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2023 Supreme(Del) 5322

SACHIN DATTA
Viridian Development Managers Private Limited – Appellant
Versus
Rps Infrastructure Limited – Respondent


Advocates appeared:
Mr. Preetesh Kapur, Senior Advocate alongwvith Mr. Shaunak Kashyap, Ms. Nistha Gupta and Mr. Kartikaya Gautam, Advocates, for the Petitioners.
Ms. Priya Kumar, Advocate alongwith Mr. Manu Manchanda and Mr. Kabir Harpalani, Advocates, for the Respondent.

Judgement Key Points

Key Points: - Petition filed under Section 9 of the Arbitration and Conciliation Act seeking injunction against use of trademarks "World Trade Centre Faridabad", "WTC Faridabad", and WTC Logo, and other reliefs (!) (!) (!) - Respondent entered MOU and agreements dated 28.06.2021 with petitioners for rebranding "RPS Infinia" as "WTC Faridabad", with clause stating no right to use brands upon termination (!) (!) (!) (!) - Petitioners terminated agreements via notice dated 12.05.2023 due to breaches and non-payment, demanding cessation of brand use (!) (!) - Court held that upon termination, respondent has no right to use the marks, as continued use by ex-licensee constitutes infringement and deceives public (!) (!) (!) (!) - Delay in approaching court (5 months) does not defeat petitioners' rights, as injunction follows upon established infringement (!) (!) - Court granted interim injunction restraining use of marks, directed switch to non-infringing mark within 3 months, and removal from media (!) (!) (!) - Monetary claims left for arbitral tribunal adjudication (!) - Respondent estopped from challenging brand rights after benefiting from agreements (!) (!)

What are the rights of a party to use brand/marks after termination of agreements?


JUDGMENT

1. The present petition filed under Section 9 of the Arbitration and Conciliation Act, 1996 (the `Act.) seeks the following reliefs:

    "(a) Pass an order thereby restraining the Respondent from using the Trade Marks World Trade Centre, Faridabad; WTC, Faridabad and WTC Logo or any other trademark identical with or deceptively similar thereto, in any manner whatsoever.

    (b) Pass an order thereby directing the Respondent to display hoardings, for such period which this Hon'ble Court may deed fit and proper, at conspicuous places at the sites of its Project named `RPS Infinia' and `12th Avenue' informing public that none of those projects have any connection with World Trade Centre.

    (c) Pass an order thereby restraining Respondent from conducting any sale/booking of any Unit in its Projects named `RPS Infinia' and `12th Avenue' for such period which this Hon'ble Court may deem fit and proper so that trade and public may disassociate the said trademarks (World Trade Centre, Faridabad; WTC, Faridabad and WTC Logo) from respondent;

    (d) Pass an order thereby directing the Respondent herein to deposit an amount of Rs.31,30,71,753/- (Rupees Thirty-One Crore Thirty Lac Seventy-One Thousand

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