Back
2023 Supreme(Del) 12962
IN THE HIGH COURT OF DELHI AT NEW DELHI
PRATHIBA M. SINGH, J.
Tibra Collection – Plaintiff
Versus
Fashnear Technologies Private Limited and Others - Defendants.
CS(COMM) 678/2023 and I.As. 18958/2023, 18959/2023, 18960/2023, 18961/2023
Decided on 27-09-2023
Mr. Anshuman Upadhyay, Mr. Naseem & Ms. Apoorva, Advs. (M:8527200103)
Mr. Sidharth Chopra, Ms. Sneha Jain, Mr. Vivek Ayyagari and Ms. R. Ramya, Advs. for D-1. (M:9845057887)
E-commerce platforms must disclose complete seller information to protect consumer interests and prevent intellectual property infringement.
Headnote:(A) Commercial Courts Act, 2015 - Copyright infringement - Plaintiff seeks ex-parte ad-interim injunction against defendants for unauthorized use of copyrighted garments and images - Complaint includes complete imitation and underpricing causing monetary harm - Defendants allegedly misusing Plaintiff's intellectual property on an e-commerce platform under the guise of lower quality products - Court finds irreparable harm may occur if injunction is not granted, thus ruling in favor of the Plaintiff. (Paras 14, 25, 29)
(B) E-Commerce platforms - Obligations of e-commerce platforms regarding seller information - Court emphasizes the mandatory requirement for platforms to disclose full seller details to protect consumer interests. (Paras 28, 29)
Facts of the case:
Plaintiff, a retailer specializing in clothing items, alleges copyright infringement and unfair competition against known and unknown defendants involved in selling imitative products using Plaintiff's photographs and designs without permission.
Findings of Court:
The Plaintiff has established a case for granting an ex-parte interim injunction due to complete imitation by defendants, which is likely to cause consumer deception and irreparable harm to the Plaintiff. Injunction granted.
Issues: The main issues addressed are whether the Plaintiff has sufficiently demonstrated copyright infringement and whether the injunction should be granted to prevent further harm.
Ratio Decidendi: The court found that the Defendants' actions constituted a misuse of the Plaintiff's intellectual property rights, affecting the Plaintiff's business interests and the rights of consumers. It recognized the need for timely intervention in e-commerce contexts to prevent the proliferation of infringing items.
Result: Ex-parte interim injunction granted against Defendants.
| Table of Content |
|---|
| 1. procedural applications and exemptions granted. (Para 2 , 3 , 4 , 5 , 6) |
| 2. plaintiff's claims of copyright infringement. (Para 7 , 14 , 15 , 16 , 17 , 18 , 19 , 20 , 21 , 22 , 24 , 25 , 28) |
| 3. arguments on interim injunction and obligations of platforms. (Para 13 , 23) |
| 4. importance of seller transparency and consumer protection highlighted. (Para 27) |
| 5. granting of ex-parte interim injunction in favor of plaintiff. (Para 29) |
| 6. (Para 30 , 31 , 32) |
ORDER
PRATHIBA M. SINGH, J.
This hearing has been done hybrid mode.
I.A. 18959/2023 (for additional documents)
2. This is an application filed by the Plaintiff seeking leave to file additional documents under the Commercial Courts, Commercial Division and Commercial Appellate Division of High Courts Act, 2015 (hereinafter, ‘Commercial Courts Act’). The Plaintiff, if it wishes to file additional documents at a later stage, shall do so strictly as per the provisions of the Commercial Courts Act and the DHC (Original Side) Rules, 2018.
3. Application is disposed of.
I.A.18961/2023 (exemption from advance service to the Defendants)
4. In view of the fact that the Plaintiff has sought ex parte ad-interim injunction along with the appointment of the Local Commissioner, the exemption from advance service to the Defendant Nos. 2 to 7 is granted.
5. Application is disposed of.
I.A.18960/2023 (for exemption)
6. This is an application seeking exemption from filing certified/cleared/typed or translated copies of documents. Exemption is allowed, subject to all just exceptions. Application is disposed of.
CS (COMM) 678/2023
7. Let the plaint be registered as a suit.
8. Issue summons to the Defendants through all modes upon filing of Process Fee.
9. The summons to the Defendants shall indicate that the written statements to the plaint shall be positively filed within 30 days from date of receipt of summons. Along with the written statements, the Defendants shall also file an affidavit of admission/denial of the documents of the Plaintiff, without which the written statements shall not be taken on record.
10. Liberty is given to the Plaintiff to file the replication(s) within 15 days of the receipt of the written statements. Along with the replication(s), if any, filed by the Plaintiff, an affidavit of admission/denial of documents of the Defendants, be filed by the Plaintiff, without which the replication shall not be taken on record. If any of the parties wish to seek inspection of any documents, the same shall be sought and given within the timelines.
11. List before the Joint Registrar for marking of exhibits on 17th November, 2023. It is made clear that any party unjustifiably denying documents would be liable to be burdened with costs.
12. List before Court on 21st March, 2024.
I.A.18958/2023 (u/O XXXIX Rules 1 & 2 CPC)
13. Issue notice.
14. The present suit has been filed by the Plaintiff - Tibra Collection for copyright infringement, passing off, delivery up and other reliefs including damages through its sole proprietor namely Sh. Uvais Ansari against the known Defendant Nos. 2 to 6 and unknown Defendant No. 7, who are advertising, publishing and offering for sale the garments, which are a complete copy of the Plaintiff's garments and are also misusing the photographs and images in which the Plaintiff owns rights.
15. The case of the Plaintiff is that the Plaintiff is a retailer in clothing items for men and women. It also specializes in ethnic wear, which are designed by its own in-house designers. It offers for sale and advertises its goods on various E-Commerce platforms as well, such as Amazon, Flipkart and Meesho. Expenditure incurred to run these advertisements is claimed to be around 10 Lakh for Flipkart from 22nd June, 2023 to 20th September, 2023 and for Meesho as well it is more than 10 lakh since 2021 till date.
16. The Plaintiff claims to be having sufficient presence even on social media platforms and its gross turnover for the year 2022-2023 is over Rs. 10 crores.
17. The Defendant N
