IN THE HIGH COURT OF MADRAS
R. Subbiah and C. Saravanan, JJ.
Sulphur Mills Limited - Appellant
Versus
Dayal Fertilizers Pvt. Limited and Ors. - Respondent
O.S.A. Nos. 38, 40, 42 of 2020 and C.M.P. Nos. 1518, 1538 and 1544 of 2020
Decided On : 11-11-2020
Constitution of India, 1950 - Article 226(2) - Civil Procedure Code, 1908 - Section 20 (c) - Orders 7 Rule 12 - Patents Act, 1970 - Section 104 and 105 - Ex-parte order - Jurisdiction - Power of court to make declaration as to non-infringement - Alleged that 4th respondent/4th defendant sold the infringing products manufactured and marketed by the 1st to 3rd respondents/1st to 3rd defendants within jurisdiction of Court - It was alleged that such sales were in violation of aforesaid patent of appellant/plaintiff - Whether respondents/defendants were offloading their offending product within the jurisdiction of this Court or not is to be decided only at time of Trial based on evidence and not based on averments in application filed in support of the application for revoking leave. Therefore, a suit cannot be short circuited if plaint otherwise discloses a part of cause of action had arisen within its jurisdiction - Whether respondents/defendants indeed violated the appellant's/plaintiffs patent within the jurisdiction of this court is an altogether different matter – Held, It cannot be decided in a summary manner based on averment of the respondents/defendants in affidavit filed in support of the applications for rejection of plaint and/or for revocation of the leave - Courts have to be cautious of clever drafting and quell vexatious suits and proceedings at threshold if a plaintiff is either resorting to forum shopping or where leave can be rejected at the threshold by applying doctrine –Court would like to underscore that while granting leave, it is incumbent on court to examine Forum non Conveniens/Forum Conveniens whether ex parte or after notice to the defendants. In Court view that this Court has jurisdiction to decide lis between parties in an action for infringement of patent - It is for the respective respondents/defendants to approach either Honourable Supreme Court for transfer of above suit to another court if advised as was done earlier or in alternative defend themselves before this court in the said suit - Proceedings are speed tracked under provisions of the aforesaid Act. If plaint entertained by Civil Courts under Section 9 read with Section 20 of Code of Civil Procedure, it cannot be returned. Therefore, once a leave has been granted rightly, there is no question of revoking the leave in a Commercial Division - Original Side Appeals allowed
JUDGMENT :
C. Saravanan, J.
1. By this common order, all the three Original Side Appeals filed by the appellant are being disposed.
2. These Original Side Appeals have been filed by the unsuccessful plaintiff against the impugned common order dated 21.01.2020 passed by a learned Single Judge of this court in Application Nos. 4916, 4920 and 4923 of 2019 in C.S. No. 410 of 2019.
3. By the impugned common order, the learned Single Judge has allowed Application Nos. 4916, 4920 and 4923 of 2019 in C.S. No. 410 of 2019 filed by the 1st to 3rd respondents (1st to 3rd defendants) and has revoked the leave granted to the appellant/plaintiff to sue them. Aggrieved by the same, these appeals have been filed by the plaintiff.
4. The above suit was filed by the appellant/plaintiff for the alleged violation of appellant's Patent No. 282429 by the 1st to 3rd respondents/1st to 3rd defendants along with 4th respondent/4th defendant.
5. Earlier, an ex-parte order dated 03.07.2019 was passed in A. No. 4512 of 2019 and a leave to sue the 1st to 3rd respondents/1st to 3rd defendants was granted under Clause 12 of the Letters Patent by a learned Single Judge of this Court. Pursuant to the said order, the above suit was numbered. In the above suit, the appellant/plaintiff had also filed O.A. No. 647 of 2019 to injunct these respondents (i.e., the 1st to 3rd defendants) from infringing the aforesaid patent of the appellant herein. An ex-parte order was also passed on 05.07.2019.
6. Under these circumstances, the 1st to 3rd respondents/1st to 3rd defendants filed four different applications separately (in all 12 applications) (i) to suspend the interim order dated 05.07.2019, (ii) to revoke the leave granted on 03.07.2019 under Clause 12 of the Letters Patent and (iii) to reject the appellant/plaintiff Under Orders 7 Rule 12 of Civil Procedure Code.
7. The applications filed for revoking leave granted under Clause 12 of the Letters Patent vide Application Nos. 4916, 4920 and 4923 of 2019 in C.S. No. 410 of 2019 came to be disposed by the learned Single Judge vide the impugned common order dated 21.01.2020.
8. Prior to passing of the impugned common order, the ex-parte injunction granted on 05.07.2019 was suspended by an order dated 16.07.2019 based on an undertaking of the 1st to 3rd respondents/1st to 3rd defendants agreeing to furnish bank guarantee on or before 26.07.2019, failing which, suspension of the interim order was to stand automatically vacated.
9. This undertaking was in apparently terms of an order passed by the Delhi High Court in a similar proceedings initiated before it by the appellant/plaintiff herein against another person who had allegedly infringed the aforesaid patent of the appellant/plaintiff.
10. Operating portion of the impugned common order of the learned Single Judge revoking the leave granted under Clause 12 of the Letters Patent reads as follows:
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