IN THE HIGH COURT OF DELHI
Vibhu Bakhru, Amit Mahajan, JJ.
Maan Pharmaceuticals Ltd. - Appellant
Versus
Mindwave Healthcare Pvt. Ltd. - Respondent
FAO(COMM) 78 of 2022
Decided On : 12-09-2022
| Table of Content |
|---|
| 1. appellant aggrieved by dismissal of application. (Para 1 , 2) |
| 2. jurisdiction based on trademark ownership and business location. (Para 3 , 4) |
| 3. lack of jurisdiction challenge on grounds of office location. (Para 5 , 25 , 34) |
| 4. trial court's decision and findings. (Para 6 , 8 , 9) |
| 5. trial court's dismissal of application on jurisdiction. (Para 7) |
| 6. territorial jurisdiction governs trademark infringement suits. (Para 10 , 12 , 14 , 16) |
| 7. legal framework for jurisdiction assessment. (Para 11 , 18 , 27) |
| 8. cause of action must be established within jurisdiction. (Para 13 , 19 , 22) |
| 9. quia timet principles: apprehension as cause for action. (Para 15 , 20 , 29) |
| 10. rejection of procedural objections does not bar the suit. (Para 28 , 35 , 39) |
| 11. recognition of quia timet actions for trademark infringement. (Para 30 , 31) |
| 12. merit of apprehension in trademark infringement lawsuits. (Para 32 , 33) |
| 13. non-filing of legal documents does not negate injunction rights. (Para 38) |
| 14. appeal dismissed; trial court's order upheld. (Para 40) |
JUDGMENT
Amit Mahajan, J.
1. The appellant (hereinafter `MAAN') has filed the present appeal, aggrieved by an order dated 07.12.2021 (hereinafter `the impugned order') passed by the learned District Judge (Commercial Court-02), Saket Courts - South District, New Delhi (hereinafter `the learned Trial Court'), whereby the application filed by the appellant (defendant) under Order VII Rules 10 and 11 of Code of Civil Procedure, 1908 (hereinafter `the CPC'), was dismissed.
2. The respondent, M/s Mindwave Healthcare Pvt. Ltd. (hereinafter `MINDWAVE'), filed a suit against MAAN, inter alia, seeking permanent injunction restraining MAAN from using the trademark "BUPROEX-N". MINDWAVE claims to be the registered owner of the said trademark and it alleged unauthorized use of the said trademark by MAAN.
3. MINDWAVE, for the purpose of territorial jurisdiction of the learned Trial Court at Saket, pleaded as under:
"19. That this Hon'ble Court has jurisdiction to entertain the present suit arising out of the suit for infringement as Plaintiff is registered owner of the Trademark and Plaintiff is carrying on the business from the place within the territorial jurisdiction of this Hon'ble Court having principle office for sale, distribution &control within the territorial jurisdiction of this Hon'ble Court. Defendant is all set to launch the product under impugned trademark BUPROEX within the territorial jurisdiction of this court and in fact, is negotiating various traders within the jurisdiction of this Hon'ble Court as a direct challenge to Plaintiff. The threat perceived by Plaintiff is also extended to the place within the territorial jurisdiction of this court. In the case of registered trademark section 134 of the Trademark Act. 1999, specifically confers the jurisdiction at the place where Plaintiff resides and carries on their business. Hence the Hon'ble Court has the jurisdiction to entertain and try the instant suit as the present suit is for infringement of the registered trademark of Plaintiff."
(emphasis supplied)
4. However, MAAN took a preliminary objection and filed an application under Order VII, Rules 10 and 11 read with Section 151 of the CPC seeking return of the plaint due to lack of territorial jurisdiction and the alleged non-compliance by MINDWAVE, in terms of the directions/guidelines prescribed by this Court in the case of Amrish Aggarwal v. M/s Venus Home Appliances Pvt. Ltd., 2019 SCC OnLine Del 9966. MAAN pleaded that MINDWAVE only has a sales office within the territorial jurisdiction of the learned Trial Court at Saket and the registered office of MINDWAVE is located in Mangol Puri Industrial area, which is outside the territorial jurisdiction of the learned Trial Court at Saket.
5. MAAN contended that even though the registered office of MINDWAVE has now been shifted to Neb Sarai, which is within the territorial jurisdiction of the learned Trial Court at Saket, h
The territorial jurisdiction for trademark infringement suits is based on where the plaintiff conducts business, and genuine apprehension of infringement constitutes valid cause of action.
Jurisdiction for trademark infringement suits requires courts to accept plaint allegations as true; future apprehension of infringement can establish justiciability.
Application under Order VII Rule 10 of CPC is to be decided on a demurrer by accepting all statements made in plaint to be true.
The main legal point established in the judgment is that the mere apprehension of the plaintiff or its perception of a threat of infringement by the defendants within the local limits of the court is....
The interpretation of the expression 'carries on business' in the context of the plaintiff under the Trade Marks Act, 1999 and the Copyright Act, 1957, and the restrictions on the plaintiff's right t....
Territorial jurisdiction in trademark infringement cases requires proof of actual sales in the jurisdiction, not mere trap transactions, supported by relevant documentation.
The main legal point established is that a suit for trademark infringement can be instituted before a court within the territorial jurisdiction of the plaintiff's business, as per Section 1341 of the....
The main legal point established in the judgment is that the mere accessibility of a website in a particular jurisdiction does not automatically confer territorial jurisdiction, and real commercial t....
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