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IN THE HIGH COURT OF DELHI
Navin Chawla, J.
Nirma Limited - Appellant
Versus
Purnima Gupta - Respondent
C.O. (COMM.IPD-TM) 292 of 2022
Decided On : 28-09-2022




Well-known trade marks enjoy protection against deceptive similarity, and prior users can seek cancellation of later registrations that cause confusion or dilution.

Headnote:(A) Trade Marks Act, 1999 - Sections 2(1)(zg) and 11(2) - Trade mark rectification - Petitioner seeks cancellation of the mark 'NIMA' registered in favor of respondent based on prior use and establishment of 'NIRMA' as a well-known trade mark. Petitioner has been using 'NIRMA' since 1969 and 'NIMA' since 1982; respondent claims use since 2000 but evidence suggests otherwise. Court finds marks to be deceptively similar, leading to likelihood of confusion among consumers and potential dilution of the petitioner's mark. Registration of mark 'NIMA' is cancelled. (Paras 26, 31, 32)

(B) Well-known Trade Marks - Definition under Section 2(1)(zg) of the Act and prejudice against their use explained. (Paras 27, 28)

(C) Deceptive Similarity - Test for determining similarity between marks and consequences on market identity discussed. (Paras 30, 31)

Facts of the case:
The petitioner, a long-time user of the marks 'NIRMA' and 'NIMA', sought cancellation of the respondent's registration of 'NIMA', claiming deceptive similarity and potential market confusion.

Findings of Court:
The mark 'NIMA' is removed from the Register due to its deceptive similarity to the petitioner's well-established 'NIRMA' mark.

Issues: The primary issues addressed were the prior use and deceptive similarity of the marks.

Ratio Decidendi: The court ruled in favor of the petitioner, emphasizing the likelihood of consumer confusion and dilution of a well-known mark resulting from the respondent's registration of 'NIMA'.

Result: Rectification petition allowed.

Table of Content
1. background on trademark usage and registration (Para 3 , 4 , 5 , 6 , 8 , 10 , 11)
2. introduction of the dispute over trademark registration (Para 12 , 13)
3. arguments against respondent's trademark registration (Para 17 , 18 , 19 , 20 , 21 , 22)
4. court’s analysis of trademark similarity and reputation (Para 24 , 25 , 26 , 30 , 31)
5. final judgment allowing petition and cancelling the mark (Para 32 , 33)

JUDGMENT

Navin Chawla, J. The present rectification petition has been filed by the petitioner seeking the rectification/removal of the trade mark `NIMA' bearing application no. 934534 in Class 14, registered in favour of the respondent no. 1 for `precious metals and their alloys and goods in precious metals of coated therewith (except cutlery, forks and spoons) jewellery, precious stones'. The mark of the respondent no.1 is reproduced herein below:

2. The respondent no.2 is the Registrar of Trade Marks, who has granted said registration in favour of the respondent no.1.

FACTUAL BACKGROUND

3. It is the case of the petitioner that the petitioner's predecessor-in-title coined and adopted the trade marks `NIRMA' and `NIMA' in the years 1969 and 1982, respectively. The trade mark `NIRMA' was coined and adopted from the name of the petitioner-company's founder-promoter's daughter `Nirupama' and the trade mark `NIMA' was coined and adopted by dropping the letter `R' from the trade mark `NIRMA'.

4. The petitioner-company has been using the trade marks `NIRMA' and `NIMA' for various trade segments such as toilet soaps, detergents, liquid blue, scouring bar, shampoo, toothpaste and other chemicals, tea, salt, spices and other food supplements. The business activities of the petitioner also extend to cleaning preparations or chemicals, tea, salt, spices and other food supplements. The petitioner is also involved in business activities such as packing, marketing and distributing a variety of goods such as clocks, flour mills, gold and silver coins and other goods falling under Class 14, match boxes, garments like T-shirts, caps and other products. The petitioner claims that it has also started the expansion of its articles into various other industries such as buildings materials, various chemicals et cetera. The petitioner gives a list of group companies registered and a Trust created with mark `NIRMA' and `NIMA', in paragraph 6 of the present rectification petition.

5. The petitioner has also provided details of the year-wise statement of export sales of goods bearing the mark `NIRMA' up until the filing of the present rectification petition in paragraph 9 of the petition. The petitioner further provides details of year-wise sales and advertisement expenditure of goods bearing the trade marks `NIRMA' and `NIMA', incurred on publicity in different media such as TV and print, the details whereof are provided in paragraph 10 of the petition.

6. The petitioner is the registered proprietor of the trade marks `NIRMA' and `NIMA', in all trade mark classes, including Class 14. The details of the petitioner's trade mark registrations under the provisions of the Trade Marks Act, 1999 (in short, `the Act') in Class 14 are as under:

Sr. No.Trademark No.TrademarkStatusDate of Application
1.823336NIMARegistered15/10/1998
2.946625NIMARegistered09/08/2000
3.422859NIRMARegistered05/06/1984
4.713466NIRMARegistered13/06/1996
5.713467NIRMARegistered13/06/1996
6.946624NIRMARegistered09/08/2000

7. It is the case of the petitioner that the trade marks `NIRMA' and `NIMA' have been used by the petitioner continuously, openly and uninterruptedly in not only Indian but also in international markets for goods and services falling under Classes 1 to 42, with `NIMA' being a registered mark in all classes except Class 41, which at the time of filing the rectification petition before the erstwhile-learned Intellectual Property Appellate Tribunal (in short, `IPAB') was still pending for registration.

8. The petitioner claims that its mark `NI

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