SupremeToday Landscape Ad
Back
Next
Judicial Analysis Court Copy Headnote Facts Arguments Court observation
Listen Audio Icon Pause Audio Icon
judgment-img



IN THE HIGH COURT OF DELHI
Prathiba M. Singh, J.
Akhil Bhartiya Kayastha Mahasabha - Appellant
Versus
Akhil Bhartiya Kayastha Mahasabha - Respondent
CM(M)-IPD 2 of 2021 & CM Appl. 27383 of 2020
Decided On : 23-03-2022




Disputes concerning intellectual property rights, even if parties are not engaged in trade, are classified as commercial disputes under the Commercial Courts Act, 2015.

Headnote:(A) Commercial Courts Act, 2015 - Section 2(1)(c) - Dispute concerning intellectual property rights relating to unregistered trademark - The Commercial Court ruled that the dispute is not a commercial dispute as the plaintiff was deemed to be not engaged in trade - However, the court found that the claim regarding the mark ‘Akhil Bhartiya Kayastha Mahasabha’ is indeed a commercial dispute as defined under Section 2(c)(xvii). (Paras 3, 7, 8)

(B) The court emphasized that disputes concerning intellectual property rights, even if the claimant is not engaged in trade, can still be classified as commercial disputes under the Act.

Findings of Court:
The impugned order of the Commercial Court is unsustainable and is set aside. The suit shall be restored and listed for further proceedings.

Issues: The main issue addressed was the misclassification of the dispute not being a commercial one despite it involving intellectual property rights.

Ratio Decidendi: The classification of disputes regarding intellectual property rights as commercial is not contingent upon the commercial activities of the parties involved; hence, the original order was erroneous.

Result: Appeal allowed.

JUDGMENT

Prathiba M. Singh, J. (Oral)--This hearing has been done through hybrid mode.

2. None appears for the parties.

3. The present petition challenges the order dated 23rd January, 2020 in CS(COMM) 181/2019 titled Akhil Bhartiya Kayastha Mahasabha v. Yogendra Nath Srivastava passed by the Ld. District Judge (Commercial Court), Dwarka Courts, New Delhi (hereinafter "Commercial Court"). Vide the said order, the Commercial Court has held that the dispute raised in the suit is not a commercial dispute within the meaning of section 2(1)(c) of the Commercial Courts Act, 2015 (hereinafter "Act"). The Commercial Court reasoned that since the Petitioner/Plaintiff society is not involved in any trade or commercial activities and is only rendering social services there would be no transaction in the present suit which would fall in the category of commercial dispute. The relevant extract of the impugned order reads as under:

"A conjoint reading of Section 2(c)(i) with Section 2(c)(xvii) and the statement of objects and reasons shows that the commercial courts are to deal with the commercial dispute especially those engaged in trade and commerce. The plaintiff is not stated to be involved in any trade and commerce. In the present case, there is no such transaction, which would fall in the category of commercial transaction or commercial dispute.

In view of above, the suit is not a commercial dispute within the meaning of Section 2(1)(c) of the Commercial Courts Act, 2015. The file be sent back to the court of Ld. ADJ-02/SW/Dwarka Courts for disposal in accordance with law. Plaintiff to appear before the court of Ld. ADJ-02/SW/Dwarka Courts on 30.01.2020 at10.00 am, the date as prayed for."

4. In this matter, notice was issued to Respondent No.2 & 3 vide order dated 19th November, 2020. However, till date the Plaintiff has not taken steps to serve the Respondents/Defendants and Process fee has also not been filed.

5. A perusal of the suit itself shows that the Plaintiff seeks protection of its mark `Akhil Bhartiya Kayastha Mahasabha' and an injunction is sought against the Defendant from using the said mark/name.

6. The suit was instituted on 4th November, 2019 and a perusal of the order sheets of the Commercial Court would show that the matter was adjourned on a few occasions and summons/notice was not issued to the Defendants. Finally, vide the impugned order the Commercial Court has held that in terms of the Act, the dispute in the suit is not a commercial dispute.

7. A perusal of Section 2(c)(xvii) Act shows that all disputes which are raised covering intellectual property rights relating to registered, and unregistered trademark, copyright, patent, design, domain names, geographical identifications, and semiconductor integrated circuits are commercial disputes.

8. The Plaintiff, in the present case, claims rights in respect of the mark `Akhil Bhartiya Kayastha Mahasabha'. It is the case of the Plaintiff that it helps disabled and physically challenged persons and renders various social services. The dispute in question is related to the name/mark `Akhil Bhartiya Kayastha Mahasabha' itself which is pending before the Trade Mark Registry bearing Application No. 3651016 for the registration of a device mark. The Defendants have adopted the mark/name `Akhil Bhartiya Kayastha Mahasabha' which is an identical name, because of which the Plaintiff is aggrieved. The substance of the dispute is clearly an intellectual property rights dispute relating to an unregistered mark/name. Irrespective of the constitution of the Plaintiff or the Defendants, the same would be a commercial dispute in terms of Section 2(c)(xvii) of the Commercial Courts Act, 2015. Clearly, the Commercial Court has erred in holding that the same is not a commercial dispute as the Plaintiff was not involved in trade and commerce.

9. Under such circumstances, the impugned order is not sustainable in the opinion of the Court. The same is set aside.

10. The

Click Here to Read the rest of this document
1
2
3
4
5
6
7
8
9
10
11
Judicial Analysis

AI

SupremeToday Portrait Ad
supreme today icon
logo-black

An indispensable Tool for Legal Professionals, Endorsed by Various High Court and Judicial Officers

Please visit our Training & Support
Center or Contact Us for assistance

qr

Scan Me!

India’s Legal research and Law Firm App, Download now!

For Daily Legal Updates, Join us on :

whatsapp-icon Back to top