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2023 Supreme(Del) 2333

IN THE HIGH COURT OF DELHI AT NEW DELHI
C. HARI SHANKAR, J.
Armasuisse - Appellant
Versus
The Trade Mark Registry & Anr. - Respondents
C.A.(COMM.IPD-TM) 158 of 2022, I.A. No. 20094 of 2022, I.A. No. 20095 of 2022 and I.A. No. 20096 of 2022, C.A.(COMM.IPD-TM) No. 159 of 2022, I.A. No. 20153 of 2022, I.A. No. 20154 of 2022 and I.A. No. 20155 of 2022
Decided On : 04-01-2023

Advocates Appeared:
For the Appellant : Mr. Pravin Anand, Mr. Shrawan Chopra, Ms. Madhu Rewari, Mr. Vibhav Mittal, Ms. Shree Mishra, Mr. Achyut Tewari.
For the Respondent: Mr. Akhil Sibal, Sr. Adv. with Mr. Anirudh Bakhru, Mr. S.K. Bansal, Mr. Rishi Bansal, Mr. Ajay Amitabh Suman, Mr. Anmol Kakkar, Mr. Aditya Rajesh, Ms. Aishwarya, Ms.Asavari, Ms. Sanya and Ms. Tejaswini Chandrashekar.

Headnote:(A) Trade Marks Act, 1999 - Sections 2(1)(i)(I), 2(1)(i)(IV)(a), 9(1)(b), 9(2)(a), 11(3)(a) - Trademark registration dispute - Appellant opposed registration of 'SWISS MILITARY' due to likelihood of confusion and false trade description as the goods were not made in Switzerland - Respondent's mark deemed capable of causing confusion as it implies Swiss origin for goods manufactured outside - Court quashes registration allowing appeal, marking the term misleading and non-distinctive (Paras 3, 4, 9, 56, 163).

(B) Court’s guidance on the need for distinctiveness in trademarks emphasizes consumer perception and statutory provisions against misleading representations (Paras 66-87).

(C) Use of public insignia in trademarks evaluated under statutory provisions, highlighting that accuracy in representation is paramount to avoid deception (Paras 99-100).

Table of Content
1. overview of the parties and their positions. (Para 1 , 2 , 3)
2. appellant's objections to trademark registration. (Para 4 , 6 , 7 , 8)
3. the concession made by respondent impacting the case. (Para 9 , 10 , 11)
4. discussion on potential trademark use. (Para 12 , 13 , 17)
5. legal standards for determining trademark eligibility. (Para 18 , 19 , 20)
6. evidence submissions regarding deceptive trademark usage. (Para 21 , 22 , 25 , 26)
7. relevance of global trademark laws. (Para 30 , 31 , 32)
8. discussion on trademark law interpretation. (Para 33 , 34 , 40)
9. court's observations on trademark laws' relative and absolute grounds. (Para 65 , 66 , 67)
10. final decision and order of the court. (Para 163 , 164)

JUDGMENT :

C.A.(COMM.IPD-TM) 158/2022, I.A. 20094/2022, I.A. 20095/2022 and I.A. 20096/2022

C.A.(COMM.IPD-TM) 159/2022, I.A. 20153/2022, I.A. 20154/2022 and I.A. 20155/2022

1. These appeals involve cognate issues. Submissions advanced at the bar by both sides are also overlapping. As such, they have been taken up and disposed of together.

2. The appellant is a Federal Agency of the Swiss Federation, and procures armaments for Switzerland's Federal Department of Defence, Civil Protection and Sport. The appellant, therefore, represents, essentially, the military wing of the Swiss Government.

3. Respondent 2, in these appeals, Promoshirt SM S.A. "Promoshirt", hereinafter) applied to the Registrar of Trademarks, New Delhi for registration of the trademarks (i) "SWISS MILITARY" in Class 25 in respect of clothing, readymade garments, footwear, headgear, coats, overcoats, jackets, jerseys, undergarments, socks" and (ii) the mark in Class 25 in respect of "textile industries". Both applications were on "proposed to be used" basis. The appellant opposed the applications. The opposition of the appellant was rejected, and the trademarks were permitted registration by the learned Deputy Registrar of Trademarks vide separate orders dated 25th July 2022. The appellant has, by means of these appeals, assailed the said orders and, therefore, contested the right of the aforesaid trademarks "SWISS MILITARY" and to registration under the Trademarks Act, 1999 ("the Trademarks Act").

4. I may note, here, the appellant's precise grievance. Mr. Pravin Anand, appearing for the appellant, submits that the appellant has no objection to Respondent 2 using the logo per se, as a white cross on a black background, for its products. His client, however, seriously objects to Respondent 2 being permitted to register or use either (i) a white cross on a red background, i.e. or (ii) the appellation "SWISS MILITARY". Neither mark, submits Mr Anand, can be permitted either to be registered or used, in view of various statutory proscriptions which are in place. What Respondent 2 actually uses, he seeks to point out, is i.e. a white cross on a red background with the "SWISS MILITARY" appellation below it.

5. Inasmuch as the impugned order dated 25th July 2022, read with Section 10 (2), [10. Limitation as to colour. –

*****

(2) So far as a trade mark is registered without limitation of colour, it shall be deemed to be registered for all colours.] of the TRADE MARKS ACT , 1999, allows Respondent 2 to do so, the appellant calls the said order into question in these appeals.

6. Mr. Akhil Sibal, at the very outset of his submissions, submitted that his client was willing to restrict the registration of the impugned mark to a black and white colour combination, without using red. He, however, acknowledges that his client has other registrations for the white cross on a red background, i.e. , but states that those registrations are not subject matter of appeal. Mr Sibal would seek to nip these proceedings in the bud by submitting that, in view of the concession he makes, the grievance of the appellant, which is restricted to the use of the mark in a red-and-white colour combination, would stand assuaged.

7. Even if all submissions of Mr. Anand were to be accepted,

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