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2024 Supreme(Guj) 2046

IN THE HIGH COURT OF GUJARAT AT AHMEDABAD
SUNITA AGARWAL, C.J., PRANAV TRIVEDI, J.
INOX INDIA LIMITED – Appellant
Versus
CRYOGAS EQUIPMENT PRIVATE LIMITED – Respondent
Appeal From Order No. 119 of 2024, Civil Application (For Stay) No. 1 of 2024, First Appeal No. 2517 of 2024
Decided On : 22-10-2024

Advocates:
Advocate Appeared:
For the Appellants : MIHIR JOSHI, AADIT R. SANJANWALA, DHIREN KARANIA
For the Respondents: MIHIR THAKORE, DARSHAN M. VARANDANI, DHAVAL C. DAVE, SAMRAT N. MEHTA, ADITYA J. PANDYA

The court ruled that the distinction between artistic works and designs under the Copyright and Designs Acts requires a detailed examination, and cannot be resolved at the threshold stage of rejecting a plaint.

Headnote:(A) Copyright Act, 1957 - Section 15(2) - Designs Act, 2000 - Rejection of plaint under Order VII, Rule 11 CPC - Plaintiff sought relief for infringement of Proprietary Engineering Drawings claiming copyright - Defendants contended that drawings are designs registrable under the Designs Act, thus copyright protection under the Copyright Act is lost - Court held that the question of whether the drawings qualify as designs under the Designs Act is a mixed question of law and fact, requiring trial - Rejection of plaint set aside, interim injunction application revived. (Paras 1, 2, 120)

(B) Intellectual Property Rights - Distinction between artistic work and design - The court emphasized that while artistic works may be protected under the Copyright Act, designs capable of registration under the Designs Act lose copyright protection once applied industrially beyond a threshold - The case requires detailed examination to determine the nature of the drawings and their protection under the respective Acts. (Paras 15, 19, 120)

JUDGMENT :

SUNITA AGARWAL, C.J.

1. These two appeals are directed against the judgment and order dated 03.05.2024 passed by the 4th Additional District Judge at Vadodara (Commercial Court) in Trade Mark Suit No. 3 of 2019. The order, subject matter of challenge in First Appeal No. 2517 of 2024, is of the application under Order VII, Rule 11 of the Code of Civil Procedure (in short as “CPC”) filed by the defendant No. 2, thereby rejecting the plaint. In the connected Appeal from Order No. 119 of 2024, the challenge is to the judgment and order dated 03.05.2024 of the Commercial Court in rejection of the application under Order XXXIX, Rules 1 and 2 Exh.5 for interim injunction. Suffice it to note that the application under Order XXXIX, Rule 1 has been rejected by the Commercial Court as a consequence of the rejection of plaint while allowing application under Order VII, Rule 11 CPC holding that the suit filed by the plaintiff is hit by Section 15(2) of the Copyright Act, 1957 (in short as “the Copyright Act.”

2. We, therefore, proceed to hear the learned counsel for the parties in the main matter, which is First Appeal No. 2517 of 2024. With the consent of the learned counsels for the parties, since the issues are legal in nature, we have heard the appeals at the admission stage itself for final disposal and, consequently both the appeals are being decided by this common judgment.

3. The facts in brief are relevant to be noted, at this juncture, in order to appreciate the contentions of the rival parties. The Trade Mark Suit No. 3 of 2019 was filed before the Commercial Court, Vadodara by the appellant herein, namely the plaintiff seeking a declaration and permanent injunction against the defendants in the following manner:

    “43. The Plaintiff therefore prays that:

    (a) this Hon’ble Court be pleased to hold and declare that the Defendants have directly or indirectly, by themselves, their directors, partners, concerns, associates, employees, servants agents, franchisees, dealers, manufacturers, licensees and all persons claiming under them, infringed the Plaintiff’s said Proprietary Engineering Drawings, said IP and the said Literary Work.

    (b) this Hon’ble Court be pleased to restrain the Defendants by themselves, directly or indirectly, by their directors, partners, concerns, associates, employees, servants, agents, franchisees, dealers, manufacturers, licensees and all persons claiming under them, by an order of permanent injunction of this Hon’ble Court, from, in any manner whatsoever, using or causing to be used the impugned drawings or any drawing similar/substantially similar to the said Proprietary Engineering Drawings or reproducing the impugned drawing in any material form including depicting or making any three dimensional object of two-dimensional said Proprietary Engineering Drawings or manufacturing, marketing or offering for sale, advertising or dealing in any trailers manufactured/ assembled by using the impugned drawings or any drawing similar/substantially similar to the said Proprietary Engineering Drawings so as to infringe the Plaintiff’s copyright subsisting in the Proprietary Engineering Drawings.

    (c) this Hon’ble Court be pleased to restrain the Defendants by themselves, directly or indirectly, by their directors, partners, concerns, associates, employees, servants, agents franchisees, dealers, manufacturers, licensees and all persons claiming under them, by an order of permanent injunction of this Hon’ble Court, from, in any manner whatsoever, using or causing to be used the said Literary Work or any work substantially similar to the Plaintiff’s said Literary Work or making any copies thereof or reproducing the said Literary Work in any material form and/or from making or causing to be made any colourable imitation of the Plaintiff’s said Literary Work so as to infringe the Plaintiff’s copyright subsisting in the said Literary Work.

    (d) this Hon’ble Court be pleased to restrain the Defendants by themselves, directly

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