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C. HARI SHANKAR
Sulphur Mills Limited – Appellant
Versus
Sulphur Crop Care Pvt. Ltd. – Respondent
ORDER (Oral)
C. Hari Shankar, J.
I.A. 12702/2023 (Under Order XXIII Rule 3 of the CPC)
1. The dispute between the parties stands settled and a joint application under Order XXIII Rule 3 of the Code of Civil Procedure 1908 (CPC) has been filed.
2. Mr. Hemant Singh represents the plaintiff and Mr. Akshay Modi represents Defendant 3, vis-a-vis whom alone the dispute survives.
3. The terms of settlement read thus:
"i. The term "PRODUCT" shall mean Sulphur 90% WDG Product manufactured both under the brand "Cropwin" and in bulk, manufactured and sold by Defendant No. 3;
ii. The Defendant No. 3 consents and confirms the proprietary right vested with the Plaintiff over the Plaintiff's patented agricultural composition which is the subject matter of Indian Patent No. 282429 and herein agree and accept the rights of the Plaintiff in the suit Patent and acknowledge the validity thereof;
iii. The Defendant No. 3 undertakes that it will not directly or indirectly challenge or assist any third party to challenge the validity of Indian Patent No. 282429 during its term;
iv. The Defendant No. 3 either by themselves or through their partners, directors, group companies, associates, divisions, assigns
The court upheld the enforceability of the terms of settlement under Order XXIII Rule 3 of the CPC, leading to the decree of the suit in the terms of settlement.
The court upheld the proprietary right of the plaintiff over the patented agricultural composition and prohibited Defendant 1 from infringing the plaintiff's patent.
The main legal point established in the judgment is the court's recognition and enforcement of a settlement agreement under Order XXIII Rule 3 of the CPC.
The main legal point established in the judgment is the court's authority to decree a suit based on a settlement agreement under Order XXIII Rule 3 of the Code of Civil Procedure.
The acknowledgment of patent validity and early settlement entitles the plaintiff to a full refund of court fees under CPC Order XXIII Rule 3.
Settlement terms enforceable under CP Code, where defendant acknowledges patent validity and agrees to refrain from infringing activities.
Enforcement of settlement terms under Order XXIII Rule 3 of CPC and decreeing of the suit in terms of the settlement
The court upheld the settlement agreement as lawful and binding, leading to the decree of the suit in terms of the settlement.
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