IN THE HIGH COURT OF DELHI AT NEW DELHI
Asha Menon, J.
H.S. Sahn - Appellant
Versus
Mukul Singhal & Ors. - Respondents
CS(Comm) 31 of 2021
Decided On : 17-01-2022
Trademark Infringement - M.G. Auto Sales Corporation - Trade Marks Act, 1999, Copyright Act, 1957 - The court discussed the infringement of trademarks 'M.G.' and 'M.G.I.' by defendants, the claim of prior use, and the applicability of Section 10 of the CPC. The court found that the subject matter of both the suits is identical, and concurrent trials would lead to multiplicity of litigation and contradictory decisions. The suit was accordingly stayed.
Fact of the Case:
The plaintiff, M.K. Auto Sales Corporation, filed a suit against the defendants, partners of M.G. Cables (India), for trademark infringement and sought protection from infringement of trademarks, trade dress, and copyright. The defendants had also filed a suit against the plaintiff for similar claims.
Finding of the Court:
The court found that the subject matter of both the suits is identical, and concurrent trials would lead to multiplicity of litigation and contradictory decisions. The suit was accordingly stayed under Section 10 of the CPC.
Issues: Trademark infringement, prior use, applicability of Section 10 of the CPC.
Ratio Decidendi: The court applied the principle that Section 10 of the CPC prohibits concurrent trials on the same subject matter to prevent multiplicity of litigation and contradictory decisions.
Final Decision: The court stayed the proceedings in the suit.
JUDGMENT
1. The suit has been filed by the plaintiff/Sh. H.S. Sahni as the sole proprietor of M/s M.K. Auto Sales Corporation, which is stated to manufacture and trade in a wide range of automobile fittings, control cables and spare parts and other allied goods, against the defendant No.1/Mukul Singhal and defendant No.2/Gaurav Singhal, who are partners of the defendant No.3/M/s M.G. Cables (India) and are stated to be brothers.
2. The plaintiff claims to have commenced his business in the year 1986 under the trade name of M/s M.K. Auto Sales Corporation. The plaintiff applied for registration of his trademarks 'M.G.' and 'M.G.I.' stating 'user' since 1989, since the plaintiffs firm had obtained Sales Tax registration in that year. The trademarks 'M.G.' and 'M.G.I.' were registered on 7th July, 1998, though the 'user' was claimed from 1st April, 1989. Due to the hard work, efforts, investment and promotions, the public at large had begun to identify the trade marks 'M.G.' and 'M.G.I.' solely and exclusively with the goods and services of the plaintiff and his firm. The plaintiff claims to have adopted the mark 'M.G.' in honour of his mother, who was affectionately known as 'Mohinder G' and 'M.G.I.' was an extension of this trade mark.
3. According to the plaintiff, the defendants are manufacturing, marketing and selling identical products as that of the plaintiff, such as automobile components inter alia including clutch cables, control cables, front brake cable, rear brake cables, speedometer cables, seat lock cables etc., under the impugned trademark M.G. Cable' and trade name M.G. Cables (India)', which is nearly identical/deceptively similar to the marks of the plaintiff namely 'M.G.' and 'M.G.I.'.
4. It is also the case of the plaintiff that it was only in February, 2020 that the defendant No.3 initiated rectification proceedings against the plaintiffs trade mark application in respect of mark 'M.G.' in which the plaintiff had also filed his counter statement and the matter was pending adjudication before the Trademarks Registry. The plaintiff states that his trademark applications for registration of the mark/logo/device 'M.G.' and its variants are also pending before the Trademarks Registry. These word marks/logo/device are as under:
5. The plaintiff has also claimed copyright registration in the trade dress/logo/device/artistic work bearing registration number A-132145/2019, as reproduced herein below:
and the other trade dress/packaging claimed to be used by the plaintiff are reproduced herein as under:
It is stated that the same was originally created by and for the plaintiff and in terms of Section 17 of the Copyright Act, 1957, he was the first owner of the copyright in the original artistic work of the unique graphical depiction and has been in continuous use of the said artistic work since 1989 for his products.
6. The plaintiff seeks protection from infringement of these trademarks, trade dress, in Class 12 of the Trade Marks Act, 1999 and as the registration obtained by the defendants is in Class 6, he has sought injunction restraining infringement of trademark, passing off, acts of unfair competition, dilution, rendition of accounts and damages etc. By means of the interim application, injunctions restraining the defendants from using the impugned trade mark M.G. Cable' and trade name M.G. Cables (India)' or any other mark or trade name, nearly identical/deceptively similar to the plaintiffs trademark 'M.G.' and 'M.G.I.' in any products or services, especially identical products as that of the plaintiff, including the packaging, have been sought, pending disposal of the suit.
7. Mr. Jayant Mehta, learned senior counsel for the plaintiff has submitted that the defendants, by using the mark M.G. Cable' and adopting M.G. Cables (India)' were infringing the plaintiffs registered and prior trademarks as these were identical and deceptively similar to the plaintiffs registered marks 'M.G.' and 'M.G.I.'. Further, the trade na
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