPD-TM) 355/2021 and 455/2022) were also dismissed, upholding the plaintiffs’ registrations. No costs were awarded, and a decree was directed accordingly.
- Scope of Registered Marks: Registration in a class does not confer exclusive rights over all goods in that class, especially for common names (Nandhini Deluxe, Osram).
- Functional Dissimilarity: Goods within the same class may be dissimilar in function, negating infringement under Section 29(2)(a) unless confusion is proven.
- Section 29(4) Infringement: Claims for dissimilar goods require proof of reputation, unfair advantage, or detriment, with a high evidentiary threshold (Renessaince Hotel).
- Passing Off Requirements: A passing off claim requires goodwill, misrepresentation, and damage. Common names need strong secondary meaning for broad protection (Reckitt & Colman, People Interactive).
- Distinct Packaging: Distinct trade dress and packaging can negate confusion despite overlapping trade channels (Marico, Colgate).
- Cancellation of Registration: Cancellation under Sections 47 or 57 requires clear evidence of non-use or invalidity, which the defendant failed to provide.
- Prior Use and Acquiescence: Claims of prior use must be substantiated with cogent evidence, and acquiescence requires proof of knowledge and inaction.
Case Title: Inder Raj Sahni Vs. Neha Herbals Pvt. Ltd. :Date of Order: May 19, 2025:Case No.: C.O. (COMM.IPD-TM) 355/2021, C.O. (COMM.IPD-TM) 455/2022, CS(COMM) 207/2023: Neutral Citation: 2025:5HC:4037:High Court of Delhi: Hon’ble Mr. Justice Sanjeev Narula
Disclaimer: The information shared here is intended to serve the public interest by offering insights and perspectives. However, readers are advised to exercise their own discretion when interpreting and applying this information. The content herein is subjective and may contain errors in perception, interpretation, and presentation.
Written By: Advocate Ajay Amitabh Suman, IP Adjutor [Patent and Trademark Attorney], High Court of Delhi
Mold Tek Packaging Limited vs Pronton Plast Pack Pvt. Ltd.
Sunday, July 13, 2025
Mr. Piruz Khambatta & Anr. Vs. Franchise India Brands Limited
Case Title: Mr. Piruz Khambatta & Anr. Vs. Franchise India Brands Limited & Anr.:Date of Order: 9th May 2025:Case Number: CS(COMM) 454/2025:High Court of Delhi: Name of Judge: Hon’ble Mr. Justice Saurabh Banerjee
Facts:
The plaintiffs, Mr. Piruz Khambatta and the associated company, are the owners of the registered trade mark "RASNA" and related artistic works. They alleged that the defendants, Franchise India Brands Limited and its subsidiary M/s. Ichakdana Food Services LLP, engaged in infringing upon their registered trademarks by operating "Rasna Buzz" outlets and promoting infringing content on social media, despite being asked to cease such activities. The defendants had previously entered into licensing agreements and had undertaken to open numerous outlets but continued infringing activities.
Procedural Details:
- The plaintiffs filed a suit claiming infringement of trademarks and seeking permanent injunction.
- They moved an application for ex-parte interim injunction and exemption from pre-litigation mediation.
- The court considered various pending procedural applications regarding court fees, filing additional documents, and extending timelines.
- The court granted exemption from pre-litigation mediation given relevant legal precedents.
- The court directed the defendants to respond via notices, with future dates scheduled for submissions and hearings.
Issues:
- Whether the defendants have infringed upon the plaintiffs' registered trademarks.
- Whether an interim injunction should be granted to prevent further infringement.
- Whether the plaintiffs are exempted from pre-litigation mediation as per statutory and judicial precedents.
Decision:
The Court, after hearing the parties and considering the legal provisions and precedents,:
- Granted the plaintiff ex parte injunction in favour of the plaintiff.
Registrar of Trade Marks Vs. Hamdard National Foundation
Saturday, July 12, 2025
Vishal Gupta and Others Vs. Rahul Bansal
Introduction: The present case arises out of a dispute between Vishal Gupta and others on one side, and Rahul Bansal on the other, concerning alleged passing off and deceptive similarity in the use of trademarks related to edible oil products. The case, which reached the Delhi High Court by way of a First Appeal under Order XLIII CPC, centers around an interim injunction granted by the Commercial Court. The High Court was called upon to assess whether the injunction was legally sustainable, particularly when the respondent-plaintiff did not hold a registered trademark.
Detailed Factual Background: Rahul Bansal, the plaintiff before the learned Commercial Court, sought to restrain Vishal Gupta and others, who were the defendants in the original suit, from using the trademarks "OM AMAR SHAKTI" and "SARKAR OM AMAR SHAKTI" for selling mustard oil. The plaintiff claimed that the defendants' marks were deceptively similar to his mark "MATA AMAR SHAKTI", and that such use by the defendants would amount to passing off.
However, the plaintiff's mark "MATA AMAR SHAKTI" was not registered under the Trade Marks Act, 1999, although he possessed copyright registration for the label associated with the mark. The plaintiff contended that he had prior user rights over the mark and that the defendants were attempting to misappropriate the goodwill he had built around his label. Based on this assertion, he sought an injunction to prevent the defendants from using their respective marks.
Detailed Procedural Background: The Commercial Court at Tis Hazari, New Delhi, adjudicated on three applications together: the plaintiff's application under Order XXXIX Rules 1 and 2 CPC for interim injunction, and two applications filed by the defendants—one under Order VII Rule 11 CPC seeking rejection of the plaint, and another under Order VII Rule 10 CPC seeking return of the plaint for want of jurisdiction.
The Commercial Court vide order dated 5 March 2025 granted the injunction sought by the plaintiff and restrained the defendants from using the marks "OM AMAR SHAKTI" and "SARKAR OM AMAR SHAKTI". Aggrieved by this injunction order, the defendants preferred FAO (COMM) 103/2025 before the Delhi High Court, limiting their challenge only to the part of the order that pertained to the injunction under Order XXXIX Rules 1 and 2 CPC.
Issues Involved in the Case: The principal issue before the High Court was whether the Commercial Court erred in granting an injunction for passing off in favour of the plaintiff who did not possess a registered trademark, and whether the ingredients for sustaining a passing off action had been properly considered? A secondary issue was whether mere priority of user could justify a finding of passing off without proof of goodwill, misrepresentation, and damage?
Detailed Submission of Parties: The appellants submitted that the injunction granted by the Commercial Court was legally unsustainable because the respondent did not hold a registered trademark and had failed to establish the essential elements of a passing off action. It was contended that the injunction had been granted solely on the basis of alleged prior use, without any supporting evidence of acquired goodwill, misrepresentation by the defendants, or damage to the respondent.
The respondent candidly admitted that the trademark was not registered. However, he argued that the respondent was still entitled to protection under the common law tort of passing off. He placed reliance on the principle that a passing off action could be maintained by a prior user regardless of registration and invoked multiple Supreme Court judgments supporting the same.
Detailed Discussion on Judgments Along with Their Complete Citation Cited by Parties and Their Respective Context Referred in This Case: The respondent placed reliance on the judgment in Brihan Karan Sugar Syndicate (P) Ltd. v. Yashwantrao Mohite Krushna Sahakari Sakhar Karkhana, (2024) 2 SCC 577. The Supreme Court in this case reaffirmed that in a passing off action, the plaintiff must establish three elements: (i) goodwill, (ii) misrepresentation leading to deception, and (iii) actual or likely damage. The Court emphasized that priority of use alone was insufficient unless goodwill and confusion were also proven.
The principles were further elaborated by citing Satyam Infoway Ltd. v. Siffynet Solutions (P) Ltd., (2004) 6 SCC 145, which clarified that in a passing off claim, the plaintiff must demonstrate that the defendant's use of the mark is likely to deceive the public into believing that the defendant's goods are those of the plaintiff.
The Court also referred to Toyota Jidosha Kabushiki Kaisha v. Prius Auto Industries Ltd., (2018) 2 SCC 1, and S. Syed Mohideen v. P. Sulochana Bai, (2016) 2 SCC 683, which collectively affirmed that registration of a trademark is irrelevant for a passing off claim based on prior user. Furthermore, the House of Lords’ decision in Reckitt & Colman Products Ltd. v. Borden Inc., (1990) 1 WLR 491 (HL), was approved in these cases, where it was held that reputation, misrepresentation, and damage form the triad of requirements in a passing off suit.
Despite these precedents, the High Court found that the Commercial Court had failed to assess these essential elements and had granted the injunction solely based on prior user without examining whether the respondent had established goodwill, misrepresentation, or damage.
Detailed Reasoning and Analysis of Judge: The Division Bench held that the impugned order of the Commercial Court was legally flawed. It was observed that the order did not discuss or evaluate the essential ingredients of a passing off action—particularly the presence of goodwill or reputation associated with the mark "MATA AMAR SHAKTI".
The Court pointed out that priority of use, by itself, does not justify an injunction. In order to grant interim relief in a passing off action, courts must be satisfied not only of the plaintiff’s prior use but also of misrepresentation by the defendant and likelihood of damage. None of these were adequately discussed or proven before the Commercial Court.
The Court further noted that even the respondent’s counsel accepted the fundamental omission and expressed willingness to have the matter remanded. Accordingly, the Court exercised its appellate jurisdiction to correct the procedural and legal error committed by the Commercial Court.
Final Decision: The Delhi High Court allowed the appeal to the extent of setting aside the portion of the Commercial Court's order that granted injunction under Order XXXIX Rules 1 and 2 CPC. The matter was remanded to the learned Commercial Court for a fresh decision after examining the case on merits, particularly the ingredients of a passing off claim.
Law Settled in This Case: This judgment reinforces the well-established principle that for a successful passing off action, the plaintiff must establish three crucial elements: goodwill associated with the mark, misrepresentation by the defendant, and resultant damage or likelihood of it. Mere prior use of a mark is not enough to secure an injunction unless these ingredients are present. It also reiterates that in the absence of a registered trademark, a claim for infringement is not maintainable under Section 28 and 29 of the Trade Marks Act, 1999. The decision underscores the responsibility of courts to conduct a thorough analysis of these components before granting interim relief in trademark disputes.
Disclaimer:The information shared here is intended to serve the public interest by offering insights and perspectives. However, readers are advised to exercise their own discretion when interpreting and applying this information. The content herein is subjective and may contain errors in perception, interpretation, and presentation.
Written By: Advocate Ajay Amitabh Suman,IP Adjutor [Patent and Trademark Attorney] ,High Court of Delhi
Wander Ltd. and Anr. Vs. Antox India Pvt. Ltd.
Relations between the parties deteriorated, leading Wander to terminate the agreement in November 1988. It instructed Antox to cease using the trademark and entered into a fresh manufacturing arrangement with another company. Antox, in response, filed a civil suit seeking an injunction to restrain Wander from using the trademark “Cal-De-Ce,” claiming that the mark had been abandoned by Wander and that it (Antox) had acquired rights through continuous use.
In discussing the contours of a passing off action, the Court referred to Lord Diplock’s exposition in Erven Warnink B.V. v. J. Townend & Sons (Hull) Ltd., [1979] AC 731, which described passing off as a form of actionable unfair trading involving misrepresentation likely to cause damage to the goodwill of a business. The Court underscored that the essence of a passing off action is not statutory ownership but independent and prior use of the mark, coupled with misrepresentation by the defendant.
Secondly, the Supreme Court noted that the Division Bench had failed to appreciate the distinction between a statutory infringement action and a passing off action. In a passing off claim, the plaintiff must establish independent and prior user. The fact that Antox's user was subsequent and under a license meant it had no independent right to the mark. Further, the manufacturing license granted to Antox was based on Wander’s trademark rights, which negated any claim of adverse user by Antox.
Thirdly, the Supreme Court held that even assuming the agreement between the parties was void (as contended by Antox), it did not strengthen Antox’s case, as its user was still derivative of Wander’s ownership. Therefore, no prima facie case had been made out to warrant the grant of injunction against Wander.
Disclaimer: The information shared here is intended to serve the public interest by offering insights and perspectives. However, readers are advised to exercise their own discretion when interpreting and applying this information. The content herein is subjective and may contain errors in perception, interpretation, and presentation.
Written By: Advocate Ajay Amitabh Suman, IP Adjutor [Patent and Trademark Attorney], High Court of Delhi
Nuvoco Vistas Corporation Ltd. Vs. JK Lakshmi Cement Ltd. & Anr
Raman Kwatra Vs KEI Industries Limited
Introduction
The clash between intellectual property rights and business interests often leads to riveting legal battles, and the case of Raman Kwatra & Anr. versus M/s KEI Industries Limited stands as a testament to this dynamic. Decided by the High Court of Delhi on January 6, 2023, this case delves into the intricate world of trademark law, pitting a seasoned manufacturer of electrical appliances against a well-established cable and wire company over the use of the mark "KEI." At its core, this dispute raises fundamental questions about trademark infringement, the scope of registered marks, and the equitable principles governing such conflicts. The judgment not only resolves a specific commercial rivalry but also offers valuable insights into the interpretation of India's Trade Marks Act, 1999, making it a significant study for legal practitioners and businesses alike.
Detailed Factual Background
The appellants, Raman Kwatra and his proprietorship firm (collectively "the appellant"), are engaged in manufacturing electrical appliances such as fans, room coolers, geysers, and other household items. The appellant traces its use of the "Kwality Label," which incorporates the initials "KEI," back to 1966, when it was adopted by Raman Kwatra’s father, Late Shri Om Prakash Kwatra. This mark was registered under Classes 9 and 11 in 1997, albeit with a disclaimer on the words "KWALITY" and "INDIA," and is now owned by Raman Kwatra’s brother, Rakesh Kwatra. In 2008, the appellant conceived a new mark (referred to as the "impugned trademark") featuring "KEI" in the same font and style as the Kwality Label, which it began using for its products. The appellant applied for registration of this mark in 2016 under Classes 7, 11, and 35, but faced opposition, leaving it unregistered at the time of the dispute.
The respondent, KEI Industries Limited, is a prominent player in the wire and cable industry, claiming use of the "KEI" mark since 1968, when it began as a partnership firm named Krishna Electrical Industries. Incorporated as a public limited company in 1992, the respondent has since expanded into manufacturing various types of cables, including power cables, control cables, and house wires, serving sectors like power, oil refineries, and railways. The respondent secured registration for its word mark "KEI" and a device mark featuring "KEI" in Classes 6, 9, 16, 35, 37, and 42, with the device mark conceptualized in 2007. In September 2017, the respondent discovered the appellant’s trademark application during a routine check and issued a cease-and-desist notice on October 31, 2017, alleging infringement. The appellant refuted these claims in a reply dated November 27, 2017, setting the stage for a legal showdown.
Detailed Procedural Background
The respondent initiated legal action by filing a suit [CS(COMM) 9/2021] before the Delhi High Court, seeking a permanent injunction against the appellant’s use of the impugned trademark, alleging infringement and passing off. Alongside the suit, the respondent applied for an interim injunction under Order XXXIX Rules 1 and 2 of the Code of Civil Procedure, 1908. On May 17, 2022, the learned Single Judge granted the interim injunction, restraining the appellant from using the impugned trademark or any deceptively similar marks in relation to electrical goods pending the suit’s disposal. The Single Judge found prima facie infringement of the respondent’s registered marks, prompting the appellant to file an intra-court appeal [FAO(OS) (COMM) 172/2022] challenging this order. The appeal, accompanied by an application (CM APPL. 30278/2022), was adjudicated by a Division Bench comprising Justices Vibhu Bakhru and Amit Mahajan, culminating in the judgment delivered on January 6, 2023.
Issues Involved in the Case
The case revolves around several critical legal issues. First, whether the appellant’s use of the impugned trademark infringes the respondent’s registered trademarks under Section 29 of the Trade Marks Act, 1999, particularly Sections 29(2) and 29(4). Second, whether the goods covered by the appellant’s impugned trademark (e.g., fans, geysers) are similar to those under the respondent’s registered marks (e.g., wires, cables), thereby justifying an infringement claim. Third, whether the respondent is estopped from alleging similarity between the marks due to prior representations made to the Trade Marks Registry. Fourth, whether the appellant’s registered "Pedestal Fan Label" and historical use of the "Kwality Label" bolster its defense. Finally, whether the defense of honest and concurrent use applies to resist the respondent’s injunction plea.
Detailed Submission of Parties
The appellant, represented by Senior Advocate Jayant Mehta, mounted a multi-pronged challenge to the Single Judge’s order. He argued that the impugned order overlooked the appellant’s registered "Pedestal Fan Label" (Registration No. 4639094) in Class 11, which incorporates the impugned trademark, and sought to amend the written statement to reflect this fact. He contended that the Single Judge erred in deeming the appellant’s goods similar to the respondent’s, as the latter deals in cables and wires, not household appliances. Mehta emphasized the appellant’s long-standing use of the "Kwality Label" since 1966, inherited through family business succession, asserting that the impugned trademark’s "KEI" was a bona fide continuation of this legacy. He further argued that the respondent’s prior assertion of dissimilarity before the Trade Marks Registry estopped it from claiming infringement, and that the defense of honest and concurrent use should shield the appellant.
The respondent, represented by Senior Advocate C.M. Lall, countered that its "KEI" mark, registered across multiple classes, enjoys a robust reputation, and the appellant’s use of an identical mark in the electrical goods sector risks confusion and dilution. Lall argued that while the respondent currently focuses on cables, its registrations, particularly the device mark’s coverage of "other kinds of electrical and electronic instruments," encompass allied goods like fans and geysers. He dismissed the estoppel argument, citing the lack of statutory estoppel and reserving the respondent’s right to legal remedies. Lall also relied on precedents to assert that honest and concurrent use is not a valid defense against infringement of a registered trademark, urging the court to uphold the injunction.
Detailed Discussion on Judgments Cited by Parties and Their Context
The respondent leaned heavily on judicial precedents to bolster its stance. In Power Control Appliances v. Sumeet Machines (P) Ltd. [(1994) 2 SCC 448], the Supreme Court held that honest and concurrent use, while a basis for concurrent registration under the Trade Marks Act, 1958, does not defend copyright infringement—a principle the respondent extended to trademarks. Laxmikant Patel v. Chetanbhai Shah [(2002) 3 SCC 65] reinforced that goodwill and reputation are protectable against deceptive similarity. Bombay High Court decisions like Cadila Pharmaceuticals Ltd. v. Sami Khatib [2011 SCC OnLine Bom 484] and Kalpataru Properties Pvt. Ltd. v. Kalpataru Buildtech Corp. Ltd. [2015 SCC OnLine Bom 5817] underscored the irrelevance of honest use in registered trademark disputes. Delhi High Court rulings, such as Inder Industries v. GEMCO Electrical Industries [2012 SCC OnLine Del 2416] and Hindustan Pencils Pvt. Ltd. v. India Stationary Products Co. [1989 SCC OnLine Del 34], emphasized protecting registered marks against confusion, regardless of intent.
The appellant countered with Telecare Networks India Pvt. Ltd. v. Asus Technology Pvt. Ltd. [(2019) 262 DLT 101], where the Delhi High Court dismissed estoppel against statute but was challenged here for misapplication, as the appellant argued equitable estoppel based on the respondent’s registry statements. The appellant also invoked statutory interpretation principles from Amar Chandra Chakraborty v. Collector of Excise [(1972) 2 SCC 442] and Rohit Pulp and Paper Mills Ltd. v. CCE [(1990) 3 SCC 447], advocating a restrictive reading of "other kinds of electrical and electronic instruments" under the ejusdem generis and noscitur a sociis rules, limiting the respondent’s mark to cables and related devices.
Detailed Reasoning and Analysis of Judges
The Division Bench, led by Justice Vibhu Bakhru, meticulously dissected the Single Judge’s findings. The court first addressed the similarity of goods, rejecting the Single Judge’s expansive interpretation of "other kinds of electrical and electronic instruments" in the respondent’s device mark registration. Applying ejusdem generis, the Bench held that this phrase, following specific items like cables, switchgears, and transformers, should be confined to instruments for controlling or manipulating electricity, not household appliances like fans or geysers. The court found the word mark "KEI" limited to "Wires and Cables (Electric and telecommunication)" in Class 9, further undermining the similarity claim under Section 29(2).
The Bench then tackled the estoppel issue, disagreeing with the Single Judge’s reliance on Telecare Networks. It held that the respondent’s assertion of dissimilarity between its mark and the appellant’s before the Trade Marks Registry—made to secure registration of "KEI" in Class 11—barred it from claiming similarity now, invoking the equitable principle against approbation and reprobation. The court also noted the appellant’s registered "Pedestal Fan Label," overlooked by the Single Judge, as a factor weakening the infringement case.
On honest and concurrent use, the Bench acknowledged Section 12 of the Trade Marks Act, which allows concurrent registration in special circumstances, but deemed it unnecessary to resolve this defense given the lack of goods similarity. However, it critiqued the Single Judge’s blanket rejection of this defense, suggesting its potential relevance in appropriate cases. Finally, while the respondent urged consideration under Section 29(4) (infringement for dissimilar goods with reputation), the Bench remanded this aspect to the Single Judge, noting its absence from earlier arguments but relevance in the plaint.
Final Decision
The Division Bench set aside the impugned order of May 17, 2022, lifting the interim injunction against the appellant. It remanded the matter to the Single Judge to examine the respondent’s claim under Section 29(4) of the Trade Marks Act, ensuring a fresh prima facie assessment of infringement based on reputation and unfair advantage. The appeal was disposed of without costs.
Law Settled in This Case
This judgment clarifies several aspects of trademark law in India. It reaffirms that the scope of a registered trademark’s goods must be interpreted restrictively using ejusdem generis when general terms follow specific ones, preventing overreach into unrelated product categories. It establishes that a party’s representations to the Trade Marks Registry can estop it from taking contradictory positions in litigation, grounding this in equitable principles rather than statutory estoppel. The decision also hints at the potential viability of honest and concurrent use as a defense against infringement, though it leaves this open for future adjudication. Finally, it underscores the distinct application of Section 29(4) for dissimilar goods, emphasizing reputation and detriment as key factors.
Disclaimer: The information shared here is intended to serve the public interest by offering insights and perspectives. However, readers are advised to exercise their own discretion when interpreting and applying this information. The content herein is subjective and may contain errors in perception, interpretation, and presentation.
Written By: Advocate Ajay Amitabh Suman, IP Adjutor [Patent and Trademark Attorney], High Court of Delhi
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WHETHER THE REGISTRAR OF TRADEMARK IS REQUIRED TO BE SUMMONED IN A CIVIL SUIT TRIAL PROCEEDING
WHETHER THE REGISTRAR OF TRADEMARK IS REQUIRED TO BE SUMMONED IN A CIVIL SUIT TRIAL PROCEEDING IN ORDER TO PROVE THE TRADEMARK REGISTRA...
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$~ * IN THE HIGH COURT OF DELHI AT NEW DELHI + CS(COMM) 1307/2016 M/S. KHUSHI RAM...
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Species patents following a Markush patent must demonstrate a distinct inventive step Introduction The AstraZeneca AB & Anr. Vs. Intas ...
My Blog List
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जुल्म ए बुनियाद - तू लाख सितम ढाह बना जुल्म ए बुनियाद , हम तोड़ कर ज़ंजीर हर हो जायेंगे आज़ाद। हम ख़ौफ़ से जीने की विरासत नहीं लेकर, आँधियों से टकराएँ, बन जाएँ हम फ़ौलाद। त...6 days ago
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IPL:Spice In, Nationality Out - I was sitting in my office. It was a hot afternoon. The fan was running slowly and making strange sounds like an old typewriter. Files were lying on my d...3 months ago
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