IN THE HIGH COURT OF DELHI AT NEW DELHI
MINI PUSHKARNA, J.
Diamond Modular Pvt. Ltd. - Petitioner
Versus
Yash Arora As Trading As Siddhi Vinayak Traders And Anr. - Respondents
C.O. (COMM.IPD-TM) 225 of 2021
Decided on : 08-01-2025
(A) Trade Marks Act, 1999 - Sections 11, 57, and 125 - Rectification petition for removal of trademark 'GREEN DIAMOND' registered under No. 4290006 - Petitioner established prior use of the trademark 'DIAMOND' since 1975, acquiring goodwill and reputation - Respondent's adoption of 'GREEN DIAMOND' found to be dishonest and likely to cause confusion - Registration of 'GREEN DIAMOND' cancelled. (Paras 1, 2.1, 2.12, 50, 59)
(B) Passing Off - The court held that the respondent's use of 'GREEN DIAMOND' was an attempt to pass off goods as those of the petitioner, given the prior relationship and similarity of goods. (Paras 49, 50, 12)
Facts of the case:
The petitioner has been using the trademark 'DIAMOND' since 1975 and has established significant goodwill. The respondent, previously a distributor, adopted 'GREEN DIAMOND' in 2020, leading to confusion in the market.
Findings of Court:
The respondent's trademark registration was found to be fraudulent, and the petitioner was entitled to an injunction against the respondent's use of 'GREEN DIAMOND'.
Issues: The main issues included the similarity of trademarks and the likelihood of confusion among consumers.
Ratio Decidendi: The court ruled that the respondent's adoption of 'GREEN DIAMOND' was dishonest, given their prior relationship with the petitioner and the potential for consumer confusion.
Result: The petition was allowed, and the registration of 'GREEN DIAMOND' was cancelled.
| Table of Content |
|---|
| 1. petitioner established prior use (Para 1) |
| 2. petitioner's trademark history (Para 2) |
| 3. petitioner's contention on similarity (Para 3 , 4) |
| 4. respondent's defense (Para 5 , 6) |
| 5. court's review of evidence (Para 7 , 8 , 9 , 10 , 11 , 12 , 13 , 14 , 15) |
| 6. court's ruling on trademark (Para 16) |
| 7. final decision on trademark (Para 17 , 18 , 19) |
JUDGMENT :
MINI PUSHKARNA, J.
1. The present rectification petition has been filed seeking removal/cancellation of the trademark "GREEN DIAMOND" (Device)
registered under No. 4290006 in Class 09 registered in the name of Yash Arora trading as Siddhi Vinayak Traders/respondent no. 1 from the register or rectification of the register under Section 57/125 of the Trade Marks Act, 1999.
2. The case as canvassed by the petitioner, is as follows:
2.1. The petitioner, through its predecessors, is engaged in the business of manufacturing and marketing electrical goods, LED light, switches, and electrical accessories since the year 1975. Petitioner's predecessor adopted and started using the trademark and trade name DIAMOND in relation to their goods and business in the year 1975 itself.
2.2. Over the years, the petitioner's goods and business under the said trademark has seen a consistent growth and has become a household name that i s synonymous with "LED" in India.
2.3. The petitioner has emerged as a multi-edition, multi-product organization, and a clear leader in the segments it operates in, and had a turnover of Rs. 23,70,90,206/- Crores during the Financial Year 2020-2021 in respect of the retail stores under the said trademark.
2.4. The petitioner has acquired formidable goodwill and reputation in the industry under its said trademark by adhering to the highest standard of quality, extensive advertising, and marketing. An illustrative list of the trademark "DIAMOND" duly registered under the Trade Marks Act, 1999 , as given in the petition, is reproduced as under:

2.5. The petitioner is also carrying on its business activities under the said trademark on the internet through its website namely https://www.diamondindia.co.in/ . The petitioner has been using the said domain name in course of trade and as a proprietor thereof in relation to its said goods and business under the said trademark, and has built up a valuable trade, goodwill, and reputation there under.
2.6. The petitioner has built up a valuable trade under its said trademark and conducted handsome business thereunder running into crores of rupees worldwide. The year wise sales figures of the petitioner, under the said trademark, as given in the petition, are as follows:

2.7. The said trademark has become distinctive, associated, and acquired secondary significance with the petitioner and petitioner's said goods a nd business. The purchasing public, the trade and industry at large worldwide and in India identify and distinguish the petitioner's said goods and business under the said trademark with the petitioner's source and origin alone.
2.8. The respondent no. 1 claims to be engaged in the identical trade and business as that of the petitioner. The impugned trade mark "GREEN DIAMOND" (Device)
applied for under Trade Mark No. 4290006 in Class 09 in relation to Electrical Accessories including Wire and Cables, Electrical Conduit, Switch & Switches Accessories etc ., is not registrable under the Act.
2.9. The impugned trade mark is neither distinctive nor capable of distinguishing the impugned goods applied for and nor does it satisfy the requirements of the Trade Marks Act, 1999 as to its registrability.
2.10. The respondent no. 1 by its impugned adoption, registration, and user of the impugned trademark “GREEN DIAMOND” (Device)
is violating the petitioner's said trademarks/labels and thereby infringing or likely to infringe the petitioner's said trademarks/labels and registered copyright, and pass off their goods and business as that of the petitioner.
2.11. The petitioner was not aware of impugned registration as the advertis



The court established that the respondent's trademark 'GREEN DIAMOND' was a dishonest adoption of the petitioner's trademark 'DIAMOND', leading to confusion and passing off, warranting cancellation o....
The court emphasized that prior user rights prevail over subsequent registrations, particularly when malafide intentions to misappropriate goodwill are evident. The removal of confusingly similar tra....
A well-known trademark is entitled to protection against identical and similar marks, as well as dissimilar goods, especially when registration is obtained in bad faith.
Prior use and distinctiveness of a trademark override subsequent registrations, establishing a likelihood of consumer confusion in trademark disputes.
The court ruled that deceptive similarity between competing marks creates a likelihood of consumer confusion and supports injunction against the infringing party.
Prior adoption and user rights establish entitlement to trademark protection, and their absence undermines claims for rectification, regardless of phonetic similarity.
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