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2023 Supreme(Del) 3586

IN THE HIGH COURT OF DELHI AT NEW DELHI
Prathiba M. Singh, J.
Tata Sons Pvt. Ltd. – Appellant
Versus
Mangal Yadav & Anr. – Respondents
CS(COMM) 666 of 2019 and I.A. 773 of 2023
Decided On : 25-08-2023

Advocates appeared:
Mr. Pravin Anand, Mr. Achuthan Sreekumar, Mr. Rohil Bansal & Ms. Apoorva Prasad, Advocates, for the Plaintiff.
Mr Umesh Mishra & Mr Amit Yadav, Advocates, for the Defendant-2.

Trademark infringement and passing off of a well-known mark, and the grant of permanent injunction and damages as remedies.

Headnote:

TATA - Trademark Infringement - [Trade Marks Act, 1999, Section 29, Section 134] - The court granted a permanent injunction restraining the Defendants from manufacturing, selling, or dealing in pressure cookers and packaging material bearing the Plaintiff's well-known trademark 'TATA' or any mark confusingly similar. The court also decreed damages and ordered the destruction of infringing stock and packaging material.

Fact of the Case:

The suit relates to trademark infringement of the mark 'TATA' by the Defendants in relation to the manufacture and sale of pressure cookers. The Plaintiff sought permanent injunction and damages for infringement of their well-known trademark.

Finding of the Court:

The court found that the Defendants had used the mark 'TATA' for pressure cookers, which was violative of the Plaintiff's statutory and common law rights. The court granted a permanent injunction and decreed damages against the Defendants.

Issues: The issues involved trademark infringement, passing off, and dilution of the well-known mark 'TATA'. The court also addressed the admission of documents by the Defendants and the nature of the product requiring high quality control standards.

Ratio Decidendi: The court held that the use of the mark 'TATA' by the Defendants was violative of the Plaintiff's rights and granted a permanent injunction. The court also considered the potential dilution of the TATA brand and the need for quality control in the product.

Final Decision: The court decreed damages and granted a permanent injunction against the Defendants, ordering the destruction of infringing stock and packaging material. The suit and all pending applications were disposed of.

JUDGMENT

1. This hearing has been done through hybrid mode.

2. The present suit relates to the trademark `TATA'.

3. The suit has been filed by the Plaintiff - TATA Sons Pvt. Ltd, which is the principal investor and promoter of the TATA group of companies seeking permanent injunction restraining infringement of registered trademarks and copyrights, passing off, dilution and tarnishment of trademarks, etc.

4. The mark `TATA' is one of the most reputed marks in India. The group was founded by Shri Jamsetji Nusserwanji Tata, which is a rare patronymic name possessing the distinctiveness of an invented word. The use of the mark `TATA' dates back to 1868. The group of Tata companies is generally known as the `House of Tata'. The mark `TATA' is registered in almost all goods and services considering the large expanse of the usage of the said mark. The mark `TATA' has been subject matter of litigation of several cases and injunctions have been granted protecting the mark. The TATA group of companies as on date has a consolidated revenue of $128 Billion. Undoubtedly, the mark `TATA' is a well-known mark.

5. The present suit relates to manufacture of pressure cookers under the mark `TATA' by Defendant No.1 - Mangal Yadav trading as M/s. R.M.I. Enterprise and Defendant No.2 - Sanjeev Jain trading as A&A Packaging. The Defendant No.1 is the manufacturer and seller of the pressure cookers under the mark `TATA'. The cartons and the printing of the packaging was being done by the Defendant No.2. Plaintiff acquired knowledge of the Defendants using the mark `TATA' for pressure cookers sometime in November, 2019. Accordingly, the present suit was filed.

6. Vide order dated 6th December, 2019, an ex-parte ad interim injunction was granted and Local Commissioners were appointed. The said injunction was granted in the following terms.

    "9. Consequently, the defendants are restrained until the next date of hearing from manufacturing or dealing in pressure cookers or any other product or packaging material bearing the plaintiffs trademark 'TATA' or device mark [IMG] or any other mark deceptively similar thereto."

7. Accordingly, local commissions were executed at the premises of the Defendants. Insofar as the Defendant No.2 is concerned, the local commission was conducted on 6th December, 2019. The local commissioner reported that the Defendant No.2 - Mr. Sanjeev Kumar Jain informed him that he had been supplying the packaging with `TATA' mark to Defendant No.1. However, upon being asked by the local commissioner, Defendant No.2 did not produce any invoices or accounts. The Commissioner then inspected the premises and found packaging material for pressure cookers bearing the mark `TATA'. The inventory seized by the said commissioner is to the tune of 1678 pieces of two litres and five litres pressure cookers in cardboard boxes. The mark `TATA' was used in two variant forms in brown and blue colour packaging. The images of some of the infringing packaging material is set out below:

[IMG]

8. Insofar as Defendant No.1 is concerned, the local commission was conducted on 11th December, 2019 - the inventory seized by the commissioner is as under:

INVENTORY

(1)Enclosing Stamp of TATA1 Nos.
(2)TATA Stickers41 Nos.
(3)Unusual TATA packing Material (Cartons)189 Nos
(4)3L Cookers in packaging Bearing TATA Mark on Packaging191 Nos.
(5)5 Cookers in packaging Bearing TATA mark a Packaging404 Nos.

9. Also from the inspection of the Defendant no.1's premises, it was revealed that the mark `TATA' was also being embossed on the pressure cooker itself. The `TATA' stamp, which was found at the Defendant's premises, was also seized by the Local Commissioner.

10. The present application i.e. I.A. 773/2023 has been filed by the Plaintiff seeking summary judgment.

11. Insofar as the Defendant No.1 is concerned, the Defendant No.1 is stated to have filed the written statement and served a copy of the same to ld. Counsel for the Plaintiff. He has also filed an admission

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