The court clarified the executability of a compromise decree and the requirements for enforcing a decree for permanent injunction.

Rajiv Sahai Endlaw, J.

1. Execution is sought of a compromise decree dated 28th August, 2002 in CS(OS) No. 372/2002.

2. The decree holder had instituted the suit inter-alia for the relief of permanent injunction restraining the judgment debtor from using the word WANDER or any other word deceptively similar thereto as part of its name and trading style and/or from using the trademarks TRIAMINIC, TRIOMINIC, TRIATUSSIC or WANDER or any other mark deceptively similar to the said marks in relation to goods being marketed or manufactured by the judgment debtor. The relief of accounts of profits made by judgment debtor by use of trading style Wander Pvt. Ltd. and decree for amount so found due was also claimed.

.3. The compromise application under Order 23 Rule 3 of the CPC was filed by the parties even before the judgment debtor filed the written statement. It was inter-alia stated in the said application:

.(A) That the plaintiff and defendant had settled the dispute subject matter of the suit and other related disputes by agreeing to enter into the distributorship and marketing agreement on the terms & conditions recorded in the compromise application.

.(B) That the defendant agreed and declared that it be restrained from using WANDER and other trademarks with respect to which the suit had been filed. It was thus prayed that the decree of injunction in terms of prayer (a) & (b) be passed against the defendant.

.(C) The parties further agreed that the decree in terms of prayer Clause

.(a) i.e. with respect to WANDER shall not come into operation until 1st August, 2004.

.(D) Clause 4 of the compromise application as under:

.The Defendant agrees and undertakes to this Honble Court that well before 1st August, 2004 it shall take the necessary steps for amending its corporate name and/or trading style so as to delete therefrom the word Wander and substitute in its place the word having no confusing similarity with the word "WANDER". The Defendant shall supply to the Plaintiff proof of steps taken to have the Company name changed as soon as such steps are taken and in any event not later than 1st August, 2004.

.(E) The defendant also agreed and undertook to the court to withdraw from the market/destroy the unsold stocks etc., to destroy the labels, wrappers, cartons bearing the infringing trademark, not to challenge the plaintiffs rights in the said trademark, to withdraw the rectification applications for cancellation of the registration of the plaintiffs trademark, to withdraw the applications for registration of the said marks, to withdraw the suit filed by the defendant against the plaintiff and certain other parties, to transfer the tenancy rights in a premises at Mumbai, to make certain other payments to the plaintiff under the prior agreements between the parties, to assign and transfer to the plaintiff certain other trademarks etc.

.(F) The defendant also agreed that during the term of distribution and marketing agreement to be separately entered into between the Novartis Consumer Health India Private Limited (not a party to the suit) and the defendant and copy of which was filed as Annexure "A. to the said application, not to engage in manufacture or sale of any pharmaceutical preparation which was earlier manufactured or sold by Novartis Consumer Health India Private Limited or its affiliates or any other pharmaceutical preparation having the same composition and competing in the same theurapeutic classes as TRIAMINIC.

.(G) It was further agreed that the said distribution and marketing agreement shall come into force only after obligations as mentioned in certain other paragraphs of the application had been acted and performed by the defendant to the satisfaction of the plaintiff and its affiliates. The said clauses inter-alia included clause with respect to the defendant suffering the decree for injunction as well as Clause 4 set out herein above.

.(H) Clause 15 of the said agreement is as under:

The Defendant agrees