The central legal point established in the judgment is the protection of trade names and the grant of interlocutory injunctions to prevent passing off.

N. Kannadasan, J.

1. Appellants are the respondents in Original Application Nos. 344 to 346 of 2005 and the defendants in the suit. The respondents herein are applicants in the said applications and plaintiffs in the suit.

2. The applicants filed the suit for a permanent injunction restraining the defendants from in any manner passing off or attempting to pass off or causing, enabling others to pass off the services not of the plaintiffs as and for the services of the plaintiffs by use in connection therewith or in course of trade including through the use of prospectus, name boards, signages, advertisement materials, etc. under the brand name of ‘Vivekananda English Academy’ or any other deceptively similar name or a colour able imitation of the plaintiffs services that is likely to cause confusion in the minds of the public which would be directly or indirectly associated with the plaintiffs Vivekanand Institutes and/or VETA and for other reliefs as stated therein. In the said suit, the three applications are filed in O.A. Nos. 344 to 346 of 2005 for the relief as stated therein.

3. Original Application No. 344 of 2005 is filed seeking an order of injunction restraining the respondents jointly and/or severally or through their agents servants or otherwise howsoever from in any manner passing off or attempting to pass off or causing, enabling others to pass off the services not of the applicants as and for the services of the applicants by use in connection therewith or in course of trade including materials, etc. under the brand name of ‘Vivekananda English Academy’ or any other de ceptively similar name or a colourable imitation of the applicants services that is likely to cause confusion in the minds of the public which would be directly or indirectly associated with the applicants Vivekanada Institutes and/or VETA.

4. The above application is filed contending that the second applicant had set up business of running an educational institution under the name and style of ‘Vivekanda Study Circle’ during 1981 and the said proprietory business was converted into partnership firm during 1986 under the name and style of ‘Vivekananda Kalvi Nilayam’ which was later on converted into a Private Limited Company incorporated on 19.10.1988 under the provisions of the Companies Act as ‘Vivkananda Kalvi Nilayam Private Limited’ and the business was carried on in the name of ‘Vivekananda Institute’. On and from 1.3.2004, the name of the first applicant company was changed into ‘Amoha Education Private Limited’, which is the first applicant and the first plaintiff in the suit. According to the applicants, ‘Vivekananda Institute’ has acquired tremendous goodwill and popularity in the market for offering a well designed course with very competent faculty to help students to acquire proficiency in the English language and the turnover which was only about Rs.1,70,212 during 1988-89 has grown upto the extent of Rs.5,18,12,432 for the year 2003-2004 and the applicants are incurring huge amount towards expenditure in popularizing its brand name as ‘Vivekananda Institute’.

5. The first applicant Company entered into franchise agreements with several persons in the entire Southern States. Similar franchise agreements were entered into between the first applicant and the respondents in respect of various places. As per Clause 4.1 of the said agreement, at no time after the term, or sooner determination of this agreement, for whatsoever cause, the franchisee shall make or be entitled to make any claim to the trade mark or trade names or to the name of any part of the name or names for the time being of the franchisor or to the name of any part thereof under which the franchisor is carrying on for the time being in the field of education or training in English teaching. The franchisee also agrees not to name any of the programme courses in English teaching which gives any indication that such courses are being conducted based on the techn