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2001 Supreme(Del) 516

High Court Of Delhi
SHANTABEN KARASANBHAI PATEL - Appellant
Versus
S.C.JAIN - Respondent
Suit 4323 of 1992
Decided On : 04/23/2001

Advocates Appeared:
MANMOHAN SINGH

Unchallenged evidence of trademark ownership and infringement can establish the right to permanent injunction and rendition of accounts.

Headnote:

TRADEMARK - Infringement - Trade and Merchandise Marks Act, 1958 - Sections 28, 29, 31

Fact of the Case:

Plaintiffs sought permanent injunction against defendants for infringing their trademark 'nirma' in relation to tea. Defendants contested the claim but later proceeded ex-parte. Plaintiffs' evidence remained unchallenged.

Finding of the Court:

Plaintiffs proved ownership of the trademark 'nirma' for various goods, including tea. Defendants' use of 'nirma' for tea constituted infringement under Sections 28 and 29 of the Trade and Merchandise Marks Act. Plaintiffs also established passing off.

Issues: Ownership of trademark, misuse by defendants, passing off, jurisdiction, misjoinder of parties, prior use by defendants, entitlement to injunction and accounts

Ratio Decidendi: Plaintiffs' unchallenged evidence proved ownership and infringement of trademark. Defendants' prior use defense failed. Plaintiffs entitled to permanent injunction and rendition of accounts.

Final Decision: Decree for permanent injunction against defendants from using 'nirma' for tea and related goods, and for rendition of accounts. Plaintiffs entitled to costs.

A. K. Sikri

( 1 ) THIS Suit has been filed by the plaintiffs seeking a decree for permanent in Junction against the defendants in respect of the plaintiffs trade mark "nirma". Plaintiffs 1 and 2 are the trustees of Shri s. K. Patel Family Trust trading under the name and style of M/s. Nirma Chemical Works Limited. Plaintiff no. 4. namely, Nirma Chemical Works Limited is an incorporated company under the Indian Companies Act which is engaged in the business of manufacturing and marketing washing powder, salt, match boxes, etc. for the last so many years. They are carrying on their business under the trademark "nirma which according to them is an invented word and is in use by the plaintiffs since 1969. They also get tradamark nirma registered under the Trade and Merchandise Marks Act. 1958 in respect of various goods in IVth Schedule of classification of goods as prescribed under the Trade and Merchandise Marks Rules, 1959. The trademark NIRMA is registered under Class III in various forms. According to them, the trademark NIRMA has over the years acquired tremendous reputation among general public and has been exclusively used and advertised for a long time as a result of extensive advertisement and publicity wherein huge expenditure is incurred by them. The preliminary cause for filing the present Suit is the adoption of the word nirma for tea as the defendants are manufacturing and offering for sale and advertising "nirma Tiger Tea". The plaintiffs sent legal notice dated 3/8/1990 calling upon the defendants to discontinue the use of trademark nirma in. respect of tea. Another notice dated 2/4/1992 was served but as the defendants did not accede to the plaintiffs demand and continued the use of the trade mark nirma in respect of tea. the present Suit for permanent injunction has been filed for restraining the defendants from infringing the plaintiffs registered trade mark nirma registered under no. 422851-B and various other ancillary, related and consequential reliefs are also sought.

( 2 ) ALONG with the Suit, the plaintiffs had also filed IA. 13610/92 under the provisions of Order XXXIX rules 1 and 2 of the Code of Civil Procedure seeking ad-interim injunction. By Order dated ll/11/1992 ex parte ad interim Injunction was granted thereby restraining the defendants from using by themselves or through their servants, agents or stockists the registered trade mark nirma in respect of tea. This order has been in operation.

( 3 ) AFTER notice of the Suit, the defendants appeared and filed the written statement. The defendants denied the claim of the plaintiffs and contested the prayer. Various submissions are made in the written statement. It may not be necessary to reproduce all these averments made in the written statement inasmuch as reflection thereof can be illated from the issues framed. Moreover, defendants stopped appearing and have been proceeded ex-parte. They have not led any evidence and therefore they have not proved the allegations contained in the written statement.

( 4 ) ON the basis of the pleadings following issues were framed on 30/10/1995 :- 1. Whether the plaintiff proves that plaintiff is the holder of the registered trade mark "nirma" bearing registration no. 422851-B in respect of Coffee, Tea, cocoa, Sugar, Rice, Tafioda, Sago, Coffee substitutes. Flour and Preparations made from Cereals, Bread, Biscuits, Cakes, pastry and Confectionery, ICES, Honey treacle, Yeast, baking powder? 2. Whether the plaintiff proves that defendant Is misusing their trade bearing registration No. 422851-B ? 3. Whether plaintiff proves that defendants are passing of their goods as the goods of the plaintiff ? 4. Whether this Court has the Jurisdiction to entertain the present suit ? 5. Whether the suit is bad for misjoinder of the parties and causes of action ? 6. Whether the defendant proves that defendant had already been using the trade mark nirma Tiger with the device of tiger inside the circle in relation to








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