Citation : 2022 Latest Caselaw 7639 Chatt
Judgement Date : 19 December, 2022
1
MA No.101 of 2022
AFR
HIGH COURT OF CHHATTISGARH, BILASPUR
(Judgment Reserved on 21.11.2022)
(Judgment Delivered on 19.12.2022)
MA No. 101 of 2022
{Arising out of order dated 19.10.2022 passed by the Judge, Commercial
Court (District Level), Nava Raipur, Chhattisgarh in Commercial Suit Class
A/3/2022}
1. ABIS Exports India Private Limited A Company Incorporated Under
The Indian Companies Act, 1956, Having Its Registered Office At IB -
Corporate House, Indramara Village Post Pendri, Rajnandgaon,
Chhattisgarh - 491441.
---- Appellant/Plaintiff
Versus
1. Mr. Gunjam Nalode Sole Proprietor of Shri Mahavir Udyog Having Its
Registered Office At Ward No. 9 Girdhar Nagar, Teacher's Colony
Durg, Chhattisgarh - 491001
AND ALSO AT
Address 1- Dhamdha Road, Grage Line Karhidih Sikola Bhata,
District - Durg (C.G.) 491001
Address 2- Village Samodha, Dhamdha Road, District Durg (C.G.)
491001.
Address 3- Dhillon Complex, 6942 + 4H6, Akash Ganga, Supela,
Bhilai (C.G.) 490023 (Defendant)
---- Respondent/defendant
For Appellant : Shri Nirnay Gupta, Shri Hasnain Alvi, Shri Rishabh Sharma and Shri Saumitra Kesharwani, Advocates
For Respondent : Shri Amrito Das, Shri Yashkaran Singh and Shri Shreyansh Mehta, Advocates
MA No.101 of 2022
Hon'ble Shri Justice Goutam Bhaduri & Hon'ble Shri Justice N.K. Chandravanshi
CAV JUDGMENT
Per Goutam Bhaduri, J
1. The instant miscellaneous appeal filed by the appellant/plaintiff against
the order dated 19.10.2022 passed by the Judge, Commercial Court
(District Level), Nava Raipur, Chhattisgarh in Commercial Suit Class-
A/3/2022, whereby the application (I.A. No.1/2022) for grant of interim
relief filed under Order 39 Rule 1 & 2 of the CPC has been dismissed.
2. The appellant/plaintiff ABIS Exports India Private Limited claiming
itself to be a company duly incorporated under the Companies Act
stated that :-
they are engaged in the business of manufacturing and
selling livestock feed, poultry products, FMCG products,
edible oil, dairy products and allied range of products and
also runs chain of restaurants under the well known ABIS
Marks;
the company was incorporated in the year 1985 by four
brothers namely Amir Ali, Bahadur Ali, Iqbal Ali and Sultan
Ali and according to their first alphabet names ABIS was
established;
the appellant and sister concerns are also engaged in Indian
Agro and Food Industries and working under the company
brand name ABIS;
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the product manufactured by the appellant bearing trademark
ABIS is being used continuously and extensively since
1998;
it has various offices in the State of Chhattisgarh and more
than 10,000/- employees working in the offices located at
Rajnandgaon, Raipur and Hyderabad, etc. and over a period
of time they have received a tremendous response from the
market, traders and the general public and thereby acquired
goodwill and reputation over the period of time;
with the passage of time they diversified its business in
various fields i.e. manufacturing, distributing, importing,
exporting, stocking, marketing and selling of various
livestock feeds including poultry, fish and shrimp, poultry
and dairy products, edible oil and allied range of FMCG
products under the name ABIS Gold, ABIS Feed, ABIS
Rice, ABIS SHRIMP, ABIS Grower, ABIS Brooder, ABIS
Starter, ABIS Finisher, ABIS Silver, ABIS Rice Plus, ABIS
Star, ABIS Soya Power, ABIS Star Soya, ABIS Acustar,
ABIS Laziz, ABIS Soya DOC and ABIS Dairy;
the company is also registered as ABIS Trademark.
According to the appellant, apart from poultry, livestock feed
and dairy products by adopting and using labels in respect of
its ABIS range of products and services, one of its flagship
products, being soya bean oil is manufactured and sold by
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the appellant under the mark ABIS Gold and the same is
being sold by the appellant since 2007;
the appellant through its inhouse designer have designed a
new artwork/packaging/trade dress for the said goods bearing
the trademark ABIS Gold under the ABIS Label and was
being used openly, continuously and extensively with a view
to distinguish its goods from those of others;
the appellant has also spent substantial amount of money on
publicity, advertisement and sales promotion as also on
research and development to popularize the said ABIS
marks, ABIS label and the goods and services offered
thereunder;
the appellant spent considerable amount on advertising and
promotional initiatives and for the financial year 2021-22 the
sales of the appellant was to the tune of Rs.636.18 crores
(approx.) and appellant had posted on the domain name
www.ibgroup.co.in which is accessible to public from any
part of the world;
the appellant also offers the product in the e-commerce
platform and portals and the soyabean oil under the product
ABIS Gold is being sold to different purchasers and
therefore, is a well known trademark under the provisions of
the Trade Marks Act, 1999 (hereinafter referred to as 'the
Act, 1999');
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the appellant alleged that in the year 2021 the appellant
found that the respondent was manufacturing and marketing
products i.e detergent cake/ washing powder &soap/hand
wash/dish wash/toilet cleaners/bleaching substances under
the infringement trade mark ABIS Gold, which is identical
and deceptively similar to the product of the appellant ABIS
label;
having came to know about the trade mark of the respondent,
the appellant conducted search on the OnLine data
base/official website of the trade mark registry in various
classes for the marks ABIS and ABIS Gold and found that
different trade marks are registered;
respondent's logo / label are as under :
according to the appellant, the application of the respondent
under class 3 in relation to detergent cake, washing powder,
soap, hand wash, dish wash, etc. having ABIS Gold label
was accepted by the trademark registry on 17.12.2020 and
the registration certificate was issued on 23.05.2021, which
has been objected and necessary applications have been filed
by the appellant;
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the appellant came to know that the respondent is operating a
website namely www.abisgold.com to sale their goods;
appellant claimed that appellant is the owner of the said
ABIS marks which was registered in the year 2007 and
contended that said domain name has been fraudulently
registered by the respondent in the year 2020;
having carried out the investigation, the appellant found that
the respondent is manufacturing and marketing identical and
similar products as that of the appellant by deliberately
displaying marks / label on the official website and the said
ABIS label is deceptively similar and confusing to the
ordinary man to show that they are associated with the
appellant's company;
eventually a cease-and-desist notice was served by the
appellant through its advocate asking the respondent to
refrain itself from using such products being sold under the
logo / label of the appellant, but it was never stopped by the
respondent and subsequently a report to the police was made
under Section 103 (a) of the Act, 1999. Thereafter, criminal
complaint was filed; and
according to the appellant despite the said act, the products
of the respondent are found in the market and hence the civil
suit was filed under Sections 134 & 135 of the Act, 1999 for
permanent injunction for infringement of trademark, copy
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right and passing off along with damages read with Section
29 of the Act, 1999. Along with the said suit, an injunction
application was filed under Order 39 Rule 1 & 2 of CPC,
which has been dismissed by the Commercial Court vide the
order impugned. Thus this appeal.
3. Learned counsel appearing for the appellant/plaintiff would submit
that :
the certificate of incorporation and the very genesis of the
company started with Amir Ali, Bahadur Ali, Iqbal Ali and
Sultan Ali, which marks the word 'ABIS', which was
incorporated in the year 1985 and thereafter with the passage of
time, it acquired goodwill and reputation and associated with the
general public since 1985;
referring to range of products and the history, learned counsel
would submit that the company has spent hefty amount in
research and development and in the field of e-commerce, ABIS
can be found with the domain name, which has attachment with
the reputation, goodwill and prior user of the logo;
under Section 2 (zg) of the Act, 1999, ABIS Gold is a well
known trade mark and by effect of Section 27 of the Act, 1999
since ABIS Gold is registered as such the company is entitled to
maintain the suit as being a prior user and passing off the
product by the respondent;
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referring to sub-section (2) of Section 27 of the Act, 1999,
learned counsel would submit that apart from the remedy under
the company law, the appellant is entitled to initiate an action
against any person for passing off goods or services;
according to the appellant, the respondent/defendant was using
the domain name and structure which are phonetically same and
therefore, have committed a breach of Act of 1999;
by referring to emblem of ABIS, photographs and colour,
learned counsel would submit that the appellant is a long and
prior user and random google search in the Internet would show
the product of the appellant;
the appellant has achieved awards, which recognized the
goodwill whereas the defendant is using the logo of the
appellant to sale its products;
according to the appellant only 'iABIS' is registered whereas
other application filed by the respondent for registration is being
objected;
by referring law laid down by the Supreme Court in the matter
of Laxmikant V. Patel Vs. Chetanbhai Shah and another
{(2002) 3 SCC 65}, learned counsel would submit that name
under which a business trade will always be a trade mark and
further would submit that whenever independently the questions
of trade or service mark are in question, the name of a business
MA No.101 of 2022
normally is attached to it and it would be a goodwill that the
courts will protect and an action for passing-off will then lie;
further referring to the law laid down by the Supreme Court in
the matter of Satyam Infoway Ltd. Vs. Siffynet Solutions (P)
Ltd. {(2004) 6 SCC 145} learned counsel would submit that the
domain name of the appellant i.e. website is an intellectual
property and the business identifiers, serving to identify and
distinguish the business and infringement of it by passing off,
the domain name shall have all the characteristics of a trade
mark and an action for passing off can be found where domain
names were involved;
by placing reliance upon the decision of the Supreme Court in
the matter of Mahendra & Mahendra Paper Mills Ltd. Vs.
Mahindra & Mahindra Ltd. {(2002) 2 SCC 147} learned
counsel would submit that the prayer for grant of an
interlocutory injunction is at a stage when the existence of the
legal right asserted by the plaintiff and its alleged violation are
both contested till they are established at the trial on evidence
the Court can consider the prima facie case. The court, at this
stage, acts on certain well settled principles of administration of
this form of interlocutory remedy which is both temporary and
discretionary;
learned counsel would also place reliance upon the decision of
Supreme Court in the matter of S. Syed Mohideen v. P.
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Sulochana Bai {(2016) 2 SCC 683} to submit that even if the
registration is done the passing off could not be allowed and the
use of the mark/ carrying on business under the name confers
the rights in favor of the person and generates goodwill in the
market and when prior user and subsequent user are registered
proprietors, for the purposes of examining who generated the
goodwill, the statutory rights would prevail over the common
law which is proper remedy than that of infringement; and
lastly by placing reliance upon the decision of the Supreme
Court in the matter of Midas Hygiene Industries (P) Ltd. And
another vs. Sudhir Bhatia & others {(2004) 3 SCC 90} learned
counsel would submit that mere delay will not defeat any action
under the Copyright Act and the Trade Marks Act.
4. Learned counsel appearing for the respondent, per contra, would submit
that:-
the respondent is engaged in the business of manufacturing and
selling detergent cake, washing powder, soap, hand wash,
dishwasher, toilet cleaners, bleaching preparation and
substances for laundry use, cleaning, polishing, scoring and
abrasive preparations, salt, spices, coffee, tea, rice and similar
products and for the purposes of assigning an identity to such
class of products marketed by the respondent, the respondent
formulated and adopted the abbreviation 'ABIS', which stood for
'A Best Immaculate Surfactant' and consequently the origin,
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form and essential features of the respondent's trade mark is
different;
according to the respondent, it is in active participant in the
concerned industry since 2014 and the annual sales worth
Rs.2,95,96,859/- for the financial year ending 31.03.2022,
therefore, the respondent also maintains ex facie goodwill and
reputation in the market for their products;
the respondent's products fall within an entirely different class
of products to that of the appellant and therefore it cannot be
attached as alleged that dishonest adoption of the trade mark of
the appellant;
the respondent has obtained a valid and appropriate registration
of the trade mark, which was granted to them after undergoing
due scrutiny and procedure as enumerated in the Act, 1999;
as per Section 9 (2) (a) of the Act, 1999 the trade mark being
sought to be registered should not be of such nature as to
deceive the public or cause confusion;
the range of products manufactured and marketed by the
appellant would be confined to the goods traded by them and
the products of the appellant are falling under class 29, 30 & 31
whereas, the respondent procured registration for its products
under the purview of class 3, therefore, the product being
different both can co-exist;
MA No.101 of 2022
in order to claim ''well known trade mark'' as claimed by the
appellant, certain procedure is prescribed under Section 11 (6),
(7) & (8) of the Act, 1999 and hence without following the due
process the appellant cannot claim for any passing off because
the nature of goods and services of both the parties are entirely
different;
mere registration of trade mark would not allow the appellant to
enjoy monopoly over the products and the respondent would
submit that the meaning of the word 'ABIS' is also known as
'Lion, Brave';
according to the learned counsel, the term 'passing off' implies
that the respondent must have sold the goods in a manner which
has deceived or would likely to deceive the public into thinking
that the respondent's goods or services are that of the appellant,
but the product being entirely different, the passing off is
completely beyond imagination;
since the product of respondent being different nature, it cannot
be claimed that the deceptive market is adopted by the
respondent; and
under these circumstances, learned counsel would submit that
the balance of convenience heavily lies in favour of the
respondent because the appellant has failed to establish prima
facie case in its favour and also failed to prove the irreparable
loss. The order passed by the learned commercial court
MA No.101 of 2022
dismissing the interlocutory application of the appellant herein
is just and proper, warranting no interference of this Court and
hence prays for dismissal of the instant appeal.
5. We have heard learned counsel appearing for the parties at length and
perused the documents appended thereto.
6. In an action for infringement or passing off, it is usual, rather essential,
to seek an injunction temporary or ad-interim. The principles for the
grant of such injunction are the same as in the case of any other action
against injury complained of.
7. In the instant case, the appellant claimed that it has a right over the
word 'ABIS'. The said word derived from the first alphabet of names of
four brothers namely; Amir Ali, Bahadur Ali, Iqbal Ali and Sultan Ali.
The respondent stated that the word ABIS is a generic word which
refers to Lion or Brave in Pharsi and Urdu language which, prima facie,
is correct. Thus, if the names of four brothers have been set out in such
a mode, which denotes the word ABIS, it cannot be referred to only
intellectual property of the appellant. The word ABIS since has
different specific meaning and denotes bravery or lion cannot be
construed to create a monopoly to appellant. Likewise, the use of word
'Gold' is also a common word and for use of word Gold no special
rights can be claimed by the appellant.
8. The contention of the respondent that their goods are registered in a
different class and there is no infringement of trade mark ABIS, which
has to be judged from a business and commerce point of view and
MA No.101 of 2022
factor such as trade channels, nature of goods and use of goods ought to
be considered. The classification may not be the decisive factor but
when it is claimed that registered trade mark is infringed by a person
and when such question comes then the similarity of goods and service
covered by such trade mark whether is likely to cause confusion in the
public or an association with the registered trade mark would be a
factor to be considered. The similarity of goods would include a case
where the impugned goods are cognate and allied to the goods of
appellant/plaintiff, for which the trademark is registered. In the instant
case, the trade mark of the appellant registered for manufacturing and
selling livestock feed, poultry products, FMCG products, edible oil,
dairy products and allied range of products also runs chain of
restaurants whereas the respondent is dealing in manufacturing and
selling detergent cake, washing powder, soap, hand wash, dishwasher,
toilet cleaners, bleaching preparation and substances for laundry use,
cleaning, polishing, scoring and abrasive preparations, salt, spices,
coffee, tea, rice and similar products. So in the case on hand, there is
apparent difference of product manufactured which are used by the
public at large for a different cause. Comparing the competing marks,
though phonetically identical but structurally and visually do not appear
to be similar trade mark that of the appellant. The appellant has an
exclusive right to the use of trade mark in relation to the goods or
services in respect of which the trade mark is registered, whereas the
trade mark of the respondent is also registered for a different range of
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product, therefore, the identity of the goods are completely different
and the product of the respondent being detergent cake, soap, etc.,
prima facie, it is not likely to cause any confusion on the part of the
public. The test for comparison of the two word marks was formulated
by Lord Parker in Pianotist Co. Ltd.'s application [(1906) 23 RPC 774]
as follows:
'You must take the two words. You must judge of them, both by their look and by their sound. You must consider the goods to which they are to be applied. You must consider the nature and kind of customer who would be likely to buy those goods. In fact, you must consider all the surrounding circumstances; and you must further consider what is likely to happen if each of those trade marks is used in a normal way as a trade mark for the goods of the respective owners of the marks. If, considering all those circumstances, you come to the conclusion that there will be a confusion, that is to say, not necessarily that one man will be injured and the other will gain illicit benefit, but that there will be a confusion in the mind of the public which will lead to confusion in the goods --then you may refuse the registration, or rather you must refuse the registration in that case.'
9. In order to find out the above principles whether satisfied, the
respective documents were perused. It is not in dispute that the
appellant's registration is with respect to goods fallen under classes 29,
30 and 31, which deals in manufacturing and selling livestock feed,
poultry products, FMCG products, edible oil, dairy products and allied
range of products. Whereas the respondent is engaged in the business
of manufacturing and selling detergent cake, washing powder, soap,
hand wash, dishwasher, toilet cleaners, bleaching preparation and
substances for laundry use, cleaning, polishing, scoring and abrasive
MA No.101 of 2022
preparations, salt, spices, coffee, tea, rice and similar products and for
which the respondent procured registration for its products under the
purview of class 3.
10. The Supreme Court in the matter of Vishnudas Trading as Vishnudas
Kishendas vs. Vazir Sultan Tobacco Co. Ltd., Hyderabad and
Another {(1997) 4 SCC 201} had an occasion to deal with the similar
principles wherein certain manufactured tobacco under the brand name
'Charminar' was being sold. The Supreme Court held that so long such
registration remains operative, the respondent Company is entitled to
claim exclusive use of the said brand name in respect of articles made
of tobacco coming under the said broad classification manufactured
tobacco. Thereafter, when the appellant made an application for
registration of quiwam and zarda under the same brand name
"Charminar", such prayer for registration was not allowed. The
application for rectification of the registration made in favour of the
respondent Company so that the said registration is limited only in
respect of the articles being manufactured and marketed by the
respondent Company, namely, cigarettes. The Supreme Court held that
if a trader or manufacturer actually trades in or manufactures only one
or some of the articles coming under a broad classification and such
trader or manufacturer has no bona fide intention to trade in or
manufacture other goods or articles which also fall under the said broad
classification, such trader or manufacturer should not be permitted to
enjoy monopoly in respect of all the articles which may come under
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such broad classification and by that process preclude the other traders
or manufacturers to get registration of separate and distinct goods
which may also be grouped under the broad classification. It further
held that if registration has been given generally in respect of all the
articles coming under the broad classification and if it is established that
the trader or manufacturer who got such registration had not intended to
use any other article except the articles being used by such trader or
manufacturer, the registration of such trader is liable to be rectified by
limiting the ambit of registration and confining such registration to the
specific article or articles which really concern the trader or
manufacturer enjoying the registration made in his favour.
11. The Supreme Court also held that if rectification in such circumstances
is not allowed, the trader or manufacturer by virtue of earlier
registration will be permitted to enjoy the mischief of trafficking in
trade mark. The Supreme Court at para 47 held thus:-
47. The respondent Company got registration of its brand name "Charminar" under the broad classification "manufactured tobacco". So long such registration remains operative, the respondent Company is entitled to claim exclusive use of the said brand name in respect of articles made of tobacco coming under the said broad classification "manufactured tobacco". Precisely for the said reason, when the appellant made application for registration of quiwam and zarda under the same brand name "Charminar", such prayer for registration was not allowed. The appellant, therefore, made application for rectification of the registration made in favour of the respondent Company so that the said registration is limited only in respect of the articles being manufactured and marketed by the respondent
MA No.101 of 2022
Company, namely, cigarettes. In our view, if a trader or manufacturer actually trades in or manufactures only one or some of the articles coming under a broad classification and such trader or manufacturer has no bona fide intention to trade in or manufacture other goods or articles which also fall under the said broad classification, such trader or manufacturer should not be permitted to enjoy monopoly in respect of all the articles which may come under such broad classification and by that process preclude the other traders or manufacturers from getting registration of separate and distinct goods which may also be grouped under the broad classification. If registration has been given generally in respect of all the articles coming under the broad classification and if it is established that the trader or manufacturer who got such registration had not intended to use any other article except the articles being used by such trader or manufacturer, the registration of such trader is liable to be rectified by limiting the ambit of registration and confining such registration to the specific article or articles which really concern the trader or manufacturer enjoying the registration made in his favour. In our view, if rectification in such circumstances is not allowed, the trader or manufacturer by virtue of earlier registration will be permitted to enjoy the mischief of trafficking in trade mark. Looking to the scheme of the registration of trade mark as envisaged in the Trade Marks Act and the Rules framed thereunder, it appears to us that registration of a trade mark cannot be held to be absolute, perpetual and invariable under all circumstances. Section 12 of the Trade Marks Act prohibits registration of identical or deceptively similar trade marks in respect of goods and description of goods which is identical or deceptively similar to the trade mark already registered. For prohibiting registration under Section 12(1), goods in respect of which subsequent registration is sought for, must be (i) in respect of goods or description of goods being same or similar and covered by earlier registration and (ii) trade mark claimed for such goods must be same or deceptively similar to the trade mark already registered. It may be noted here that under sub-section (3) of Section 12 of the Trade Marks Act, in an appropriate case of honest concurrent use and/or of other special circumstances, same and deceptively
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similar trade marks may be permitted to another by the Registrar, subject to such conditions as may deem just and proper to the Registrar. It is also to be noted that the expression "goods" and "description of goods" appearing in Section 12(1) of the Trade Marks Act indicate that registration may be made in respect of one or more goods or of all goods conforming a general description. The Trade Marks Act has noted distinction between description of goods forming a genus and separate and distinctly identifiable goods under the genus in various other sections e.g. goods of same description in Section 46, Sections 12 and 34 and class of goods in Section 18, Rules 12 and 26 read with Fourth Schedule to the Rules framed under the Act.
12. Testing of two trade marks in order to prima facie view, the goods of
respondent manufactured and sold under the impugned trade mark
ABIS are not cognate and allied as they related to different sector than
that of goods of appellant. The appellant is operating the business of
livestock product, edible oil, restaurant etc. whereas the products of the
respondent are detergent cake, soap, etc. Therefore, the consumer end
is different which may not be confusing and, as such, we are of the
prima facie opinion that the rival goods not being similar in nature, the
case of infringement under Section 29 (2) of the Act, 1999 is not made
out.
13. Section 9 (2) (a) of the Act, 1999 itself puts a rider that a mark shall not
be registered as a trade mark if it is of such nature as to deceive the
public or cause confusion. Respondent having been registered as ABIS,
prima facie, it can be inferred that before such registration the official
act was carried out which is required under the provisions of the Act,
1999 and, therefore, presumption of correctness would be attached to it
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until rebutted otherwise. Therefore, the right of the respondent cannot
be shelved unless the registration of trade mark is cancelled by the
competent authorities.
14. Section 28 (3) of the Act, 1999 further contemplates that where two or
more persons are registered proprietors of trade marks, which are
identical with or nearly resemble each other, the exclusive right to the
use of any of those trade marks shall not be deemed to have been
acquired by any one of those persons as against any other of those
persons merely by registration of the trade marks but each of those
persons has otherwise the same rights as against other persons as he
would have if he were the sole registered proprietor. Therefore, in view
of Section 28 (3) once the trademark is registered, then the appellant
cannot claim preferential right as against the other registered trademark
except the third party.
15. The appellant further claimed that they are the well known trademark.
Section 2 (zg) of the Act, 1999 defines the 'well known trade mark' as
under:-
'2 (zg) "well-known trade mark", in relation to any goods or services, means a mark which has become so to the substantial segment of the public which uses such goods or receives such services that the use of such mark in relation to other goods or services would be likely to be taken as indicating a connection in the course of trade or rendering of services between those goods or services and a person using the mark in relation to the first- mentioned goods or services.'
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16. Section 11 (6) & 11 (7) of the Act, 1999 defines the procedure to
declare any trademark as well known trademark. The said Section
reads as under:-
11. Relative grounds for refusal of registration.--
xxx xxx xxx
xxx xxx xxx
xxx xxx xxx
(6) The Registrar shall, while determining whether a trade mark is a well-known trade mark, take into account any fact which he considers relevant for determining a trade mark as a well-known trade mark including--
(i) the knowledge or recognition of that trade mark in the relevant section of the public including knowledge in India obtained as a result of promotion of the trade mark;
(ii) the duration, extent and geographical area of any use of that trade mark;
(iii) the duration, extent and geographical area of any promotion of the trade mark, including advertising or publicity and presentation, at fairs or exhibition of the goods or services to which the trade mark applies;
(iv) the duration and geographical area of any registration of or any application for registration of that trade mark under this Act to the extent that they reflect the use or recognition of the trade mark;
(v) the record of successful enforcement of the rights in that trade mark; in particular, the extent to which the trade mark has been recognised as a well-known trade mark by any court or Registrar under that record.
(7) The Registrar shall, while determining as to whether a trade mark is known or recognised in a relevant section of
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the public for the purposes of sub-section (6), take into account--
(i) the number of actual or potential consumers of the goods or services;
(ii) the number of persons involved in the channels of distribution of the goods or services;
(iii) the business circles dealing with the goods or services, to which that trade mark applies.
Reading of the aforesaid provision would show that the Registrar, Trade
Mark would be obliged to consider the relevant statutory rider while
declaring a trademark to be a well-known trademark.
17. Rule 124 of the Trade Mark Rules, 2017 (hereinafter referred to as the
'Rules, 2017') prescribed the procedure for determination of well-
known trade mark by Registrar. The same reads thus:-
124. Determination of Well Known Trademark by Registrar. -- (1) Any person may, on an application in Form TM-M and after payment of fee as mentioned in First schedule, request the Registrar for determination of a trademark as well-known. Such request shall be accompanied by a statement of case along with all the evidence and documents relied by the applicant in support of his claim.
(2) The Registrar shall, while determining the trademark as well-known take in to account the provisions of sub section (6) to (9) of section 11.
(3) For the purpose of determination, the Registrar may call such documents as he thinks fit.
(4) Before determining a trademark as well-known, the Registrar may invite objections from the general public to be filed within thirty days from the date of invitation of such objection.
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(5) In case the trademark is determined as well-known, the same shall be published in the trademark Journal and included in the list of well-known trademarks maintained by the Registrar.
(6) The Registrar may, at any time, if it is found that a trademark has been erroneously or inadvertently included or is no longer justified to be in the list of well-known trademarks, remove the same from the list after providing due opportunity of hearing to the concerned party.
18. On reading of the aforesaid provision, it is manifest that even before
determining a trade mark as well known, the Registrar may invite
objections from the general public to be filed in certain forms within a
stipulated time and after the trade mark is determined as well known,
the same shall be published in the trade mark journal and included in
the list of well-known trademarks maintained by the Registrar.
19. In the instant case, though the appellant claimed itself as well-known
trade mark, but nothing is on record to substantiate the same. In a
passing off action, the product of the appellant and the respondent
would have a significant impact. The appellant deals in manufacturing
and selling of livestock feed, poultry products, FMCG products, edible
oil, dairy products and allied range of products; whereas the respondent
is engaged in the business of manufacturing and selling detergent cake,
washing powder, soap, hand wash, dishwasher, toilet cleaners,
bleaching preparation and substances for laundry use, cleaning,
polishing, scoring and abrasive preparations, salt, spices, coffee, tea,
rice and similar products, therefore, if an individual person goes to
MA No.101 of 2022
purchase edible oil, certainly he would not come back with a detergent
cake in his hand. Therefore, the balance of comparative hardship is
missing and the misrepresentation to the public or likelihood of
confusion in the minds of public or the potential customer would not,
prima facie, exist.
20. The Supreme Court in the matter of Laxmikant V. Patel (supra)
observed that the plaintiff must prove a prima facie case, availability of
balance of convenience in his favour and his suffering an irreparable
injury in the absence of grant of injunction. In a case of passing off, the
plaintiff does not have to prove actual damage in order to succeed in an
action for passing off and likelihood of damage is sufficient. As to how
the injunction granted by the Court would shape depends on the facts
and circumstances of each case. The Supreme Court further held that
an action for passing-off will then lie wherever the defendant
company's name, or its intended name, is calculated to deceive, and so
to divert business from the plaintiff, or to occasion a confusion between
the two businesses.
21. An action for passing off is a common law remedy, being an action for
deceit. In order to find out the case of passing off, the Supreme Court
in the matter of Cadila Health Care Ltd. v. Cadila Pharmaceuticals
Ltd., {(2001) 5 SCC 73}, laid down factors for deciding the question of
deceptive similarity which are as follows "
a) The nature of the marks i.e. whether the marks are word marks or label marks or composite marks, i.e. both words and label works.
MA No.101 of 2022
b) The degree of resembleness between the marks, phonetically similar and hence similar in idea.
c) The nature of the goods in respect of which they are used as trade marks.
d) The similarity in the nature, character and performance of the goods of the rival traders.
e) The class of purchasers who are likely to buy the goods bearing the marks they require, on their education and intelligence and a degree of care they are likely to exercise in purchasing and/or using the goods.
f) The mode of purchasing the goods or placing orders for the goods and
g) Any other surrounding circumstances which may be relevant in the extent of dissimilarity between the competing marks.
22. In the instant case, prima facie, it is manifest that both the products are
entirely different. The product claimed by the appellant is in different
category and it cannot be covered by a blanket monopoly to term it as a
passing off. Even when no screen shots have been placed by the
appellant to compare with the range of products then we are unable to
appreciate how it is going to confuse in respect of domain name. In
fact, the appellant is using the domain name www.ibgroup.co.in
whereas the respondent is using the domain name of
www.abisgold.com
23. Prima facie, reading of the domain names of both the parties appear that
they are different. On comparison of the domain name, it does not
show that it would cause any deceptive or confusion in the mind of a
purchaser who normally would be an intelligent one while dealing with
MA No.101 of 2022
the internet purchase. Further the class of purchasers/consumers is also
different. Thus, the appellant is unable to, prima facie, prove that the
respondent has used their domain name.
24. Consequently, the balance of inconvenience and irreparable loss do not
lie in favour of the appellant as the sale of detergent cake by the
respondent may not suffer any loss to the business of the appellant i.e.
livestock product, etc.
25. Applying the well settled principles of law, as discussed above, to the
facts of the present case and for the reasons as stated supra, the appeal,
sans substratum, deserves to be and is hereby dismissed.
26. There shall be no order as to cost(s).
Sd/- Sd/-
(Goutam Bhaduri) (N.K. Chandravanshi)
Judge Judge
Gowri
MA No.101 of 2022
Head Note
To show infringement of trademark - must be judged by their look and by their sound and also must consider the goods to which they are to be applied. Further to be considered the nature and kind of customer who would be likely to buy those goods.
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