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1991 Supreme(Mad) 89

Madras High Court
VENKATASWAMI,ABDUL HADI
G.T.C.Industries Ltd., Bombay - Appellant
Versus
I.T.C.Limited, Madras - Respondent
Decided On : 02/05/1991

Advocates:
S. Chellaswamy for M/s. Malini Ganesh, V. Ashok and V. S. Ganesh Sharma, for Appellant; Mr. S Govind Swaminathan, Sr. Counsel, for M/s. Sriram Pancha, K. Madhavan and N. L. Rajah, for Respondent.

The overall similarity between two trade marks, taking into account common features and the mala fide intention of the defendant, can establish deceptive similarity and infringement of a registered trade mark.

Headnote:

TRADE MARK - INFRINGEMENT AND PASSING OFF - INTERIM INJUNCTION - SIMILARITY OF MARKS - DECEPTIVE SIMILARITY - OVERALL SIMILARITY - COMMON FEATURES - BONA FIDE OF THE DEFENDANT - DELAY IN FILING SUIT - VALIDITY OF REGISTERED TRADE MARK - ALTERATION OF REGISTERED TRADE MARK - LEAVE TO ALTER - USE OF ALTERED TRADE MARK.

Fact of the Case:

The plaintiff, a well-established cigarette manufacturer, filed two suits against the defendant, also a well-established cigarette manufacturer, for infringement and passing off of its registered trade mark 'Gold Flake'. The plaintiff alleged that the defendant had been selling cigarettes under a trade mark which was deceptively similar to the plaintiff's registered trade mark. The defendant contended that the plaintiff's registered trade mark was not valid as it had been substantially altered without obtaining leave from the Registrar of Trade Marks. The defendant also contended that there was no deceptive similarity between the two trade marks and that the plaintiff had delayed in filing the suits.

Finding of the Court:

The court held that the defendant's trade mark was deceptively similar to the plaintiff's registered trade mark and that there was a strong prima facie case in favour of the plaintiff. The court also held that the defendant's contention that the plaintiff's registered trade mark was not valid was not tenable as the alterations made to the trade mark were not substantial. The court further held that the defendant's contention that the plaintiff had delayed in filing the suits was not tenable as there was no unreasonable delay on the part of the plaintiff.

Issues: 1. Whether the defendant's trade mark was deceptively similar to the plaintiff's registered trade mark? 2. Whether the plaintiff's registered trade mark was valid? 3. Whether the defendant's contention that the plaintiff had delayed in filing the suits was tenable?

Ratio Decidendi: 1. The court held that the defendant's trade mark was deceptively similar to the plaintiff's registered trade mark based on the following factors: a. The overall similarity between the two trade marks. b. The presence of common features such as the rounded design, the intersecting rectangle, the rectangular border lines, and the stars. c. The defendant's mala fide intention in adopting the impugned trade mark. 2. The court held that the plaintiff's registered trade mark was valid as the alterations made to the trade mark were not substantial. 3. The court held that the defendant's contention that the plaintiff had delayed in filing the suits was not tenable as there was no unreasonable delay on the part of the plaintiff.

Final Decision: The court confirmed the order of the trial judge and dismissed the defendant's appeals with costs.

Judgement

ABDUL HADI, J. :- These two appeals, O.S.A. Nos. 134 of 1990 and 135 of 1990 by the defendant, (who is common in both suits) arise out of the common order dated 24-7-1990 in two interlocutory applications in two different suits. The suits are respectively C. S. No. 478 of 1990 and C. S. No. 477 of 1990 and the respective applications are Application No. 2557 of 1990 and Application No. 2554 of 1990. For convenience sake parties are referred to by their ranks in the suit.

Both the defendant-appellant and the plaintiff-respondent are well established cigarette manufacturers and both these suits are trade mark actions for infringement and passing off. While C. S. No. 477 of 1990 is with reference to plain cigarettes, C. S. No. 478 of 1990 is with reference to filter cigarettes. The infringement and passing off, alleged in both the suits are with reference to what the plaintiff calls as a "slightly" modified forms of the plaintiff's registered trade mark T. M. No. 110438 dated 21-5-1945 in relation to the plaintiff's Wills Fold Flake cigarettes as against the respective trade marks which the defendant recently introduced in respect of its Gold on Gold Flake cigarettes. No doubt, the above said plaintiff's registered trade mark itself is a modified version of its preceding registered trade mark bearing No. 7678 dated 11-11-1942. Though the prayer in the above said applications is in relation to both the said registered marks, the argument before us centred round only in relation to the above said modified trade mark, bearing No. 110438 dated 21-5-1945, and, therefore, our reference to plaintiff's registered trade mark hereinafter relates only to the said mark of 1945 and its two respective 'slightly' modified forms.

2. Both the above said applications seek for interim injunction restraining the defendant from using its relevant impugned trade marks. The registration of the above said plaintiff's trade mark was admittedly without imitation of colour and under S. 10(2) of the Trade and Merchandise Marks Act, 1948 (hereinafter referred to as 'the Act'), it shall be, therefore, deemed to be registered for all colours. Application No. 2554 of 1990 prays for interim injunction restraining the defendant from using the impugned trade mark shown in Annexure 'D' appended to the said applications, namely, the trade mark with rounded design, the interesting rectangle bearing the word 'Gold Flake', the three stars, the colour scheme of yellow back ground and rectangular border lines in red in tarnished gold or any other mark deceptively similar to the plaintiff's registered trade mark or to pass off its goods as and for the goods of the plaintiff, pending disposal of the said suit. Application No. 2557 of 1990 is for an interim injunction restraining the defendant from using the impugned trade mark shown in Annexure 'D' appended to the said application, namely the trade mark with the rounded design, the words 'Gold Flake' in rectangular shape intersecting the rounded three stars, the colour scheme of wide red band on top and yellow below or any other mark deceptively similar to the plaintiffs registered trade mark or to pass off its goods as and for the goods of the plaintiff, pending disposal of the said suit.

3. According to the affidavits in both the applications, the most distinctive features of the plaintiffs trade mark is the design thereof, the roundel design with the intersecting rectangle with the words 'Gold Flake' written across, the presence of three stars, the colour scheme and the rectangular border lines in strips of red and tarnished gold. In application No. 2554 of 1990, the specific allegations are that in February, 1990, plaintiff came to know that the defendant has been selling and offering for sale PLAIN cigarettes in packets bearing a trade mark which is colourable imitation of and deceptively similar to the plaintiffs registered trade mark, that the defendant has copied the roundel design, including the intersecting














































































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