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IN THE HIGH COURT OF DELHI
Sanjeev Sachdeva, Tushar Rao Gedela, JJ.
GM Modular Private Limited - Appellant
Versus
Syska Led Lights Private Limited - Respondent
FAO(OS) (COMM) 302 of 2022
Decided On : 16-11-2022




The presumption of receipt under Rule 3 establishes that an application is deemed filed when sent, and overlapping claims in design and trademark are permissible for registration.

Headnote:(A) Designs Act, 2000 - Section 22 - Appellant filed a suit seeking permanent injunction for design infringement, asserting prior registration - Respondent argued design was not novel and was prior published - The Single Judge dismissed the plaintiff's application and allowed defendant's under CPC Rule 4 - Appellant claimed prior use of design necessitated registration and rebutted public disclosure arguing burden rests on respondent to prove otherwise. (Paras 7, 12, 26, 29)

(B) The presumption of receipt under Rule 3 establishes that an application is deemed filed when sent, irrespective of the stamp date. (Paras 15, 17)

(C) The overlapping claims in design and trademark do not preclude registration under Section 2(d) of the Designs Act. (Paras 31, 32)

Facts of the case:
The appellant alleged infringement by the respondent of its registered LED design, claiming it was the originator while the respondent countered with evidence of prior publication and usage.

Findings of Court:
The court upheld the Single Judge's findings, emphasizing the onus on the appellant to demonstrate public disclosure of the design, rejecting the appeal based on prima facie evidence.

Issues: The court addressed whether the design was novel, the burden of proof regarding prior publication, and the permissibility of overlapping claims in design and trademark registration.

Ratio Decidendi: The court determined that the appellant failed to sufficiently prove that the design was both new and had not been publicly disclosed prior to the application.

Result: Appeal dismissed.

Table of Content
1. injunction for design infringement (Para 6 , 7 , 8)
2. arguments on design originality (Para 9 , 10)
3. trademark and design overlap (Para 11 , 12)
4. document filing and presumption (Para 13 , 14 , 15 , 16)
5. definition of trademark usage (Para 17 , 18 , 19 , 20)
6. disclosure in public domain (Para 21 , 22)
7. pre-publication arguments (Para 23 , 24 , 25)
8. cancellation grounds for designs (Para 26 , 27 , 28)
9. dismissal of appeal (Para 29 , 30)
10. open questions for further adjudication (Para 31 , 32)

JUDGMENT

Sanjeev Sachdeva, J. (Oral)

C.M. APP No. 46566/2022 (seeking exemption)

1. Allowed, subject to all just exceptions.

2. Application stands disposed of.

FAO (OS) (COMM) 302/2022 & C.M. APP No. 46565/2022 (seeking stay)

3. Issue notice.

4. Notice is accepted by learned counsel appearing for the Respondent.

5. With the consent of the parties, the appeal is taken up for final disposal today itself.

6. Appellant impugns order dated 22.08.2022 whereby the application filed by the appellant/plaintiff under Order XXXIX Rule 1 and 2 CPC has been dismissed and the application filed by the respondent/defendant under Order XXXIX Rule 4 CPC has been allowed.

7. The appellant/plaintiff had filed the subject suit under Section 22 of the Designs Act for permanent injunction restraining infringement of a registered design of the plaintiff in 'LED Surface Light'. By ex parte ad interim injunction dated 12.02.2021 an injunction was granted in favour of the appellants against the respondent, restraining them from manufacturing, marketing, selling and using etc. the impugned goods, for applying the subject design on the impugned goods deceptively similar to the registered design of the appellant.

8. Since an issue was with regard to infringement of a design, the matter stood transferred to the IPD Division of this Court.

9. Subject application under Order XXXIX Rule 4 CPC was filed by the respondent, inter alia, contending that the design was neither novel nor unique and also that the design was a prior published design, prior to the filing of the application for registration of the design. Reliance was placed by the respondent on a trademark application filed by the appellant TM-A seeking registration of the trademark in the shape of the good wherein the appellant in the column of statement as to use of mark has stated as under:

Class:11Description: Apparatus for lighting.
STATEMENT AS TO USE OF MARKThe mark is used by the applicant or its predecessor in title since 06/04/2016 in respect of the goods and services mentioned in the application

10. It is contended that the appellant was not the originator of the design and was simply an importer from China, from a manufacturer who was supplying the same design.

11. Learned counsel for the respondent submits that once a design is used as a trademark, it cannot be registered as a design.

12. Learned Single Judge has rejected the contention of the respondent that merely because a design is used as a trademark, it cannot be registered as the design. The impugned order has held that the appellant/plaintiff has not placed on record any document or agreement to show that the product was being manufactured from a Chinese manufacturer on a job work basis and it was for the plaintiff to show that it is the author of the design or that it satisfied the conditions mentioned in Section 2-J of the Designs Act, 2000, which has not been done.

13. With regard to the contention of learned counsel for the respondent that the design was prior published, it is disputed by learned counsel for the appellant who contends that though in the trademark application, it is mentioned that the mark was used since 06.04.2016, the same would not amount to disclosing the design to public as a mere generic plea of user would not amount to a public disclosure. He submits that there could be an instance of the mark being used on a product or design being used on a product but that the produ

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