PUNJAB & HARYANA HIGH COURT
Pritam Singh Pattar, J.
Ranjit Singh
Versus
Jaswant Singh
Second Appeal No. 1337 of 1968,
Decided On : SEPTEMBER 12, 1974
TRADE NAME - PASSING OFF - JURISDICTION - TRADE AND MERCHANDISE MARKS ACT, 1958 - SECTIONS 27(2), 105(C) - SUIT FOR PASSING OFF ARISING OUT OF USE OF TRADE NAME NOT REGISTERED UNDER THE ACT - JURISDICTION OF SUBORDINATE JUDGE - INJUNCTION AND DAMAGES GRANTED.
Fact of the Case:
Plaintiff and defendant were partners in a firm called R. J. Singh and Sons. The firm was dissolved in 1956 and the trade name was allotted to the defendant. Plaintiff started a new business under the name "Ex-Soldiers Store". Defendant later changed the name of his firm to "R. J. Singh and Sons (Ex-Soldiers Store)". Plaintiff filed a suit for permanent injunction restraining the defendant from using his trade name and for damages.
Finding of the Court:
The trial court dismissed the suit, but the appellate court reversed the decision and granted an injunction and damages to the plaintiff. The defendant appealed to the High Court.
Issues: 1. Whether the suit relates to passing off action arising out of the use by the defendant of the trade mark of the plaintiff, which is identical with or deceptively similar to the trade mark of the plaintiff. 2. Whether the suit could be filed in the Court of the Subordinate Judge.
Ratio Decidendi: 1. The suit does not relate to passing off action arising out of the use of a trade mark, but rather to passing off action arising out of the use of a trade name. 2. Section 105(c) of the Trade and Merchandise Marks Act, 1958, which provides for exclusive jurisdiction of the District Court in passing off suits arising out of the use of a trade mark, does not apply to passing off suits relating to trade names. 3. The plaintiff was entitled to an injunction and damages for passing off.
Final Decision: The appeal was dismissed and the decision of the appellate court was affirmed.
1. This is a regular second appeal filed by Ranjit Singh, defendant, against the judgment dated 9-4-1968 of the Senior Sub-Judge, Ludhiana, whereby he accepted the appeal of Jaswant Singh, plaintiff, against the decree dated 11-5-1967 of Sub-Judge, 1st Class, Ludhiana, dismissing his suit and passed decree in favour of the plaintiff for permanent injunction restraining the defendant, his servants and agents from using the plaintiff s trade name (business name)
"Ex-Soldiers Store" and dealing and doing the business of selling and offering for sale under that name and from using any material bearing the same name. The plaintiff was also granted decree for Rs. 75/- as damages. The parties were left to bear their own costs.
2. The facts of this case are that Jaswant Singh plaintiff and Ranjit Singh defendant were doing the business of purchase and sate of goods in the name and style of Messrs. R. J. Singh and Sons, Chaura Bazar, Ludhiana since September, 1946. This firm was dissolved on 1-7-1956 and the firm name was assigned to Ranjit Singh defendant. The plaintiff Jaswant Singh was to run his business under a different name, with which the defendant was not to have any concern. After the dissolution of the firm, the plaintiff started doing his own business as a dealer in military goods under the name and style of "Ex-Soldiers Store". The plaintiff established his trade and gained his reputation and his business flourished under the said name. The defendant got envious of the plaintiff s increasing business and with a view to cause harm to him and to obtain wrongful gain, started using the trade name of the plaintiff as a part of his trade name and he started passing off and selling his goods so as to lead the general public and customers into an impression as if these were the products and goods of the plaintiff. The changed trade name of the defendant-firm was "R. J. Singh, and Sons (Ex-Soldiers Store)". The plaintiff came to know of this practice of the defendant and he served him with a registered notice dated 3-8-1965 asking him to refrain from using his trade name, but he did not stop using plaintiff s trade name. The plaintiff, therefore, filed suit for permanent injunction restraining the defendant, his servants and agents from using his (plaintiff s) trade name (business name), namely, "Ex-Soldiers Store" and dealing and doing the business in the said name and from selling and offering for sale goods in that name and asking him to destroy all bills, receipts and records etc., bearing the said name. He also claimed Rs. 100.00 as damages from the defendant.
3. The suit was contested by the defendant. He pleaded that after the dissolution of his firm with the plaintiff, he started doing business under the name and style of R. J. Singh and Sons (Ex-Soldiers Store). He denied all other allegations made in the petition. On these pleadings of the parties, the following issues were framed by the trial Court :-
(1) Whether the plaintiff has an established trade name under the name and style of "Ex-Soldier Store ?"
(2) Whether the defendant is or has used the name under Issue No. 1 lawfully ?
(3) Whether the suit for account is maintainable ?
(4) If Issue No. 3 is proved, to what damages, if any, is the plaintiff entitled from the defendant ?
(5) Whether the plaintiff is entitled to the injunction prayed for ?
(6) Relief.
The trial Court decided Issues Nos. 1. 3, 4 and 5 against the plaintiff and decided Issue No. 2 in favour of the defendant. As a result, the suit of the plaintiff was dismissed with no order as to costs. Feeling dissatisfied, the plaintiff filed an appeal against the decree in the Court of the Senior Sub-Judge, Ludhiana. The Senior Sub-Judge held that the plaintiff established his trade under the name and style of "Ex-Soldiers Store" and that the defendant is not proved to have lawfully used that name and the plaintiff is entitled to the injunction prayed for. He reversed the findings of the trial Court o
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