Capital Foods secures ex-parte ad-interim injunction against Fivestar Dehydration for trademark infringement and passing off.
In a significant ruling, the Delhi High Court has granted an ex-parte ad-interim injunction in favor of Capital Foods Private Limited, restraining Fivestar Dehydration Pvt Ltd. from using deceptively similar trademarks to "Schezwan Chutney." The plaintiff, a leading food enterprise, alleged infringement of its well-known trademark and sought to protect its brand identity.
Capital Foods, an associate of the TATA Group and a prominent player in the food industry, filed a suit against the defendants, asserting that their use of similar marks such as "Schezwan Hot Chutney" or "Schezwan Sauce Hot Chutney" infringed on its registered trademark. The Delhi High Court, presided over by Justice Tushar Rao Gedela, recognized the plaintiff's mark as well-known and distinctive, with substantial reputation and goodwill.
The court's decision was heavily influenced by the plaintiff's demonstration of continuous and extensive use of the "Schezwan Chutney" mark since 2012. Capital Foods highlighted its significant promotional activities, which have contributed to the mark acquiring secondary significance in the market. The court noted that the defendants' adoption of similar marks was dishonest and likely to dilute the plaintiff's goodwill.
The case was strengthened by documentary evidence and previous legal precedents, including a Division Bench order recognizing the mark's secondary significance. Capital Foods argued that the defendants' use of the mark was likely to deceive and confuse consumers, causing them to believe that the products belonged to or were associated with the plaintiff.
In addition to granting the injunction, the court directed the defendants to file records of sales and accounts of the infringing products. The ruling also exempted the plaintiff from pre-institution mediation, given the urgency of the interim relief sought.
This decision reaffirms the legal protection afforded to well-known trademarks and underscores the importance of maintaining brand integrity in competitive markets.
Bottom line:-
Trade Mark - Ex-parte ad-interim injunction granted to restrain the defendants from using a deceptively similar mark "Schezwan Chutney" which infringes the plaintiff's registered trade mark and causes confusion among consumers.
Statutory provision(s): Trade Marks Act, 1999 Section 29, Civil Procedure Code, 1908 Order XXXIX Rules 1 & 2, Commercial Courts Act, 2015 Section 12A