Delhi High Court Restrains Varun Beverages from Using 'SMOOTH' Mark for Yoghurt Drink

The Delhi High Court on 18 August 2026 granted an ad-interim injunction restraining Varun Beverages Limited from using the mark 'SMOOTH' for its proposed dairy-based yoghurt drink. Justice Jyoti Singh, presiding over the commercial suit , held that the mark was prima facie deceptively similar to Parle Agro 's registered trademark 'SMOODH' and amounted to ' smart copying '.

A Tale of Two 'Smooth' Drinks

Parle Agro , one of India's largest beverage companies, adopted the trademark 'SMOODH' in 2020 and launched its dairy-based flavoured drinks under that mark in 2021. The company holds multiple registrations for 'SMOODH' and its formative marks across Classes 29, 32, and 35. Parle claimed a sales turnover exceeding ₹1,648 crore under the SMOODH mark between 2021–22 and 2025–26, along with promotional spending of over ₹201 crore, supported by celebrity endorsements from Varun Dhawan and Dulquer Salmaan.

The dispute arose when Parle Agro , on 24 July 2026 , came across an article reporting that Varun Beverages—in partnership with Japan's Asahi Group —intended to launch a ready-to-drink dairy-based yoghurt in India under the 'CALPIS' brand, bearing the mark 'SMOOTH'. Although the product had not yet entered the Indian market, Parle swiftly moved the High Court seeking an injunction.

Smart Copying or Coincidence?

Senior Advocate Chander M. Lall , appearing for Parle Agro , argued that the defendant had dishonestly adopted the impugned mark by merely substituting the letter 'D' with 'T'. He contended that the rival goods—dairy-based yoghurt drinks—were identical, and the trade channels and consumer base overlapped. He further highlighted that the product packaging was designed so that 'CALPIS' appeared in a smaller font compared to 'SMOOTH', giving prominence to the allegedly infringing mark.

The court found these arguments compelling. Justice Singh observed that the substitution of 'D' with 'T' was "nothing but smart copying " and noted that the packaging strengthened the case. The court remarked: "The intent to come as close as possible to the Plaintiff is fortified by the fact that Defendants have designed the product packaging in a manner that their own brand name CALPIS is in a smaller font compared to the mark SMOOTH, so as to give prominence to the latter and misrepresent to the public that their product has an association and/or some commercial nexus with the Plaintiff."

Court's Verdict: Injunction Granted

Considering Parle Agro 's established goodwill , sales figures, promotional expenditure, and celebrity endorsements, the court held that the plaintiff had made out a prima facie case. The balance of convenience lay in favour of Parle, and irreparable harm was likely if the injunction was not granted.

The court restrained Varun Beverages, its officers, distributors, and agents from using the mark 'SMOOTH' or any deceptively similar mark. The order also covered packaging where the disputed mark appears more prominently than the company's own brand name. The matter is listed before the Joint Registrar on 24 September 2026 and before the court on 17 December 2026 .