IN THE HIGH COURT OF DELHI AT NEW DELHI
C. Hari Shankar, J.
Raghav Lifestyle Products Unit Ii - Appellant
Versus
Suzan Michael Pany Proprietor M/s Suhaan Enterprise - Respondent
CS(COMM) 802 of 2023
Decided On : 08-12-2023
Settlement - Trademark Dispute - The court found the terms of settlement to be lawful and in order, and decreed the suit in terms of the settlement, binding the parties to abide by the terms.
Fact of the Case:
The dispute between the parties stands settled through a joint application under Order XXIII Rule 3 of the CPC, and the court found the terms of settlement to be lawful and in order.
Finding of the Court:
The court decreed the suit in terms of the settlement, binding the parties to abide by the terms.
Issues:
Ratio Decidendi: The court analyzed the terms of settlement and found them to be lawful and in order, leading to the decree of the suit in terms of the settlement.
Final Decision: The suit stands decreed in terms of the settlement arrived at between the parties, and the plaintiff is entitled to a refund of 50% of the court fees deposited.
ORDER (ORAL)
C. HARI SHANKAR, J.
I.A. 24632/2023 (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 CPC has been moved.
2. Mr. Sachin Gupta, learned Counsel for the plaintiff, and the defendant is present in person.
3. The terms of settlement, as contained in para 2 of the application, read thus:
2. The parties above named have arrived at an amicable settlement of their disputes on the following terms and conditions:
a. The Defendant above named hereby recognize the Plaintiff to be the proprietor of the trade marks/label , and 'AJAY' (word); thereby having the exclusive right to the use of the said trade marks.
b. The Defendant undertake to refrain themselves, their partners, proprietors, their assignees in business, licensees, franchisee, distributors, dealers, stockiest, retailers, servants, agents from manufacturing, selling, offering for sale, advertising, directly or indirectly dealing in goods namely - tooth brushes, tooth brush cases, tooth pastes, shaving brushes etc. under the impugned mark/label and, or any other marks which may be deceptively similar to the Plaintiff's registered trade marks/label
and 'AJAY' formative marks;
c. The Defendant confirm that they will cease any unauthorized use of the mark/label 'AJU' and its variants. The Defendant will refrain from applying for registration of deceptively similar marks to Plaintiff's registered trade marks/label AJAY and AJAY formative marks.
d. The Defendant confirms that they shall file an appropriate application seeking cancellation of their registration under no. No. 5382180 dated 24.03.2022 obtained on a proposed to be used basis for goods namely tooth brushes, tooth brush cases etc. falling in class 21, within a period of one week of the recording of the present compromise application;
e. The Defendants confirm that they do not have any existing stocks of finished products bearing the impugned marks;
f. The aforementioned undertakings have been tendered by Defendant namely M/s Suhaan Enterprise represented by Suzan Michael Pany who is also authorized to represent Defendant in this matter, therefore, the same shall be binding on all the Defendant's assignees in business, franchisees, licensees, distributors, dealers and agents for all times to come.
4. The Court has perused the terms of settlements and find them to be lawful and in order.
5. Mr. Sachin Gupta on behalf of his client and Ms. Suzan Michael Pany, who appears in person undertake to abide by the terms of settlement.
6. As such, the dispute does not survive for consideration.
7. The suit stands decreed in terms of the aforesaid settlement arrived at between the parties by which they shall remain bound.
8. Let a decree sheet be drawn up by the Registry accordingly.
9. The plaintiff shall be entitled to refund of 50% of the court fees deposited by it.
10. The next dates already fixed in the matter stand cancelled.
11. Mr. Sachin Gupta prays for refund of the entire 100% of court fees and submits that there are earlier decisions of this Court which, relying on a judgment of the Supreme Court, have directed refund of the entire court fees even where the settlement is arrived at between the parties without mediation.
12. He is permitted to file an appropriate application in that regard for payment of balance court fees, if he is so advised.
The court applied Order XXIII Rule 3 of the CPC to decree the suit in terms of the settlement reached between the parties.
The court upheld the settlement reached under Order XXIII Rule 3 of the CPC, recognizing the plaintiff's rights and binding the parties to the agreed terms.
The court has the authority to examine and decree a suit based on the terms of settlement between the parties under Order XXIII Rule 3 of the CPC.
The court upheld the settlement agreement as lawful and binding, leading to the decree of the suit in terms of the settlement.
Settlement of disputes and acknowledgment of terms of settlement by the parties can lead to the court decreeing the suit in favor of the settling party.
Settlement agreements under Order XXIII Rule 3 CPC can lead to the decreeing of a suit in accordance with the terms of the settlement, effectively resolving the disputes between the parties.
The main legal point established is the enforceability of the terms of settlement under Order XXIII Rule 3 of the CPC in settling the trade mark dispute.
Mutual agreement between parties led to the cessation of trademark infringement and settlement terms binding on all parties involved.
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