Calcutta High Court Refuses Injunction Against New Central Book Agency Over Copyright Claim

The Calcutta High Court has declined to grant an interim injunction restraining New Central Book Agency Private Limited from publishing two English grammar textbooks allegedly in breach of copyright. Justice Krishna Rao, presiding over the Commercial Division, dismissed the application filed by Dr. Pares Chandra Das and his son Amitava Das, holding that they failed to establish a prima facie case or balance of convenience in their favour.

A History of Inaction

The dispute traces back to 2001 and 2002 , when Dr. Das, the author, entered into publication agreements with the defendant for "Applied English Grammar and Composition Anglo Bengali (For High Schools)" and "Beginner's Applied English Grammar, Composition & Translation" . Both agreements were silent on their duration. The plaintiffs argued that under Section 19(5) of the Copyright Act, 1957 , any assignment without a stated period is deemed to operate for five years, meaning the licenses expired in 2006 and 2007 respectively.

However, the Court observed that despite the alleged expiry, the plaintiffs took no action for over a decade. "After 21st April, 2007 till 22nd August, 2020 , the plaintiffs have not taken any steps by restraining the defendants for publishing, printing and marketing the said books. The plaintiffs allowed the defendants to continue with the work," the judgment stated.

The Co-Publishing Agreement and Its Implications

In August 2020, Dr. Das consented to a co-publishing agreement between the defendant and Katha-O-Kahini Prakashani Pvt. Ltd., ostensibly to facilitate publication during the Covid-19 pandemic. This agreement was for three years and expired on 24 August 2023. The plaintiffs argued that with its expiry, the defendants had no authority to continue publication.

The defendants countered that the original publication agreements continued to govern the parties' relationship, and the co-publishing arrangement was merely a logistical tool. Crucially, Clause 16 of the co-publishing agreement preserved the royalty payments under the original agreements.

Justice Krishna Rao applied the principle of novation under Section 62 of the Contract Act , holding that the original agreements were not extinguished or substituted. "If the parties intended to substitute or extinguish the publication agreements, there would have been no reason to preserve the Royalty obligations arising in the said agreements," the Court noted.

Irreparable Loss? Court Says No

The Court also rejected the argument that the plaintiffs would suffer irreparable loss. It pointed out that the plaintiffs had tolerated the defendant's publication for years and had only issued termination notices in July and August 2023, shortly before the co-publishing agreement ended. Moreover, the notices did not explicitly terminate the original agreements.

Additionally, the Court highlighted a procedural irregularity: Abhijit Das, whom the plaintiffs claimed was the copyright holder of one of the books, was not made a party to the suit, raising questions of non-joinder.

Precedents Distinguished

The plaintiffs relied on judgments such as Malhotra International Pvt. Ltd. v. Vidyut Metallics Ltd. and Rajasthan Breweries Ltd. v. The Stroh Brewery Company . However, the Court found these cases factually distinguishable. In contrast, the defendants' reliance on Chrismar Corporation v. MJR Steels Pvt. Ltd. and Lata Construction v. Dr. Ramchandra Shah on novation was found appropriate.

Final Decision

"Considering the facts and circumstances, this Court finds that the plaintiffs failed to make out a prima facie case and balance of convenience in favour of the plaintiffs. This Court also did not find that the plaintiffs will suffer any irreparable loss and injury," Justice Krishna Rao concluded. Accordingly, G.A. (Com) No. 1 of 2023 was dismissed, allowing New Central Book Agency to continue publishing the disputed books pending trial.