Delhi High Court Slaps Penalty on Kartar Industries for Trademark Infringement and Contempt

Kartar Industries ordered to pay damages and donate to charity for contempt actions and infringing on Hero Investcorp's trademarks.

In a significant ruling by the Delhi High Court, Kartar Industries has been found guilty of trademark infringement and contempt of court, resulting in a hefty penalty. The judgment, delivered by Justice Tejas Karia, highlighted the defendant's misconduct, including the destruction of infringing goods and the manhandling of court-appointed officials.

The case, titled Hero Investcorp Pvt. Ltd. v. Kartar Industries, revolved around the infringement of Hero Investcorp's registered trademarks, including the widely recognized 'HERO' mark. The court had earlier issued an ex-parte ad-interim injunction against Kartar Industries, restraining them from using the plaintiff's trademarks or any deceptively similar marks.

During the execution of the court's orders, officials discovered a substantial amount of infringing goods at the premises of Kartar Industries. The situation escalated when the defendant's representatives manhandled the local commissioner and plaintiff's counsel, further exacerbating their contempt by setting fire to the counterfeit goods in their presence.

Justice Karia emphasized that threatening court officials and interfering with the execution of the commission could not be condoned by an apology alone. As a result, Kartar Industries was ordered to donate Rs. 2,50,000 to HelpAge India and pay an equal amount in damages to Hero Investcorp for the losses and inconveniences caused.

The judgment serves as a stern reminder of the judiciary's intolerance towards contemptuous conduct and trademark violations. It underscores the importance of adhering to court orders and respecting the legal process, especially in cases involving intellectual property rights.

In addition to the penalty, the court decreed a permanent injunction against Kartar Industries, preventing further infringement of Hero Investcorp's trademarks. The defendant acknowledged compliance with previous orders and agreed to cease infringing activities, a move that facilitated the settlement of the suit.

This ruling is a landmark decision in the realm of intellectual property law, reinforcing the judiciary's commitment to protecting trademark rights and maintaining the sanctity of court procedures.

Bottom Line:

Trademark infringement - Defendant held liable for contempt of court for disobedience of court orders, manhandling officials, and destruction of infringing goods - Defendant directed to pay costs and damages to Plaintiff for losses and inconveniences caused due to infringement and contempt actions.

Statutory provision(s): Trade Marks Act, 1999, Order XXXIX Rule 2A of the Code of Civil Procedure, 1908

Hero Investcorp Pvt. Ltd. v. Kartar Industries, (Delhi) : Law Finder Doc Id # 2822853