Bombay High Court Allows Appeal Against Rejection of Temporary Injunction in Trade Mark Infringement Suit — Appellant's Prior User and Registration of Mark 'Shriphal' Establishes Prima Facie Case for Injunction.

High Court: Bombay High Court Bench: NAGPUR
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Case Note & Summary

The appellant, M/s. Mysore Deep Perfumery Household, a partnership firm engaged in manufacturing and exporting agarbatti, scent, perfume, camphor, dhoop, etc., filed a trade mark infringement suit against the respondent, Sunilkumar Amrutlal Jain, who was a former purchaser of the appellant's goods. The appellant claimed to have been using the trade mark 'Shriphal' since 1992 and had obtained registration under the Trade Marks Act. In September 2014, the appellant discovered that the respondent had started using the impugned marks 'Zed Black' and 'Shriphal' and issued a cease and desist notice. The respondent replied admitting the appellant's rights and undertaking not to use the mark 'Shriphal'. However, the respondent later opposed the appellant's trade mark registration applications. The appellant filed Trade Mark Civil Suit No.5/2019 seeking permanent injunction and other reliefs. Along with the suit, the appellant filed an application under Order 39 Rules 1 and 2 CPC for temporary injunction. The learned Ad-hoc District Judge-2, Nagpur, by order dated 18/06/2021, rejected the application. Aggrieved, the appellant preferred the present appeal. The High Court considered the submissions and found that the appellant had made out a prima facie case based on prior user and registration. The balance of convenience was in favour of the appellant, and irreparable loss would be caused if injunction was not granted. The court also noted the respondent's admission in the reply to the cease and desist notice. Accordingly, the High Court allowed the appeal, set aside the trial court's order, and granted temporary injunction in favour of the appellant restraining the respondent from using the mark 'Shriphal' or any deceptively similar mark.

Headnote

A) Civil Procedure - Temporary Injunction - Order 39 Rules 1 and 2 CPC - Prima Facie Case - The court considered whether the appellant-plaintiff established a prima facie case for injunction based on prior user and registration of the mark 'Shriphal' - Held that the appellant's long and continuous use since 1992 and registration of the mark created a strong prima facie case in its favour (Paras 1-10).

B) Trade Marks - Infringement - Prior User - Registration - The appellant claimed infringement of its registered trade mark 'Shriphal' by the respondent who was a former purchaser - The respondent admitted the appellant's rights in a cease and desist reply but later opposed registration - Held that the respondent's conduct and admission weighed against him (Paras 3-5).

C) Civil Procedure - Temporary Injunction - Balance of Convenience and Irreparable Loss - The court found that the balance of convenience was in favour of the appellant and that refusal of injunction would cause irreparable loss to the appellant's business and goodwill - Held that the appellant was entitled to injunction (Paras 11-15).

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Issue of Consideration

Whether the appellant-plaintiff made out a prima facie case for grant of temporary injunction under Order 39 Rules 1 and 2 CPC restraining the respondent-defendant from using the trade mark 'Shriphal'.

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Final Decision

Appeal allowed. The order dated 18/06/2021 passed by the learned Ad-hoc District Judge-2, Nagpur, in application below Exh.5 in Trade Mark Civil Suit No.5/2019 is set aside. The application for temporary injunction is allowed, restraining the respondent from using the trade mark 'Shriphal' or any deceptively similar mark.

Law Points

  • Temporary injunction
  • prima facie case
  • balance of convenience
  • irreparable loss
  • trade mark infringement
  • prior user
  • registration
  • Order 39 Rule 1 and 2 CPC
  • Trade Marks Act 1999
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Case Details

2022 LawText (BOM) (05) 49

Appeal Against Order No. 14 of 2021

2022-05-06

V. G. Bisht, J.

Harshit Tolia, Rajendra Bhansali, N.D. Khamborkar for appellant; Arun S. Agrawal for respondent

M/s. Mysore Deep Perfumery Household (Ori. Plaintiff)

Sunilkumar Amrutlal Jain (Ori. defendant)

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Nature of Litigation

Appeal against rejection of temporary injunction in a trade mark infringement suit.

Remedy Sought

Appellant sought temporary injunction restraining respondent from using the trade mark 'Shriphal'.

Filing Reason

Respondent allegedly infringed appellant's registered trade mark 'Shriphal' by using it for similar goods despite being a former purchaser and having admitted appellant's rights.

Previous Decisions

Trial court rejected the application for temporary injunction under Order 39 Rules 1 and 2 CPC on 18/06/2021.

Issues

Whether the appellant made out a prima facie case for grant of temporary injunction. Whether the balance of convenience lies in favour of the appellant. Whether the appellant would suffer irreparable loss if injunction is not granted.

Submissions/Arguments

Appellant argued that it is the prior user and registered proprietor of the mark 'Shriphal' since 1992, and the respondent admitted its rights in the cease and desist reply. Respondent contended that the mark 'Shriphal' is publici juris and that the appellant has no exclusive right.

Ratio Decidendi

The appellant, being the prior user and registered proprietor of the trade mark 'Shriphal', established a prima facie case. The balance of convenience was in favour of the appellant, and irreparable loss would be caused if injunction was not granted. The respondent's admission in the cease and desist reply further strengthened the appellant's case.

Judgment Excerpts

The appellant - plaintiff is a registered Partnership Firm and is carrying out business of marking and exporting of all kinds of goods like Agarbati, Scent, Perfume, Camphor, Dhoop, etc. under the provisions of Trade Marks Act including trade mark 'Zed Black'. The appellant started using trade mark 'Shriphal' for the products in respect of Agarbati, Scent, Perfume, Camphor, Dhoop, etc. falling in Class-3 since 1992. On 16/09/2014, the respondent - defendant replied the said notice and admitted the contents of the cease and desist notice. He also acknowledged the legal right of the appellant and undertook not to use any Mark 'Shriphal'.

Procedural History

The appellant filed Trade Mark Civil Suit No.5/2019 seeking permanent injunction and other reliefs. Along with the suit, an application under Order 39 Rules 1 and 2 CPC for temporary injunction was filed. The trial court rejected the application on 18/06/2021. The appellant preferred the present appeal against that order.

Acts & Sections

  • Code of Civil Procedure, 1908 (CPC): Order 39, Rule 1, Order 39, Rule 2
  • Trade Marks Act, 1999:
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High Court Bombay High Court Allows Appeal Against Rejection of Temporary Injunction in Trade Mark Infringement Suit — Appellant's Prior User and Registration of Mark 'Shriphal' Establishes Prima Facie Case for Injunction.
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