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2008 Supreme(Mad) 576

High Court of Judicature at Madras
THE HONOURABLE MR. JUSTICE P. JYOTHIMANI
Bajaj Auto Ltd., State of Maharashtra, rep. by S. Ravikumar
Versus
TVS Motor Company Limited
O.A. No. 1357 of 2007 in C.S. No. 1111 of 2004 and O.A. No. 1272 of 2007 in
C.S. No. 979 of 2007
Decided on : 16-02-2008

Advocates Appeared:
For the Petitioner:C.A. Sundaram, Senior Advocate.
For the Respondent:A.L. Somayaji, P.S. Raman, Senior Advocates.

Judgment :

1. The plaintiff in C.S. No.979 of 2007 is the defendant in C.S. No.1111 of 2007.

2. C.S. No.1111 of 2007 is a Suit filed under Section 108 of the Patents Act, 1970 for the relief of permanent injunction in respect of the plaintiffs Patent No.195904 and/or from using the technology/invention described in the said patent and/or manufacturing, marketing, selling, offering for sale or exporting 2/3 wheelers, including the proposed 125-CC FLAME motorcycle containing an internal combustion engine or any internal combustion engine or product which infringes the plaintiffs Patent No.195904, claiming of damages for infringement of patent to the extent of Rs.10,50,000/-, etc. Pending the said Suit, the plaintiff therein, namely Bajaj Auto Limited has filed O.A. 1357 of 2007 praying for an order of temporary injunction restraining the respondent from in any manner infringing the applicants Patent No.195904 and/or from using the technology/invention described in the said patent and/or manufacturing, marketing, selling, offering for sale or exporting 2/3 wheelers, including the proposed 125-CC FLAME motorcycle containing an internal combustion engine or any internal combustion engine or product which infringes the plaintiffs Patent No.195904.

3. Likewise, the plaintiff in C.S. No.979 of 2907 M/s. TVS Motor Company Limited has filed the Suit on the basis of groundless threat of infringement under Section 106 of the Patents Act, for declaring that the threats held out by the defendant on September 1 and 3, 2007 that the plaintiff is infringing the defendants Patent No.195904 and that the defendant is proposing to take infringement action against the plaintiff are unjustified, for declaring that the plaintiffs product TVS Flame which uses 2 spark plugs with screw fitted sleeve and 3 valves does not infringe patent No.195904 of the defendant, for permanent injunction restraining the defendant from continuing the issuance of threats that the plaintiff is infringing the defendants Patent No.195904 directly or indirectly in any manner including by way of circulars, advertisements, communications orally or in writing to the plaintiff or any other person, and thereby interfering with the launch and sale of product TVS Flame apart from directing the defendant to compensate the plaintiff with a sum of Rs. 1 crore or as determined by this Court as damages sustained on account of the unjustified threats made by the plaintiff. Pending the said Suit, the plaintiff has filed O.A. 1272 of 2007 for an order of interim injunction restraining the respondent from interfering with the manufacture and marketing of applicants products using IC engine with 3 valves and 2 spark plug.

4. This Court after hearing the respective counsel for the applicant and respondent, by an order dated 112. 2007 has ordered in O.A. No.1357 of 2007 in C.S. No.1111 of 2007 as follows:

"I have carefully gone through the records. It is stated that number of motorcycles have been booked as on date. The number of motorcycles booked is not ascertainable immediately. In such circumstances, it is ordered that the respondent shall not receive any further booking in respect of the motorcycles containing the disputed Engine Technology Patent. Insofar as the motorcycles already booked, the respondent is at liberty to deliver them subject to the following direction: That is the respondent is directed to maintain accounts for the motorcycles so delivered. List the Suit along with

C.S. No.979 of 2007, on 1. 2008."

5. The respondent in the said O.A. 1357 of 2007 in C.S. No.1111 of 2007 has filed an Appeal in O.S.A. No.420 of 2007 against the abovesaid order dated 112. 2007. The Honble First Bench of this Court by order dated 20.12.2007, has suspended the said order of the learned Single Judge and on the basis of an agreement between the parties that Applications for injunction in both the Suits as well as the Appeal were directed to be heard by the Bench on 04.01.2008, has issued dire



























































































































































































































































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