Madras High Court Dismisses Interim Injunction Applications in Trade Mark Infringement and Passing Off Suit Over 'NFC' Element. Court Holds that Abbreviation 'NFC' for Natural Fibre Composite is Descriptive and Not Entitled to Interim Protection Without Evidence of Secondary Meaning Under Trade Marks Act, 1999.

High Court: Madras High Court Bench: Principal In Favour of Accused
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Case Note & Summary

The dispute arose from a commercial suit filed before the Madras High Court by two plaintiffs: an individual, B.L. Bengani, and his company, Indowud NFC Private Limited, against two defendants, a partnership firm and a private limited company. The plaintiffs sought permanent injunction restraining infringement and passing off in relation to the element 'NFC' used as part of their trade marks for natural fibre composite boards. Pending suit, they filed original applications under Order XXXIX Rules 1 and 2 of the Code of Civil Procedure, 1908, for interim injunctions. The plaintiffs claimed to be pioneers in natural fibre composite boards and asserted registered marks such as 'NFC-THAT ADDS LIFE', 'ZEROWUD NFC', 'INDOWUD NFC' and 'NFC-GLUE', all in Class 19. They alleged the defendants, after purchasing raw materials, had piggybacked on their reputation by using 'NFC' in their mark. The defendants countered that their mark was 'WUDSY NFC' and that 'NFC' is a descriptive abbreviation of Natural Fibre Composite, not distinctive, and thus not entitled to protection, relying on Sections 30(2) and 35 of the Trade Marks Act, 1999, and several precedents. They argued the abbreviation had not acquired secondary meaning. The court identified the core issue as whether interim relief could be granted for the element 'NFC'. It noted all registered marks were composite and, under Section 17 of the Trade Marks Act, registration of a composite mark gives exclusive right only over the mark as a whole, not over parts. Since 'NFC' was admittedly an abbreviation of descriptive words, the court held it was not the dominant feature and the plaintiffs faced a heavy onus to prove secondary meaning. The evidence showed applications filed on a 'proposed to be used' basis and invoices describing goods descriptively, not by trade mark. The court found no proof of acquired distinctiveness. On passing off, the defendants' prominent use of 'WUDSY' negated any prima facie misrepresentation. Accordingly, both interim applications were dismissed in a common order dated 26.02.2025, with liberty that observations were tentative and for disposal of the applications only. The judgment is not final but a considered interim ruling.

Headnote

A) Trade Marks - Infringement - Composite Marks - Trade Marks Act, 1999, Section 17 - Plaintiffs sought interim injunction restraining use of element 'NFC' based on registered composite marks including 'NFC-THAT ADDS LIFE', 'ZEROWUD NFC' and 'INDOWUD NFC'. Court held that registration of a composite mark confers exclusive rights only over the mark taken as a whole, and not over any part thereof, under Section 17. The element 'NFC' was not the dominant feature of these composite marks. Held: No exclusive right in the abbreviation, thus no interim injunction (Paras 4-5).

B) Trade Marks - Distinctiveness - Descriptive Abbreviations - Trade Marks Act, 1999, Sections 30(2), 35 - Defendants argued that 'NFC' is an abbreviation of Natural Fibre Composite and thus descriptive, not distinctive. Court agreed that abbreviations of descriptive words require heavy onus to show acquired distinctiveness/secondary meaning. Plaintiffs' mark registration applications were on 'proposed to be used' basis and earliest invoice (2018) used 'NFC' descriptively, not as a mark. Held: Plaintiffs failed to prove secondary meaning, thus not entitled to interim injunction (Paras 5-6).

C) Trade Marks - Passing Off - Misrepresentation - No specific statutory provision - To succeed in passing off, plaintiffs must establish misrepresentation. Defendants' mark 'WUDSY NFC' prominently featured 'WUDSY', and the court found no prima facie evidence of passing off. Held: No interim relief for passing off (Para 7).

D) Trade Marks - Interim Injunction - Balance of Convenience - Code of Civil Procedure, 1908, Order XXXIX Rules 1 and 2 - Considering lack of distinctiveness of descriptive element and failure to show misrepresentation, balance of convenience not in plaintiffs' favor. Applications dismissed. Observations are tentative and limited to interim stage (Para 8).

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Issue of Consideration

Whether the plaintiffs are entitled to interim relief for infringement and passing off in relation to the use of the element 'NFC' as part of their registered composite trade marks, given that 'NFC' is an abbreviation of descriptive words and has not acquired secondary meaning.

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Final Decision

Both original applications for interim injunction (O.A.Nos.845 and 846 of 2024) were dismissed. The court held that 'NFC' is a descriptive abbreviation and part of composite marks; registration under Section 17 does not confer exclusive right over that descriptive part absent proof of secondary meaning. Plaintiffs failed to show acquired distinctiveness or misrepresentation by defendants. Observations are tentative and only for disposal of applications.

Law Points

  • Legal points not extracted
  • Registration of composite mark confers exclusive right only over the mark as a whole
  • not over parts thereof
  • abbreviation of descriptive words like NFC for Natural Fibre Composite is descriptive and requires heavy onus of proof of secondary meaning for protection
  • passing off requires proof of misrepresentation
  • interim injunction denied where element is descriptive and no evidence of secondary meaning
  • Section 17 of Trade Marks Act
  • 1999
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Case Details

2025 LawText (MAD) (02) 32

O.A.Nos.845 & 846 of 2024 in C.S(Comm.Div)No.221 of 2024

2025-02-26

Senthilkumar Ramamoorthy

Citation not available

Mr.P.R.Raman, Mr.T.D.Selvan Babu, Ms.Shamilee Rajkumar, Mr.M.Adeeb Mohammed

1.B L Bengani, 2.Indowud NFC Private Limited

1.M/s.Prabitha Polymers, 2.S.S.Tirupati Enterprises Pvt. Ltd.

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Nature of Litigation

Trade mark infringement and passing off suit seeking permanent injunction, with interim applications for injunction pending suit.

Remedy Sought

Plaintiffs sought interim injunction restraining defendants from infringing registered trade marks containing 'NFC' and from passing off goods using 'NFC' mark.

Filing Reason

Plaintiffs alleged that defendants, after purchasing raw materials, unlawfully used the element 'NFC' in their trade mark, piggybacking on plaintiffs' reputation.

Previous Decisions

Previous decisions not referenced

Issues

Whether the plaintiffs are entitled to interim injunction for infringement and passing off based on registered composite marks containing the element 'NFC', which is an abbreviation of descriptive words.

Submissions/Arguments

Plaintiffs argued they are registered proprietors of marks with 'NFC' (e.g., 'NFC-THAT ADDS LIFE', 'ZEROWUD NFC', 'INDOWUD NFC'), defendants used raw materials from plaintiffs and then adopted 'NFC' to ride on their reputation, they spent Rs.53.37 lakhs on promotion and had sales of Rs.21.80 Crores in 2022-23, and defendants applied for 'Natural Fibre Composite' mark, so cannot deny distinctiveness. Defendants argued their mark is 'WUDSY NFC' not just 'NFC', 'NFC' is an abbreviation of Natural Fibre Composite and thus descriptive and not distinctive, plaintiffs themselves used 'NFC' descriptively in invoices and marketing, the abbreviation has not acquired secondary meaning, and Sections 30(2) and 35 of Trade Marks Act protect descriptive use. They relied on several precedents including Bharat Biotech and Marico.

Ratio Decidendi

Registration of a composite trade mark under Section 17 of the Trade Marks Act, 1999 confers exclusive right only over the mark taken as a whole, not over its descriptive parts. An abbreviation of descriptive words is not entitled to protection without heavy and convincing evidence of acquired secondary meaning. For passing off, prima facie misrepresentation must be shown, which is absent where the defendant's mark prominently uses a different distinctive element. Interim injunction cannot be granted where the descriptive element lacks distinctiveness and no evidence of misrepresentation exists.

Judgment Excerpts

the registration of a mark consisting of several matters (composite mark) confers on the proprietor exclusive rights over the trade mark taken as a whole. Sub-section (2) thereof provides that the registered proprietor of a composite mark is not conferred any exclusive right in matters forming only a part of the composite trade mark. the admitted position is that 'NFC' is an abbreviation of Natural Fibre Composite. Therefore, it is undoubtedly an abbreviation of descriptive words... the element 'NFC', in the plaintiff's trade marks, has acquired secondary meaning as on date. it cannot be concluded at this stage that the defendants are passing off their products as those of the plaintiffs.

Procedural History

Plaintiffs filed C.S(Comm.Div)No.221 of 2024 along with O.A.Nos.845 and 846 of 2024 under Order XXXIX Rules 1 and 2 of CPC, seeking interim injunctions for trade mark infringement and passing off. After hearing both sides, the court passed the present common order dismissing both interim applications on 26.02.2025.

Acts & Sections

  • Trade Marks Act, 1999: 17, 30(2), 35
  • Code of Civil Procedure, 1908: Order XXXIX Rule 1, Order XXXIX Rule 2, Section 151
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