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2025 Supreme(AP) 494

IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI
Ravi Nath Tilhari and Challa Gunaranjan, JJ.
Chidipothu Krishna Murthy – Appellant
Versus
Paruchuri Yashwanth Kumar and others – Respondent
CMA Nos.522 and 523 of 2023
Decided On : 09-05-2025

Advocates:
Advocate Appeared:
For the Appellant : Balaji Medamalli
For the Respondent: O. Manohar Reddy rep. Satya Sai Krishna Sistla

In passing-off cases, the burden of proof for establishing prior user lies with the plaintiff, and failure to provide substantial evidence undermines claims for injunction.

Headnote:(A) Code of Civil Procedure, 1908 - Order 39, Rule 1 - Passing off - Temporary injunction - Appellants challenged the grant of temporary injunction to respondents prohibiting the latter from using the trademark "Madras Filter Coffee" - Trial Court held prima facie case established based on the Partnership Deeds stating prior usage since 1978 - Court of Appeal found insufficient evidence for prior usage, leading to the conclusion that the learned Trial Court misapplied legal principles in the exercise of discretion for injunction - Ultimate finding was absence of cogent material to substantiate the claim for prior user. (Paras 66-68)

Facts of the case:
The plaintiffs sought relief against the defendants for passing off, claiming prior ownership of the trademark "Madras Filter Coffee" based on a historical claim of its use dating back to 1978-79, but the defendants argued there was no established continuous prior user.

Findings of Court:
The Court of Appeal found that the plaintiffs did not provide satisfactory evidence to support their claims of prior use.

Issues: Whether the plaintiffs established a prima facie case for granting a temporary injunction and whether the Trial Court's decision was justified.

Ratio Decidendi: The appellate court concluded that the plaintiffs failed to demonstrate a continuous prior user of the trademark necessary to support their claims, thus overturning the injunction.

Result: Appeals allowed, injunction set aside.

Table of Content
1. temporary injunction application details (Para 2 , 3 , 4)
2. plaintiffs' case and historical context (Para 5 , 6 , 7)
3. partnership agreements affecting business (Para 8 , 9 , 10)
4. affidavits clarifying business connections (Para 11 , 12)
5. defendant's denial and arguments against claims (Para 13 , 14 , 15 , 16 , 17)
6. injunction application outcomes and reasoning (Para 18 , 19)
7. trial court's findings and decisions (Para 22 , 24 , 25)
8. considerations for governing temporary injunctions (Para 32 , 33)
9. principles governing prior user in trademark disputes (Para 39 , 41 , 46)
10. final outcomes of appeals and injunction orders (Para 66 , 67 , 68 , 69)

JUDGMENT :

RAVI NATH TILHARI, J :

Heard Sri Balaji Medamalli, learned Counsel for the appellant/2nd defendant and Sri O. Manohar Reddy, learned Senior Counsel, assisted by Sri Satya Sai Krishna Sistla, learned Counsel for the respondents.

I. Facts :

2. CMA No.522 of 2023 under Order 43 Rule 1 of Code of Civil Procedure (CPC) has been filed by the 2nd defendant in OS No.68 of 2023 filed by the plaintiffs/respondent Nos.1 to 3 in the Court of VII Additional District Judge, Vijayawada, whereby IA No.537 of 2023 of the plaintiffs for grant of temporary injunction under Order 39 Rules 1 and 2 CPC, has been allowed, vide order dated 21.10.2022. The temporary injunction has been granted “restraining the respondents/defendants from starting or marketing or promoting or supporting or doing business either individually or jointly or with third parties, under the name and style which is similar to “Madras Filter Coffee” or “The Madras Filter Coffee” or such other name of trademark, with or without logo as shown in Schedule ‘A’ of the plaint, which deceptively resembles the name being used by petitioners/plaintiffs for sale of their products or services being rendered, in their business being carried on under the name and style of “Madras Filter Coffee” in any manner including through the website www.madrasfiltercoffeeindia.com or through instagram profiles/pages or in any other form using any other online platforms, till the final disposal of the suit.”

3. Respondent Nos.1 to 3 are the plaintiffs in the aforesaid suit. They filed that suit to grant a decree in their favour for the reliefs as under :

    “VII. The plaintiffs therefore pray that the Hon’ble Court may be pleased to grant a decree in favour of plaintiffs granting :

    (i) Permanent injunction, restraining the defendants, their men, agents, partners, license holders or distributors or associates, or representatives, or servants or all other persons acting either on behalf of the defendants or at the instance of the defendants or otherwise, from in any manner passing-off their goods or services as that of the plaintiffs’ by either using the plaintiffs’ trademark “Madras Filter Coffee” or its trademark image/logo “(*)” as shown in Schedule-A of the Plaint or any other trademark, image or logo, which is structurally, visually, phonetically or deceptively similar to the trademark or trademark image/logo of the plaintiffs;

    (ii) Permanent injunction, restraining defendants from starting or marketing or promoting or supporting or doing business either individually or jointly or with third parties, under the name and style which is similar to “Madras Filter Coffee” or “The Madras Filter Coffee” or such other name or trademark, with or without logo “(*)”, as shown in Schedule-A of the Plaint, which deceptively resembles the name being used by the plaintiffs for sale of their products or services being rendered, in their business being carried on under the name and style of “Madras Filter Coffee” in any manner including through the website www.madrasfiltercoffeeindia.com or through Instagram profiles/pages including URLs :

    (a) https://instagram.com/madrasfiltercoffeeindia?igshld=YmMvMTA2M2Y =

    (b) https://instagram.com/madrasfiltercoffeeofficial?igshld=YmMyMTA2M2Y = or in any other form using any other online platforms.

    (iii) Mandatory i

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