The Delhi High Court has issued an ex-parte interim injunction against two popular food outlets, Sandoz and Gola Sizzlers, following a suit filed by Phonographic Performance Limited (PPL) alleging copyright infringement. PPL, a performance rights organization, had claimed that both food outlets were playing its sound recordings without obtaining the necessary license.

Justice C. Hari Shankar presided over the case and found that the facts presented in the complaint justified the grant of an injunction against the two food outlets.

Brief Facts of the Case:

Phonographic Performance Limited (PPL), a performance rights organization, filed a lawsuit in the Delhi High Court against three food outlets: Sandoz, Gola Sizzlers, and Tim Hortons. PPL alleged copyright infringement by these food outlets, claiming that they were playing its sound recordings without the necessary license. PPL argued that it owned and controlled the radio broadcasting and public performance rights for more than 400 music labels, encompassing over 45 lakhs of international and domestic sound recordings. These sound recordings were part of PPL's repertoire, and it granted licenses for their public performance.

PPL contended that the defendants had been playing its copyrighted sound recordings without obtaining the required license. The organization stated that it had sent legal notices to the defendants, urging them to acquire a license before playing the recordings. However, PPL claimed that these notices had not elicited any response, except for a statement from Tim Hortons' counsel, who asserted that Tim Hortons did not play and did not intend to play any of the recordings from PPL's repertoire without a license.

Tim Hortons acknowledged the receipt of PPL's legal notices and informed the court through its counsel that it neither played nor intended to play any of PPL's copyrighted sound recordings without a license.

Observations by the Court:

In the suit, PPL argued that the food outlets were playing copyrighted sound recordings without authorization. As a result, the court issued an interim order, which restricts Sandoz and Gola Sizzlers from playing any sound recordings owned by PPL without the required license. This order is in place pending the final resolution of the case.

Furthermore, the court held Tim Hortons, another food outlet, accountable for its counsel's statement that the establishment neither played nor intended to play any of the sound recordings owned by PPL without the necessary license. This statement led to the disposal of the case against Tim Hortons, binding the outlet to refrain from playing any of the copyrighted sound recordings in PPL's repertoire without proper authorization.

The court has summoned all three suits for a hearing scheduled for February 7, 2024, and has granted PPL an ex-parte interim injunction against Sandoz and Gola Sizzlers. The injunction prohibits these food outlets from playing sound recordings in which PPL holds copyright and which are part of its repertoire. The court's decision was based on the principle that such interim orders do not cause any prejudice to the defendants and serve to protect PPL's copyright interests.

Case Name: Phonographic Performance Limited Vs. Gola Sizzlers Private Limited & Ors.

Coram: Hon’ble Mr. Justice C Hari Shankar

Case No.: CS(COMM) 763, 764 and 765 of 2023

Advocates of the Petitioners: Mr. Chander M. Lall, Sr. Advocate with Mr. Ankur Sangal, Mr. Tejveer Singh Bhatia, Ms. Sucheta Roy, Mr. Raghu Vinayak Sinha, Mr. Shaurya Pandey and Ms. Yashi Agarwal, Advs.

Advocatess of the Respondent: Mr. N.B. Joshi, Mr. Vijay Kasana, Ms. Chetna Singh, Mr. Abhijeet Vikram Singh, Mr. Kshitij Chhabra, Mr. Chirag Verma, Mr. Shivang Srivastava, Advs. along with Mr. Sanjay Singh Somwanshi, AR of the company (For Tim Hortons).

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Rajesh Kumar