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2013 Supreme(Del) 868

High Court of Delhi
S. MURALIDHAR, J.
Sun Pharmaceuticals Industries Ltd.
Versus
P. Mukesh Kumar & Others
CS (OS) No. 3244 of 2011
Decided on : 22-07-2013.

Advocate Appeared:
For the Plaintiff:Sachin Gupta, Vikrant Nagpal, Advocates.
For the Defendants:Abhishek Malhotra, Angad Singh Dugal, Advocates.

The main legal point established in the judgment is the application of the Trade Marks Act, 1999, to determine infringement and passing off claims, emphasizing deceptive similarity, extensive use of the mark, and territorial jurisdiction.

Headnote:

Trade Mark - Infringement - Trade Marks Act, 1999 - Sections 9(1)(a), 9(2)(a), 11(1), 11(3)(a) - Section 29 - Section 134 - [AMLOBET] - [Infringement of Trade Mark] - [Sections 9(1)(a), 9(2)(a), 11(1), 11(3)(a), 29, 134] - The court found that the Defendants infringed the registered trademark AMLOBET of the Plaintiff by using the mark AMLOVATE/AMLOVATE-A. The Defendants' adoption of a phonetically and structurally similar mark more than a decade after the Plaintiff began marketing its product under the mark AMLOBET was deemed dishonest. The court also held that the use of the mark AMLOVATE/AMLOVATE-A by the Defendants amounted to passing off the Plaintiff's product as their own. Additionally, the court rejected the Defendants' plea that the Plaintiff was not carrying on business within the territorial jurisdiction of the court.

Fact of the Case:

The Plaintiff filed a suit against multiple Defendants for infringement of its trade mark AMLOBET, passing off, rendition of accounts, and delivery of infringing goods. The Plaintiff claimed that it had been using the mark AMLOBET since 1996 and obtained a drug license for it in 1996. The Defendants were marketing a similar medicine under the mark AMLOVATE, which the Plaintiff alleged to be deceptively similar to its trademark. The court issued an ad interim ex parte order restraining the Defendants from using the trademark AMLOVATE.

Finding of the Court:

The court found that the Defendants infringed the registered trademark AMLOBET of the Plaintiff by using the mark AMLOVATE/AMLOVATE-A. It also held that the use by the Defendants of the mark AMLOVATE/AMLOVATE-A amounted to passing off the product of the Defendants as that of the Plaintiff. The court rejected the Defendants' plea that the Plaintiff was not carrying on business within the territorial jurisdiction of the court. However, the Plaintiff's plea for damages was not accepted due to insufficient material.

Issues: The issues framed by the court included whether the Defendants infringed the registered trade mark AMLOBET, whether the Defendants were passing off their goods as those of the Plaintiff, whether the court had territorial jurisdiction to try the suit, whether the Plaintiff was entitled to damages, and the relief sought.

Ratio Decidendi: The court applied the legal provisions of the Trade Marks Act, 1999, including Sections 9(1)(a), 9(2)(a), 11(1), 11(3)(a), 29, and 134 to determine the infringement and passing off claims. It emphasized the deceptive similarity between the marks, the extensive use of the Plaintiff's mark, and the dishonest adoption of a similar mark by the Defendants. The court also considered the territorial jurisdiction of the court and the evidentiary value of electronic records.

Final Decision: The suit was decreed in favor of the Plaintiff, and the Defendants were restrained from using the trademark AMLOVATE. The Defendants were directed to render accounts of the profits earned from the sale of AMLOVATE to the Plaintiff, and the Plaintiff was awarded costs of the proceedings.

Judgment :

1. This suit has been filed Sun Pharmaceuticals Industries Limited (‘SPIL’) against Mr. P. Mukesh Kumar, the proprietor of M/s. Idalis (a division of Marx Remedies) (Defendant No.1), M/s. Marx Remedies (Defendant No.2), Invision Medi Sciences Pvt. Ltd. (Defendant No.3), M/s. Chimak Health Care located at Solan in Himachal Pradesh (Defendant No.4) and M/s. Visions located at New Delhi (Defendant No.5) for a permanent injunction restraining the Defendants from infringing the Plaintiff’s trade mark AMLOBET, passing off, rendition of accounts and delivery of the infringing goods of the Defendants etc.

2. The case of the Plaintiff is that it coined the mark AMLOBET from the salt Amlodipine and Atenolol used in treatment of high blood pressure and prevention of chest pain. Exhibit PW 1/4 is a photograph of the Plaintiff’s medicine being sold and marked as AMLOBET. On 14th October 1996 the Plaintiff obtained a drug licence to manufacture medicines under the aforementioned mark. It has been extensively and commercially used since then. Exhibit PWs 1/6, 1/7 and 1/8 are invoices of the Plaintiff for the years 1998 to 2011 which show sales of AMLOBET. The certificate from the Chartered Accountant (‘CA’) certifying the annual sales and promotional expenses for the period 2000 to 2011 has been exhibited as PW 1/11. The original literature and packaging material has been exhibited as PW 1/5. Trade mark registration was granted for the mark AMLOBET in favour of the Plaintiff under No. 745615 in Class 5 on 18th June 1997. The registration certificate is marked as Exhibit PW 1/10.

3. The case of the Plaintiff is that Defendants 1 to 3 who are located in Bangalore are marketing a similar medicine under the mark AMLOVATE. The said medicine is manufactured by Defendant No.4 at Solan in Himachal Pradesh. The printing of the promotional material of the product, and in particular the leaflets, is being carried out by Defendant No.5 located in New Delhi. The Plaintiff states that it came across an application for registration of the trade mark AMLOVATE in favour of Defendant No.1 under No. 1964725 published in the Trade Mark Journal No. 1463 dated 20 th December 2010. The application was on ‘proposed to be used’ basis. The Plaintiff tried to locate the Defendants’ medicine under the aforementioned mark AMLOVATE. However, it could not find said medicine selling in any market or advertised in any trade journal. Accordingly, on 8th January 2011 the Plaintiff requested Defendant No.1 to withdraw its trade mark application. The Plaintiff then filed a notice of opposition in Form TM-5 dated 11th March 2011 before the Trade Mark Registry stating that the Defendant’s mark was in breach of Sections 9(1)(a), 9(2)(a), 11(1) and 11(3)(a) of the Trade Marks Act, 1999 (‘TM Act’). Defendant No.1 filed a counter affidavit dated 15th July 2011 in Form TM-6 in the Trade Marks Registry. It contended that the Plaintiff was seeking a monopoly on the prefix ‘AMLO’. Defendant No.1 filed two invoices of sales and a pamphlet along with one invoice issued by Defendant No.5 for printing of the leaflets.

4. The case of the Plaintiff is that the adoption by Defendant No.1 of the mark AMLOVATE is dishonest since it knew that the Plaintiff was using the trade mark AMLOBET since 1996. It is pointed out that the Defendants have adopted AMLOVATE with combination of alphabet of numerals being ‘L’, ‘A’ and ‘5’ such as AMLOVATE-5, AMLOVATE-L and AMLOVATE-A which is generic and indicative of the salt and/or quantity of salt. It is submitted that the trademark AMLOVATE is ‘non-distinctive’. A cease and desist notice was issued by the Plaintiff to the Defendant on 2 nd December 2011 asking it to stop using the trade mark AMLOVATE and to withdraw its trade mark application. By reply dated 7th December 2011, Defendant No.1 has refused to comply with the terms of the said legal notice. In the aforementioned circumstances, the present suit was filed on 20th December 2011. The case of



























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