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2025 Supreme(Bom) 1088

IN THE HIGH COURT OF JUDICATURE AT BOMBAY 
SANDEEP V. MARNE, J.
M/s. Arcee Electronics, a partnership Firm. - Plaintiff 
Versus
M/s. Arceeika and Ors. – Defendants
Commercial IP Suit (L) No.19290 of 2024 With Interim Application (L) No.19292 of 2024 With Leave Petition (L) No.19291 of 2024 In Commercial IP Suit (L) No.19290 of 2024 With Interim Application (L) No.32557 of 2024 In Commercial IP Suit (L) No.19290 of 2024
Decided On : 11-08-2025

Advocates Appeared:
For the Plaintiff : Mr. Subhradeep Banerjee i/b. Mr. Navin P. Sachanandani.
For the Defendants : Mr. Hiren Kamod with Mr. Rakesh Sawant, Mr. Prem Khullar, Ms. Shamiyana H. & Mr. Rahul Patil i/b. M/s. Arhat Legal.

Jurisdiction for trademark infringement suits is determined by the location of the plaintiff's business and the occurrence of the cause of action, necessitating return of the plaint when these criteria are unmet.

Headnote:(A) Trade Marks Act, 1999 - Section 134(2) - Code of Civil Procedure, 1908 - Order VII Rule 10 - Infringement of registered trademark and passing off - Plaintiff claims infringement by defendants due to similarity in business names and colors - Defendants contest jurisdiction asserting Plaintiff’s business is outside the Court's territory. (Paras 1-2, 4-6)

(B) Jurisdiction - Territorial jurisdiction based on business location and cause of action - Court finds no evidence that Plaintiff conducts business in the local limits of the jurisdiction or that any part of the cause of action arose within - Suit returned for lack of merit under applicable jurisdiction laws. (Paras 10-22)

Findings of Court:
This Court lacks territorial jurisdiction to try the suit as the Plaintiff does not carry on business in Mumbai and no part of cause of action has arisen in Mumbai. (Para 22)

Issues: Whether Plaintiff has established jurisdiction for filing suit based on alleged infringement claims.

Ratio Decidendi: The Court ruled that under Section 134(2) of the Trade Marks Act, a suit can only be instituted in a District Court within which the Plaintiff actually resides or carries on business; Plaintiff's failure to establish this necessitates returning the Plaint.

Result: Plaint is returned under Order VII Rule 10 for presentation in the court with proper jurisdiction.

Table of Content
1. trademark infringement claimed by plaintiff. (Para 1 , 2)
2. defendant contests jurisdiction in court. (Para 3 , 4 , 5)
3. court evaluates jurisdiction based on business activity. (Para 10 , 11 , 12 , 14)
4. court's jurisdiction must comply with relevant statutes. (Para 13 , 18 , 19)
5. suit lacks jurisdiction; plaint to be returned. (Para 22 , 23)

Judgment :

SANDEEP V. MARNE, J.

1) Plaintiff has instituted the present Suit for infringement of its registered trademark ‘ARCEE’ and also for the tort of passing off.

2) Plaintiff is a partnership firm. It is engaged in the business of sale of electronic goods through various showrooms set up by it. Plaintiff claims that it is registered proprietor of the mark ‘ARCEE’. Plaintiff has set up a network of showrooms for sale of electronic goods at various locations such as Vashi, Nerul, CBD Belapur, Kamothe, Kalamboli, Uran, Ulwe, Panvel, Ghansoli and Airoli. Plaintiff also has stores in Alibaug, Karjat, Khopoli, Neral, Pen, Roha, Mangaon and Mahad in Raigad District. Plaintiff claims that it has 23 showrooms, one head office and 1 warehouse in Navi Mumbai and Raigad District. Plaintiff has given details of his turnover in paragraph 3.11 of the Plaint. On 18 August 2021 Firm’s name was changed to M/s. Arcee International. Plaintiff claims that the Defendants have opened a showroom by name ‘ARCEEIKA’ adopting similar colour, font and type so as to steal Plaintiff’s business model since August 2024. Plaintiff claims that the Defendants are selling electronic goods from their showrooms. This is how Plaintiff has brought in the present suit against the Defendants by complaining infringement of its registered trademark and also for an action of passing off.

3) Defendant No.2 has filed application under provisions of Order VII Rule 10 of the Code of Civil Procedure, 1908 (the Code) seeking return of the Plaint on the ground that this Court lacks territorial jurisdiction to try the present Suit. Defendant No. 2 has contended that in the territorial jurisdiction of this Court, neither Plaintiff has a place of business nor has any cause of action arisen. It is contended on behalf of the Plaintiff that since a Leave Petition under Clause XIV of the Letters Patent (Bombay) is filed dealing with the issue of jurisdiction, Plaintiff is prepared to answer the objection of territorial jurisdiction without filing a formal reply to the Interim Application (L) No.32557 of 2024. Accordingly, both the sides are heard on the prayer of Defendant No.2 for return of the Plaint.

4) Mr. Banerjee, the learned counsel appearing for the Plaintiff would submit that part of cause of action has arisen within the territorial limits of this Court and that therefore, this Court has jurisdiction to try and entertain the Suit. In support of his contention, he would submit that Plaintiff has several showrooms in Navi Mumbai and District-Raigad and also carries on business in Mumbai city. That Plaintiff routinely supplies electronic goods to the customers within the territorial limits of this Court. That since Plaintiff carries on business in Mumbai City as well, Defendants’ acts constitute infringement of Plaintiff’s marks as well as passing off. He would therefore submit that the Suit is correctly filed in this Court on the strength of the Plaintiff carrying on business in the Mumbai city. Additionally, he would submit that Defendants also carry on business in Mumbai city. He would submit that infringing acts have been committed by the Defendants by delivery of electronic goods to various customers in Mumbai. In support, he has placed on record invoice/challan dated 2 September 2022 issued by Defendant No.1 to a customer in Chembur. He would therefore submit that both on count of Plaintiff carrying on business in Mumbai city as well as Defendants’ act of supplying electronic goods to their customers in Mumbai city, this Court would have territorial jurisdiction to try and entertain the present Suit under Section

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