IN THE HIGH COURT OF JUDICATURE AT MADRAS
INDIRA BANERJEE, ABDUL QUDDHOSE, JJ.
ITC Limited rep by its Constituted Attorney Mr.Nripendranath Thakur - Appellant
Versus
Golden Tobacco Limited - Respondent
O.S.A.Nos.260 to 262 of 2015
Decided on : 26-07-2018
The Court held that the Defendant had infringed the Plaintiff's Trademark GOLD FLAKE by copying the distinctive features including the name GOLD FLAKE. The Court also held that the Defendant cannot rely upon the disclaimer regarding usage of GOLD FLAKE contained in the Trademark registration certificate of the Plaintiff. The Court further held that the Defendant cannot seek protection just because the impugned label is a registered Trademark.
Fact of the Case:
The Plaintiff, ITC Limited, filed a suit against the Defendant, Golden Tobacco Company Limited, for infringement of trademark, copyright, and passing off. The Plaintiff alleged that the Defendant had adopted the words GOLD FLAKE and had copied the same hinge type pack as the Plaintiff with layout, colour scheme, design and get up identical to the Plaintiff's pack and infringed its trademark. The Defendant denied the allegations and contended that it had been using the mark GOLD FLAKE since 1979, whereas the Plaintiff started manufacturing cigarettes and came into the market in the year 1905. The Defendant also contended that the Plaintiff is estopped from preventing the Defendant from using the mark GOLD FLAKE in its label.
Finding of the Court:
The Court found that the Plaintiff is the prior user of the trademark GOLD FLAKE and has secured multiple trademarks registration for the GOLD FLAKE mark. The Court also found that the Defendant's brands are Panama, Chancellor and Viceroy and GOLD FLAKE brand never figured in the website of the Defendant. The Court further found that the Defendant had attempted to ride upon the Plaintiff's goodwill in its mark GOLD FLAKE by introducing a label containing GOLD FLAKE, which was nearly identical to the Plaintiff's GOLD FLAKE packet. The Court also found that the Defendant had not used the mark GOLD FLAKE as an honest and bonafide user.
Issues: Whether the Defendant had infringed the Plaintiff's Trademark GOLD FLAKE by copying the distinctive features including the name GOLD FLAKE.
Ratio Decidendi: The Court held that the Defendant had infringed the Plaintiff's Trademark GOLD FLAKE by copying the distinctive features including the name GOLD FLAKE. The Court also held that the Defendant cannot rely upon the disclaimer regarding usage of GOLD FLAKE contained in the Trademark registration certificate of the Plaintiff. The Court further held that the Defendant cannot seek protection just because the impugned label is a registered Trademark.
Final Decision: The Court allowed the appeals and set aside the order of the learned Single Judge dated 07.12.2015 passed in O.A.Nos.1069 of 2015, 1070 of 2015 and 1071 of 2015. The Court also allowed the applications, being O.A.Nos.1069, 1070 and 1071 of 2015.
ABDUL QUDDHOSE, J.
1. These appeals filed by the plaintiff in the suit being C.S.No.801 of 2015 are against an order dated 07.12.2015, passed by the learned Single Judge, dismissing three interlocutory applications filed by the plaintiff in the said suit, being O.A.Nos.1069, 1070 and 1071 of 2015.
2. The appellant plaintiff who claims to be the proprietor of the registered trademark GOLD FLAKE filed the above mentioned suit against the respondent for inter alia a permanent injunction restraining the respondent from manufacturing, selling and distributing, advertising cigarettes or other allied and cognate goods which amount to passing off the goods of the respondent as the goods of the appellant plaintiff; a permanent injunction restraining the respondent from committing acts of copyright infringement by making substantial reproduction of the appellant plaintiff's copyright in the GOLD FLAKE labels by use of identical and / or deceptively similar colour scheme; damages and other consequential reliefs.
3. According to the appellant plaintiff, the respondent has adopted the words GOLD FLAKE and has copied the same hinge type pack as the appellant plaintiff with layout, colour scheme, design and get up identical to the appellant plaintiff's pack and infringed its trademark only to mislead consumers into believing that the impugned products are of the appellant plaintiff or that the cigarettes of the respondent have some connection with cigarettes of the appellant plaintiff and thereby trade upon the immense goodwill of the appellant plaintiff and the reputation and popularity of its products.
4. In the suit, three interlocutory applications namely, OA Nos.1069 of 2015, 1070 of 2015 and 1071 of 2015 were filed by the appellant plaintiff. O.A.No.1069 of 2015 was filed for an injunction against copyright infringement. O.A.No.1070 of 2015 was filed for an injunction restraining the respondent defendant from manufacturing, selling, distributing, advertising cigarettes or other allied cognate goods by infringement of the appellant plaintiff's registered Trademark in violation of the undertaking given in C.S.No.477 of 1990 and C.S.No.478 of 1990 and the consent decree passed in C.S.Nos.477 of 1990 and 478 of 1990 pending disposal of the suit. O.A.No.1071 of 2015 was filed for injunction restraining the respondent defendant from manufacturing, selling, distributing, advertising cigarettes or other allied cognate goods passing the same off as the goods of the appellant plaintiff.
5. The learned Single Judge dismissed all the three applications by a common order dated 07.12.2015, against which these appeals have been filed. Since the appeals arise out of a common order, they were heard together and are being disposed of by a common judgment.
6. Mr.P.S.Raman, learned Senior Counsel for the appellant plaintiff submitted that the appellant plaintiff is the prior and honest user of the trademark GOLD FLAKE. He submitted that the appellant plaintiff has continuously and extensively been using the mark GOLD FLAKE since 1905. The appellant plaintiff has secured multiple trademarks registration for the GOLD FLAKE mark. He drew the attention of this Court to the trademark registration certificates for the appellant plaintiff's label as well as the specific registration obtained under Section 17 of the Trademarks Act, 1999, for the GOLD FLAKE device which is a component of the appellant plaintiff's registered label.
7. Mr.Raman submitted that the dominant theme underlying the GOLD FLAKE trade dress for the purpose of the suit consist of the following:
(a)Presence of roundel device
(b)Use of red colour for the roundel device.
(c)The trademark GOLD FLAKE encased inside the roundel device.
(d)GOLD FLAKE written in black lettering.
(e)Use of golden-black-red colour combination.
8. Mr.Raman submitted that the respondent's brands are Panama, Chancellor and Viceroy. GOLD FLAKE brand never figured in the website of the respondent. The respondent started manufa
ITC Limited vs. Crescendo Tobacco Agency & Another reported in 2011 (3) CHN 238
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Parle Products (P) Ltd vs. J.P. & Co. Mysore.
K.R. Chinnikrishna Chetty vs. K.Venkatesa Mudaliar and Anr.
Cadila Health Care Ltd. vs. Cadila Pharmaceuticals Ltd.
M/s.Heinz Italia & Anr vs. M/s.Dabur India Ltd.
S.Syed Mohideen vs. P.Sulochana Bai
Gujarat Bottling Co. Ltd. Vs. Coca Cola Co. and Others reported in 1995 (5) SCC 545
Cadila Health Care Limited vs. Cadila Pharmaceuticals Ltd. reported in 2001 (5) SCC 73
Ponds India Limited (merged with H.L. Limited) vs. Commissioner of Trade Tax
N.R.Dongre and Others vs. Whirlpool Corporation and Another
Ramdev Food Products (P) Ltd. vs. Arvindbhai Rambhai Patel and Others reported in 2006 8 SCC 726
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