CS(OS)No.2544-2013

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IN THE HIGH COURT OF DELHI AT NEW DELHI

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CS(OS) 2544/2013

SAP AG & ANR

.... Plaintiffs

Through:

Mr. Rahul Baruar, Advocate

versus

JAYANTH KUMAR & ORS

..... Defendants

Through:

None

CORAM:

HON'BLE MR. JUSTICE G.S.SISTANI

G.S.SISTANI, J. (Oral)

1. Present suit has been filed by the plaintiffs for permanent injunction

restraining infringement of copyright, trademark, passing off, rendition of

accounts of profit, damages and delivery up. Summons in the suit and

notice in the application under Order XXXIX Rules 1 & 2, were issued on

17.12.2013. On an application for appointment of local commissioner

filed by the plaintiffs, a local commissioner was appointed. Counsel for

defendant no.3 entered appearance on 09.05.2014 and submitted that

defendant no.3 has already blocked the impugned domain and further

defendant no.3 would remain bound by the final decree which may be

passed. Accordingly, defendant no.3 was deleted from the array of parties

vide order dated 09.05.2014. Also, on the same date, despite service, none

appeared for defendant nos.1, 2, 4 and 5, consequently, defendant nos.1,

2, 4 and 5 were proceeded ex parte.

2. Plaintiffs have affidavit by way of evidence of Mr.Yogesh Goel(PW1),

constituted attorney of the plaintiffs. Affidavit of PW1 has been exhibited

as Ex.PW 1/A. Copies of Power of Attorney dated January 30, 2013 and

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May 12, 2011 in favour of PW1 have been exhibited as Ex.PW 1/1 and

Ex.PW1/2, respectively.

3. PW1 has deposed in his affidavit that plaintiff No.1 was founded in 1972

and during the course of almost four decades has evolved from a small,

regional enterprise into the market leader in enterprise application

software and the plaintiffs also offer and sell world-class training and

education services to train their workforce of customers. Plaintiffs offer a

full suite of education courses and certifications to help their customers

leverage the power of their software and services, through both live and

on-line courses. It has also been deposed that plaintiff no.1 is recognized

as the global market leader in providing collaborative, inter-enterprise

business solutions for all types of industries and for every major market.

4. PW1 has also deposed that plaintiff no.1 provides variousbusiness

solutions to its customers which are collectively called as SAP Business

Suite and that SAP Business Suite is based on plaintiff no.1‟s technology

platform called NetWeaver. Plaintiff No.1‟s primary and most popular

product is SAP ERP, a bunch of following modules:

a) SAP FI-CO

b) SAP HR

c) SAP MM

d) SAP SD

e) SAP PP

5. PW1 has further deposed that in early 1970s, plaintiff no.1 developed RF-

System, later referred to as R/1, an automatic accounting and transaction-

processing program that featured standard software and real-time

computing. This software title was the first of several in a series of

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packaged ERP solutions. In 1979, plaintiff no.1 introduced SAP R/2

software, and in 1992, plaintiff no.1 introduced SAP R/3, a new

architectural paradigm by combining three-tier client-server architecture

with the business concept of enhanced process integration. SAP R/3 (also

called as SAP ERP i.e. Enterprise Resource Planning), software met with

overwhelming approval of the user industries and ushered in a new

generation of enterprise software. SAP ERP 6.0 is the latest version of

SAP ERP software and all the rights including the copyright in the said

software are owned by plaintiff no. 1.

6. PW1 has next deposed that the software products of the plaintiffs

including SAP ERP, are customized solutions, tailored to the specific

needs of each client. It has also been deposed that the said software

products are not available off-the-shelf and in India, plaintiffs‟ s