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2026 Supreme(SC) 1155

SUPREME COURT OF INDIA
J. B. PARDIWALA, K. VINOD CHANDRAN, JJ.
I.S.D.S. Private Limited & Anr. – Appellants
Versus
M/s Khemka Food Products Pvt. Ltd. & Anr. – Respondents
Civil Appeal No of 2026 (@Special Leave Petition (C) No. 6793 of 2026)
Decided On : 21-09-2026

Advocates appeared:
For the Petitioner(s):Mr. Singh Nishant Sanjay Kumar, Adv. Mr. Vishal Arun Mishra, AOR Ms. Rupali Panwar, Adv.
For the Respondent(s): Mr. Indrajit Sinha, Adv. Ms. Prerna Jhunjhunwala, Adv. Ms. Neeharika Mazumdar, Adv. Mr. Ankit Rajgarhia, Adv. Mr. Aakash Nandolia, AOR Mr. Sachin Dubey, Adv. Ms. Vinita Sejwal, Adv. Mr. B. Shravanth Shanker, AOR

The court addressed whether notifications designating Civil Judges as Commercial Courts override the Trade Marks Act's requirement that infringement suits be filed before a District Court, referring the conflict between general and special legislation to a larger bench for resolution.

Headnote:(A) Trade Marks Act, 1999 - Section 134 - Commercial Courts Act, 2015 - Sections 2(1)(c), 3, and 21 - Jurisdiction for infringement suits - Whether a notification designating a Civil Judge (Senior Division) as a Commercial Court overrides the statutory restriction under the Trade Marks Act prohibiting suits in courts inferior to a District Court - Conflict between the interpretation of special legislation and a subsequent enactment providing for overriding effect (Paras 2, 10).

(B) Conflict of Precedents - Divergence in judicial views regarding whether the Commercial Courts Act acts as general legislation or special legislation relative to other specialized statutes, such as the Arbitration and Conciliation Act, 1996, and the impact thereof on jurisdictional notifications (Paras 6, 8, 9).

Facts of the case:
A suit for trademark infringement was instituted in a court designated as a Commercial Court via notification, specifically before a Civil Judge (Senior Division). The appellant challenged this, contending that Section 134 of the Trade Marks Act requires such suits to be filed before a District Court and that a notification under the Commercial Courts Act should not dilute this legislative requirement, especially as it would restrict the litigant's right to a full appeal before a High Court.

Findings of Court:
The court observed that while the Commercial Courts Act contains a non-obstante provision under Section 21, there is an apparent conflict in judicial precedents regarding whether the Act is general or special legislation in relation to other specialized codes. It found that the legislative intent of the Trade Marks Act to ensure that specified reliefs are handled by the District judiciary should not be diluted by notifications issued under the Commercial Courts Act.

Issues: Whether the restriction under Section 134 of the Trade Marks Act, 1999, which prohibits the institution of suits for infringement before any court inferior to a District Court, is rendered otiose by a notification issued under the Commercial Courts Act, 2015, designating a Civil Judge (Senior Division) as a Commercial Court.

Ratio Decidendi: The court reasoned that since existing judicial interpretations differ on whether the Commercial Courts Act prevails as a special legislation over other specialized acts, and because the Trade Marks Act specifically mandates a certain level of judiciary, the conflict necessitates a resolution by a larger bench to ensure uniform application of the law across various states.

Result: Matter referred to a Larger Bench; the pending commercial suit is stayed.

Legal Category Hierarchy

  • practice and procedure
    • jurisdiction
      • trade marks (Para 2, 3)
      • commercial courts
        • constitution of courts (Para 10, 11, 12)
      • conflict of laws
        • special vs general legislation (Para 6, 8, 9, 10)
        • overriding effect (Para 5, 10)
        • reference to larger bench (Para 13)
  • intellectual property
    • trade marks
      • infringement suits (Para 2, 3)

Table of Contents

1. Whether restriction under Section 134 of Trade Marks Act, 1999 to sue only before District Court is rendered otiose by notification under Commercial Courts Act, 2015. (Para 2 )

2. Appellant: special Trade Marks Act jurisdiction is diluted by general Commercial Courts Act notification. Respondent: subsequent special Commercial Courts Act with non-obstante clause prevails. (Para 3 , 4 , 5 )

3. Commercial Courts Act deals with genus of commercial disputes; Trade Marks Act is a species. Not inconsistent unless notification constitutes Civil Judges as Commercial Courts. (Para 10 )

4. Conflict between special legislation conferring District Court jurisdiction and notifications under general Commercial Courts Act needs resolution by a larger bench. (Para 10 , 13 )

5. Matter referred to Larger Bench for resolving conflict; suit pending before Civil Judge (Senior Division) stayed. (Para 13 , 14 )

6. Does the Commercial Courts Act override the exclusive jurisdiction of the District Court under Section 134 of the Trade Marks Act?

No, but notifications under the Commercial Courts Act may create conflict if they designate courts inferior to District Courts, requiring resolution by a larger bench. (Para 2 , 10 , 13 )

7. How does the non-obstante clause under Section 21 of the Commercial Courts Act interact with special enactments like the Trade Marks Act?

Section 21 gives overriding effect only where there is inconsistency; if the special enactment confers jurisdiction on a District Court, it is not inconsistent with the Commercial Courts Act. (Para 10 )

8. What is the conflict between the decisions in Kandla Export Corporation and Jaycee Housing regarding the nature of the Commercial Courts Act?

Kandla held the Arbitration Act is a special code overriding the Commercial Courts Act, while Jaycee held the Commercial Courts Act prevails as a special enactment; the court found this conflict needs resolution. (Para 6 , 8 , 9 , 10 )

ORDER

Leave granted.

2. The only question arising in the above appeal is as to whether the restriction contained under Section 134 of the Trade Marks Act, 1999 to institute a suit for infringement etc. before any Court inferior to a District Court having jurisdiction to try the suit would be rendered otiose by the notification issued under the Commercial Courts Act, 2015, by certain States notifying the Civil Judge (Senior Division) as a Commercial Court; herein the State of Jharkhand.

3. The learned Counsel for the appellants submits that the very intention of Section 134 was to ensure that infringement and like issues arising under the Trade Marks Act is dealt with by a District Court, which is diluted by a notification issued under the Commercial Courts Act. As of now, in the State of Jharkhand, any suit under Section 134 of the Trade Marks Act would have to be instituted before the Civil Judge (Senior Division) from which an appeal would lie to the District Court as provided under the Commercial Courts Act. This would prejudice the litigant insofar as there being no remedy provided for an appeal to the High Court and the High Courts’ jurisdiction will be confined to a revision or a challenge under Article 227; which inherently is restrictive in its scope, since no re-appreciation of evidence would be possible. The appellant has placed reliance on a number of judgments.

4. The intervener also supports the appellant with the further submission that the expression ‘having jurisdiction to try the suit’ under sub-section (1) of Section 134 of the Trade Marks Act is with reference to territorial jurisdiction and does not digress from the jurisdiction exclusively conferred to a District Court. It cannot at all be said that by the enactment of the Commercial Courts Act enabling suits of a commercial nature to be filed before the Courts conferred with jurisdiction by a notification issued by the High Court, to directly interfere with the specific jurisdiction conferred under the Trade Marks Act. It is the submission of the appellant and the intervener that the Trade Marks Act is a special legislation and with reference to the said Act, the Commercial Courts Act, which brings within its ambit many aspects under the definition of commercial disputes under Section 2(1)(c) is a general legislation.

5. The learned Counsel for the respondent on the other hand, specifically points to Section 2(1)(c)(xvii), which deals with Intellectual Property Rights related to registered and unregistered trade marks and other such rights. It is pointed out that the Commercial Courts Act, being a subsequent legislation, which also is a special legislation enacted for expeditious adjudication of commercial disputes, the provisions therein prevail. Section 21 is a non-obstante provision conferring overriding effect on the Commercial Courts Act, which is enacted when the Trade Marks Act was in force. The provisions in the earlier enactment, if inconsistent with the subsequent enactment, pales into insignificance by virtue of the non obstante provision. The respondents also rely on the decisions of this Court.

6. Kandla Export Corporation and Anr. v. OCI Corporation and Anr., (2018) 14 SCC 715 was concerned with the question as to whether an appeal not maintainable under Section 50 of the Arbitration and Conciliation Act,1996 (Arbitration Act), would nonetheless be maintainable under Section 13(1) of the Commercial Courts Act. This Court specifically noticed that the amendment to the Arbitration Act and the Commercial Courts Act were brought into force on the same day. Section 13(1) by its proviso, specifically noticed Section 37 of the Arbitration Act but had not noticed Section 50 of the same enactment. Part II of the Arbitration Act is concerned with enforcement of Foreign Awards and Section 50 enables appeals only from orders; (a) refusing to refer to arbitration under Section 45 and (b) refusing to enforce an award under Section 48. In the present cas

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