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IN THE HIGH COURT OF DELHI
Prathiba M. Singh, J.
TM 25 Holding BV - Appellant
Versus
Uma Manja Shivappa - Respondent
CS (COMM) 78 of 2021 & I.As. 2346 of 2021, 9196 of 2021
Decided On : 28-04-2022




Trademark registered users have rights against similar marks when prior use and reputation are established, and deliberate infringement can lead to damages awarded.

Headnote:(A) Trade Marks Act, 1999 - Sections 29 and 34 - Trademark infringement - Plaintiff's registered mark 'G-STAR' protected due to prior use and reputation, while Defendant used 'GS STAR', identical and deceptively similar - Interim injunction issued to stop usage; non-compliance led to contempt proceedings. (Paras 2-3, 8-11)

(B) Suit for damages - Defendant's use after opposition filing suggests deliberate infringement; damages of Rs.10,00,000/- awarded alongside Rs.3,50,000/- litigation costs. (Paras 15-16)

(C) Reliefs granted are decisive against the Defendant for prior user rights of the Plaintiff. (Paras 14-17)

Facts of the case:
Plaintiff established rights to mark 'G-STAR' since 1989 and filed suit for trademark infringement against Defendant's use of 'GS STAR' which was similar enough to cause confusion. Registration of Plaintiff's marks has been maintained, and Defendant continued to use the disputed mark despite an injunction and knowledge of opposition proceedings.

Findings of Court:
Plaintiff's ownership and continuous use of 'G-STAR' since 1989 substantiated; deliberate violation of injunction by Defendant noted.

Issues: The court assessed trademark similarity, prior use claims, and the legitimacy of the Plaintiff’s rights over the mark 'G-STAR' compared to the Defendant's mark 'GS STAR'.

Ratio Decidendi: Court emphasized deliberate infringement by Defendant despite awareness of the registered mark 'G-STAR', leading to a summary judgment favoring the Plaintiff.

Result: Suit decreed in favor of the Plaintiff with damages and costs awarded against the Defendant.

Table of Content
1. plaintiff's trademark rights established. (Para 2 , 3)
2. contempt of injunction order by defendant. (Para 4 , 6)
3. deliberate infringement identified. (Para 5 , 11 , 12)
4. damages and costs awarded to plaintiff. (Para 8 , 9 , 10 , 15 , 16 , 17)
5. summary judgment empowered by court. (Para 13 , 14)

JUDGMENT

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

I.A. 9196/2021(u/O XXXIX Rule 2A CPC)

2. The present application has been filed by the Plaintiff on the ground that the Defendant has not complied with the injunction order dated 16th February, 2021 passed by the ld. Single Judge of this Court. The brief background of the case is that the Plaintiff had instituted the present suit seeking protection of its trademark `G-STAR' which was adopted by it in 1989 for various apparel, including jeans, tops and other clothing, as well as a diverse line of luxury accessories, etc. The Plaintiff had also opened its store in India in July 2015. The Plaintiff was earlier using the mark `GAPSTAR' earlier and switched to `G-STAR' IN 1994. The mark `GSTAR' is also registered in favour of the Plaintiff in India under various classes.

3. In June 2020, the Defendant was found to be using `GS STAR' for apparel and has also filed an application dated 21st November, 2018 before the trademark registry bearing no.4003995 for the registration of the same for the same class of products as that of the Plaintiff on a `proposed to be used' basis. The products of the Defendant were also found to be advertised and promoted on www.indiamart.com and www.justdial.com. It was in this background that this Court had granted an interim injunction on 16th February, 2021 in the following terms:

    "12. Considering the averments in the plaint and the documents filed, the plaintiff has made out a prima facie case in its favour and in case, no ex-parte ad- interim injunction is granted, the plaintiff would suffer an irreparable loss. The balance of convenience also lies in favour of the plaintiff and against the defendant.

    13. Consequently, till the next date of hearing, the defendant, his partners, agents, servants, distributors and any other persons acting for and on behalf of the defendant are restrained from using in the course of trade the mark 'GS STAR' including in any stylized representations, and from selling, offering for sale, manufacturing, advertising, importing, exporting, or in any manner commercially dealing in any goods, whether offline or online, bearing the impugned mark or any other mark identical or deceptively similar to plaintiff's 'G-STAR' trade marks amounting to infringement of the plaintiff's registered trade marks.

    14. Compliance under Order XXXIX Rule 3 CPC be done within one week."

4. A Local Commissioner was appointed on 16th August, 2021 as the Defendant was not complying with the above injunction order. The Commission was since executed, but the Local Commissioner could not find any products with the mark `GS STAR' in the premises of the Defendant. The Defendant was shown to have used the new board by the name `Higher Fields Way 2 Journey' for its apparels. Photographs were placed on record by the Local Commissioner of the apparels and the board with the name `Higher Fields Way 2 Journey'. However, in the present application, the contention of the Plaintiff is that the Defendant has not been complying with the injunction order dated 16th February, 2021. The said application is based on the affidavit of an independent investigator-Nripendra Kashyap, who visited the Defendant's premises in June, 2021. The investigator's affidavit shows the followings:

i. Listings on www.indiamart.com and www.justdial.com of the Defendant being continued.

ii. Photographs of the Defendant's premises along with the products, labels and tags bearing the mark `GS STAR'.

5. The Court has perused the application under Order XXXIX Rule 2A CPC and the report of the Local Commissioner. It is noticed by the Court th

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