Citation : 2025 Latest Caselaw 7737 Mad
Judgement Date : 10 October, 2025
Cont.P.No.601 of 2025
IN THE HIGH COURT OF JUDICATURE AT MADRAS
Orders Reserved on : 18 / 08 / 2025
Orders Pronounced on : 10 / 10 /2025
Coram:
THE HONOURABLE MR.JUSTICE P.VELMURUGAN
Cont.P.No.601 of 2025
and
Sub Application Nos.287 to 290 of 2025 and 725 of 2025
---
Mr.Abhishek Jain,
Trading as A.K.Associates,
34/33, Strotten Muthiah Mudali Street,
2nd Floor, Sowcarpet,
Chennai-600 079.
Now at:
No.73-77, Choolai High Road,
Rainbow Trade Centre,
Shop No.16-2nd Floor,
Choolai, Chennai-600 112, Tamil Nadu. .. Petitioner in
Contempt Petition &
Sub Applications
Vs.
1. Mr.Narasimha Rao,
Trading as Sri Vijayalakshmi Enterprises,
Autonagar Vijaywada, Phase-03, Plot No.06,
NTR Commissionerate, Andhra Pradesh.
2. Vanaja Modadugu,
Proprietor of Vijayalakshmi Enterprises,
Phase III, Plot No.6a, Kata Road,
Auto Nagar, Vijayawada, Krishna,
Andhra Pradesh-520 007.
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Cont.P.No.601 of 2025
3. Modadugu Vanaja,
Plot No.26, 9th Avenue, 1st Floor,
Subba Rao Colony Main Road,
Bharathi Nagar,
Vijayawada (Urban),
PO: V J Polytechnic, N.T.R. Andhra Pradesh
4. Sri Vijay Agencies,
Ground Floor, Shop No-3, 1/1,
One Shop Portion, Reliance Reice Mill Street,
Kondithoppu, Sowcarpet,
Chennai, Tamil Nadu - 600 001. .. Respondents in
Contempt Petition &
Sub Applications
Contempt Petition filed under Section 11 of the Contempt of Courts Act, to
punish the respondents for contemptuous and wilful breach of the decree dated
28.06.2024 in C.S.(Comm.Div).No.51 of 2024 passed by this Court.
Sub Application (OS)No.287 of 2025 is filed to direct Mr.Narasimha Rao,
the Proprietor of respondent No.1/defendant No.1 to be detained in Civil Prision
for a period of six months of disobeying and violating the oder/decree passed by
this Court dated 28.06.2024.
Sub Application (OS)No.288 of 2025 is filed to direct Vanaja Modadugu to
be detained in Civil Prison for a period of six months for disobeying and violating
the oder/decree passed by this Court dated 28.06.2024.
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Cont.P.No.601 of 2025
Sub Application (OS)No.289 of 2025 is filed to direct Modadugu Vanaja to
be detained in Civil Prison for a period of six months for disobeying and violating
the oder/decree passed by this Court dated 28.06.2024.
Sub Application (OS)No.290 of 2025 is filed to pass appropriate orders
against the respondent No.1/ defendant No.1 for disobedience of the decree in
C.S.(Comm Div.)No.51 of 2024
Sub Application (OS)No.725 of 2025 is filed to pay all costs, damages, and
sums awarded in the decree dated 28.06.2024 (cost sheet already filed plus
damages), cost incurred in conducting the raids and issuing caution notices in
2022, 2024, and the cost incurred in present proceedings totalling upto
INR 31,46,199 as detailed above in the present proceedings.
For petitioner : Mr.M.S.Bharath
For respondents: Mr.Sathish Kumar
ORDER
The petitioner has filed the present contempt petition seeking to punish
Respondent No.1/Defendant No.1 for deliberate and willful disobedience of the
decree passed by this Court on 28.06.2024 in C.S.(Comm.Div.)No.51 of 2024,
along with Sub Applications (OS) Nos.287,288,289,290, and 725 of 2025,
seeking detention of the concerned respondents for six months, enforcement of
the decree, and recovery of costs, damages, and expenses totaling INR
31,46,199 respectively.
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2. The brief facts of the case are as follows.
2.1. The petitioner instituted the commercial suit C.S.(Comm. Div.)No.51
of 2024 seeking reliefs against the first respondent / first defendant for
infringement of its registered trademark ASTEL STRONG, its trade dress,
copyright, and passing off. The petitioner’s trademark ASTEL STRONG is
accompanied by distinctive packaging, logos, and artistic works. After hearing
arguments on 26.06.2024 and final submissions on 28.06.2024, this Court
passed a decree in favour of the petitioner. The decree restrained the
respondents from manufacturing, selling, distributing, exporting, advertising,
offering for sale, or otherwise dealing in any products bearing the mark ASTEL
STRONG or any deceptively similar mark, logos, or packaging and directed
delivery up of infringing materials. The decree further awarded the petitioner a
sum of Rs.10,00,000/- as damages for trademark infringement, passing off, and
copyright violation. During the pendency of the suit, the respondents failed to file
their written statement within the prescribed time despite being duly served, and
hence this set the respondents ex-parte vide order dated 06.06.2024.
2.2. Despite the decree, the petitioner came to know that a third party,
Sri Vijay Agencies, commenced selling products under the mark EXTRA STRONG,
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which is deceptively similar to ASTEL STRONG, using identical trade dress, logos,
and artistic works. Invoices dated 11.07.2024 confirm that these infringing
products were being distributed throughout Chennai. Comparative analysis
shows that the packaging of EXTRA STRONG mirrors the petitioner’s packaging
ASTEL STRONG in presentation, design elements, and trade dress. It is further
submitted that Vanaja Modadugu has filed several trademark applications that
are almost identical or deceptively similar to the petitioner’s suit trademarks, in
the name of her proprietary concern Vijaya Lakshmi Enterprises, even before the
filing of the suit. The address of Respondent No.1/Defendant No.1 in
C.S.(Comm.Div.) No.51 of 2024 is the same as the address mentioned in
Trademark Application Nos.5638000 and 5638001 (Class 6). This clearly
indicates that Respondent No.1/Defendant No.1 is connected to Vanaja
Modadugu, who also filed Trademark Application No.6520421 (Class 6) on
10.07.2024, after the order dated 28.06.2024 was passed in the said suit. The
acts of respondent No.1/defendant No.1 and its associates constitute continued
and deliberate violation of the decree.
3. The learned counsel for the petitioner submitted that the respondent
No.1/defendant No.1 has wilfully and contumaciously disobeyed the decree
passed by this Court on 28.06.2024. The learned counsel drew attention to the
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fact that the petitioner discovered, through customers and independent inquiries,
that products identical to those prohibited by the decree are being sold and
distributed by Sri Vijay Agencies in Chennai. It was submitted that the
respondent No.1/defendant No.1, despite being aware of the decree, deliberately
filed a trademark application for the mark EXTRA STRONG CONCRETE NAILS
with the intention to mislead and bypass the decree, thereby undermining the
authority of this Court. Learned counsel emphasized that the packaging, logos,
and artistic works used by the respondent No.1/defendant No.1 are substantially
identical to the petitioner’s ASTEL STRONG mark and trade dress, constituting a
clear infringement, passing off, and violation of copyright. It was further
submitted that these acts are not only contrary to the decree but also in breach
of the authority of the Court, as respondent No.1/defendant No.1 has failed to
comply with the order and has continued the infringing activities even after the
decree. Therefore, the learned counsel prayed that the Court may treat the
conduct of respondent No.1/defendant No.1 as an act of disobedience and pass
appropriate orders to penalise them for such conduct.
4. The learned counsel appearing for the respondents submitted that the
present Contempt Petition arises out of an ex-parte decree dated 28.06.2024 in
C.S.(Comm.Div.)No.51 of 2024, passed in favour of the petitioner. It was
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submitted that the respondents had, immediately after the decree, preferred an
application to set aside the said ex-parte decree and the same is pending
consideration before this Court. Therefore, the alleged violation cannot be
construed as wilful or deliberate, as the respondents have been acting in good
faith and under a bonafide belief that their actions did not infringe the rights of
the petitioner. He would further submit that the trademark in dispute in the
original suit is ASTEL STRONG. The petitioner, in its contempt application,
alleged that the respondents were using the mark EXTRA STRONG in a manner
violating the decree. It was contended that the respondents have not used the
mark ASTEL STRONG or any identical or deceptively similar mark in violation of
the Court’s order. The mark presently used by the respondents is “EXTRA
STRONG” with a modified logo and packaging that is distinct from the petitioner’s
trademark and trade dress. The respondents undertake before this Court that
they will continue to use only the mark and packaging as presently stated and
will refrain from using any mark resembling ASTEL STRONG in any manner.
5. The learned counsel submitted that the respondents have discontinued
any use of the logo or trademark that could even remotely be considered similar
to the petitioner’s registered trademark. The respondents had, even before the
filing of the original suit, applied for registration of various trademarks. With
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respect to trademark application No.6520421, it was submitted that the
application was made under the bona fide belief that the term “EXTRA STRONG”
is different from “ASTEL STRONG,” as no exclusive right can be claimed over the
word “STRONG” alone. It was further submitted that, as regards the logo, the
respondents stated that the petitioner cannot claim any exclusive right over the
logo by virtue of their trademark registration unless there is a separate
registration for the logo itself. The learned counsel further submitted that the
respondents have not used the trademark that was specifically restrained by this
Court and have instead been using the trademark “EXTRA STRONG,” which is not
similar to the petitioner’s mark. The respondents have acted in utmost good
faith, and there has been no wilful, wanton, or deliberate disobedience of this
Court’s order. The learned counsel also pointed out that the respondents have
tendered an unconditional apology for any inadvertent error that may have
occurred, and that there was never any intention to violate the decree. Hence,
the learned counsel prayed that the contempt petition may be closed.
6. Heard the learned counsel on either side and perused the materials
available on record.
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7. It is an admitted fact that the petitioner had instituted the suit in
respect of the mark “ASTEL STRONG”, and that the first defendant / first
respondent had infringed the same by using the deceptively similar mark “ASTEI
STRONG.” It is also an admitted fact that a decree dated 28.06.2024 was
passed in C.S. (Comm. Div.) No.51 of 2024 by this Court. The decree was
passed ex parte, after the defendants, though duly served, failed to appear or
file their written statement within the time permitted by law. By the said decree,
the defendants were restrained from manufacturing, selling, distributing,
exporting, advertising, or in any manner dealing with goods bearing the mark
“ASTEL STRONG” or any other mark, logo, or packaging deceptively similar
thereto.
8. The decree remains valid and effective and has not been stayed,
modified, or set aside by any court. The defendants were, therefore, required to
comply with it in full. Despite knowing about the decree, they did not file any
appeal or petition to set it aside. Instead, they started new business activity
under another name, clearly violating the injunction granted by this Court.
9. Records show that soon after the decree, a new business called "Vijaya
Lakshmi Enterprises" was started by Vanaja Modadugu, who is closely connected
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with Respondent No.1/Defendant No.1. The address given in her trademark
applications (Autonagar Vijayawada, Phase-03, Plot No.06, NTR
Commissionerate, Andhra Praesh) matches the address of Respondent No.1 in
the suit, indicating that the new business is effectively a continuation or sister
concern of the first respondent/first defendant. Furthermore, Trademark
Application Nos.5638000 and 5638001 (Class 6) were filed earlier in her name,
and Application No.6520421 dated 10.07.2024 was filed for the mark "EXTRA
STRONG CONCRETE NAILS", just twelve days after the decree. This shows that
the new business was started only to bypass the decree and continue the same
trade under a different name.
10. The petitioner, on receiving reliable information that goods similar to
its own were being sold, conducted inquiries and obtained invoices dated
11.07.2024, showing commercial sale of such goods. While the mark on the
products differs slightly in name, colour, or background, the overall appearance,
packaging, artistic design, and trade dress closely resemble the petitioner’s
“ASTEL STRONG” products, making them practically indistinguishable to
consumers. The crucial point is that, after the decree was obtained and affirmed
in favour of the petitioner, the respondents deliberately started the same
business under a slightly different name, intended to mislead and confuse the
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public, while continuing to operate from the very same address mentioned in the
trademark applications. Such conduct clearly demonstrates a wilful attempt to
continue the infringing business in defiance of the Court’s order, rather than any
accidental or bona fide variation.
11. The petitioner, having gathered credible material showing deliberate
infringement, has rightly invoked the contempt jurisdiction of this Court. The
explanation offered by the respondents that they believed the new mark was
distinct or that there was no wilful intention cannot be accepted. The overall
conduct of the respondents demonstrates a calculated attempt to evade
compliance with the decree by making only minor variations while continuing the
offending business.
12. Under Section 2(b) of the Contempt of Courts Act, 1971, “civil
contempt means the wilful disobedience of any judgment, decree, direction,
order, writ or other process of a court, or wilful breach of an undertaking given
to a court.” In the present case, the first respondent/first defendant, with full
knowledge of the decree dated 28.06.2024, continued the infringing business
under another name and mark. Such conduct amounts to wilful and deliberate
disobedience, thereby constituting civil contempt. Section 12 of the Act provides
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that “whoever is found guilty of civil contempt shall be punished with simple
imprisonment for a term which may extend to six months, or with fine which
may extend to two thousand rupees, or with both.” The deliberate and repeated
violation in the present case clearly attracts Sections 2(b) and 12 of the Act. It is
pertinent to note that judicial orders must be obeyed in both letter and spirit,
and no party can render a decree ineffective by adopting indirect or evasive
measures.
13. The Court finds that Respondent No.1/Defendant No.1 has willfully
disobeyed the decree dated 28.06.2024 in C.S.(Comm. Div.)No.51 of 2024.
Despite the clear order, the respondent continued the infringing business, which
could also confuse consumers. This shows a deliberate and repeated violation.
Therefore, Respondent No.1/Defendant No.1 is guilty of civil contempt under
Sections 2(b) and 12 of the Contempt of Courts Act, 1971. Considering the
deliberate nature of this disobedience, and to uphold the authority of the Court
and protect the petitioner’s rights, Respondent No.1/Defendant No.1 shall face a
civil sentence of one month’s imprisonment. This sentence is imposed because
the violation was wilful and repeated.
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14. Accordingly, this Contempt Petition is allowed. Respondent
No.1/Defendant No.1 is sentenced to civil imprisonment for one month. The
respondents are further directed to immediately stop manufacturing, distributing,
or selling any product under the mark "EXTRA STRONG" or any mark, logo, or
packaging deceptively similar to the petitioner’s "ASTEL STRONG". It is open to
the petitioner to initiate Execution Proceedings to recover the decreetal amount
of Rs.10,00,000/-, along with costs and any other sums, if any. Consequently,
the connected Sub Applications in Sub Application (OS) Nos.287, 290 and 725 of
2025 are disposed of in accordance with the above directions, while the other
connected Sub Application Nos.288 and 289 are closed.
15. Before concluding, this Court notes that court orders are not mere
formalities. Once a decree is passed, it must be obeyed fully. Any attempt to
ignore or bypass it will have serious consequences, as wilful disobedience cannot
be allowed.
10 / 10 /2025
Index : Yes/No Neutral Citation Case : Yes/No Speaking Order : Yes/No
rns
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P.VELMURUGAN, J rns
Pre Delivery Order in
and Sub Application Nos.287 to 290 of 2025 and 725 of 2025
10/10/2025
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