IN THE HIGH COURT OF DELHI
Manmohan, Navin Chawla, JJ.
Britannia Industries Ltd. - Appellant
Versus
ITC Ltd. - Respondent
FAO(OS) (COMM) 65 of 2021 & CM Appl. 14813 of 2021 and FAO(OS) (COMM) 66 of 2021 & CM Appl. 14816 of 2021
Decided On : 04-08-2021
| Table of Content |
|---|
| 1. impugned and modified product packaging details. (Para 2 , 3) |
| 2. dismissal of interim applications. (Para 4) |
| 3. amicable resolution of disputes and agreed terms. (Para 5) |
| 4. setting aside of the impugned order and conclusion of appeals. (Para 6) |
| 5. signing of order by advocates as token of acceptance. (Para 7) |
JUDGMENT
Manmohan, J. (Oral)--The appeals have been heard by way of video conferencing.
2. The present appeals arise from the impugned order/judgment dated 05th April, 2021 passed in I.A Nos. 12115/2020 in CS(COMM) 553/2020 and I.A No. 12125/2020 in CS(COMM) 554/2020, which were filed impugning the packaging of the Respondent No.1/Defendant No.1 depicted hereinbelow:
| Product Description | Impugned Packaging in CS(COMM) No. 553 of 2020 |
| Sunfeast Farmlite 5-Seed Digestive (Pillow Packaging) | ![]() |
| Sunfeast Farmlite 5-Seed Digestive (Box Packaging) | ![]() |
| Sunfeast Farmlite Veda Digestive (Pillow Packaging) | ![]() |
| Sunfeast Farmlite Veda Digestive (Box Packaging) | ![]() |
3. During the pendency of the suits, the Defendant No.1/Respondent No.1 modified the packaging of the products in question, namely, `Sunfeast Farmlite 5-Seed Digestive' and `Sunfeast Farmlite Veda Digestive', and released the same into the market. This modified packaging is depicted hereinbelow:
| Product Description | Modified Packaging in CS(COMM) No. 553 of 2020 |
| Sunfeast Farmlite 5-Seed Digestive (Pillow Packaging) | ![]() |
| Sunfeast Farmlite 5-Seed Digestive (Box Packaging) | ![]() |
| Sunfeast Farmlite Veda Digestive (Pillow Packaging) | ![]() |
| Sunfeast Farmlite Veda Digestive (Box Packaging) | ![]() |
4. Vide the impugned order/judgment dated 5th April, 2021, the learned Single Judge dismissed I.A Nos. 12115/2020 in CS(COMM) 553/2020 and I.A No. 12125/2020 in CS(COMM) 554/2020, thereby giving rise to the present appeals.
5. The parties have now amicably resolved the matter as per the following agreed terms:
i. The Respondents shall not use the product packaging impugned in the Suits bearing CS(COMM) No. 553/2020 and CS(COMM) No. 554/2020 as depicted hereinabove in para 2.
ii. The Respondents have modified their packaging of the products `Sunfeast Farmlite 5-Seed Digestive' and `Sunfeast Farmlite Veda Digestive' which are already in the market. The same have been reproduced hereinabove in para 3.
iii. The Appellant has no objection to the use of the modified packaging of the Respondents as depicted hereinabove.
iv. In consideration of the above acknowledgments by the Respondents, the appellant gives up its claim for rendition of accounts, damages, costs etc.
v. The parties further agree that the present appeals be disposed of and the Suits bearing CS(COMM) No. 553/2020 and CS(COMM) No. 554 of 2020 be decreed in terms of the above.
6. Consequently, the impugned order dated 5th April, 2021 passed in I.A Nos. 12115/2020 in CS(COMM) 553/2020 and I.A No. 12125/2020 in CS(COMM) 554/2020 is set aside and the same shall not be treated as a precedent. The questions of law raised in the present appeals are left open. Further both the Civil Suits being CS(COMM) 553/2020 and CS(COMM) 554/2020 are withdrawn to this Court and decreed in terms hereinabove but without any order as to costs. Accordingly, the present appeals along with pending applications and CS(COMM) 553/2020 as well as CS(COMM) 554/2020 stand disposed of.
7. The Advocates on Record for both the parties are directed to sign the today's order sheet as a token of acceptance of the terms mentioned hereinabove. The order be uploaded on the website forthwith. Copy of the order be also forwarded to the learned counsel through e-mail.
The court recognized the validity of amicable resolutions in intellectual property disputes, allowing modifications in packaging while dismissing prior claims for damages.
Amicable settlement between parties – Dispute regarding Packaging of products - Impugned order set aside and the same shall not be treated as a precedent.
Litigation may be effectively disposed of when the respondent voluntarily modifies the impugned conduct to satisfy the appellant's concerns, thereby rendering the underlying cause of action non-exist....
The court modified the stay order to prevent consumer deception due to the defendant's imitation of the plaintiff's trademark packaging.
Trademark infringement and passing off claims are assessed based on overall consumer confusion and not merely by direct comparison of marks.
The main legal point established in the judgment is that an amendment application for including averments regarding infringement of registered trademarks may be allowed if it is based on the same cau....
The main legal point established in the judgment is the balance of equities between the parties and the maintenance of public interest in permitting the sale of existing stock in trademark infringeme....
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