Full Judgment Text
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* IN THE HIGH COURT OF DELHI AT NEW DELHI
nd
Date of Decision: 2 August, 2023
+ CS(COMM) 856/2022
WHITEHAT EDUCATION TECHNOLOGY PRIVATE
LIMITED ..... Plaintiff
Through: Mr. Prithvi Singh, Mr. Rohan Seth,
Ms. Archita Nigam, Advs.
versus
VINAY KUMAR SINGH ..... Defendant
Through: None.
CORAM:
JUSTICE PRATHIBA M. SINGH
Prathiba M. Singh, J. (Oral)
1. This hearing has been done through hybrid mode.
I.A. 14215/2023 (for exemption)
2. Allowed, subject to all just exceptions. Application is disposed of.
I.A. 14214/2023 (u/O XIII-A Rule 3 & 6(1)(a) CPC)
3. The present suit has been filed by the Plaintiff-Whitehat Education
Technology Private Limited against the Defendant- Mr. Vinay Kumar
Singh.
4. It is the Plaintiff’s case that it runs an edu-tech startup that teaches
coding to children, through its online platform. The Plaintiff develops the
curriculum and also imparts lessons through live interactive online classes,
offering flexibility for children to learn coding online. Moreover, the
Plaintiff’s online platform provides practice sessions for children, and the
platform also encourages children to develop apps, games and animation.
5. The Plaintiff was originally established in 2018, and was acquired in
August, 2020 by ‘Think & Learn Pvt. Ltd.’ for 300 million dollars, which is
operated by online platform Byju’s. It then expanded its business to offer
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classes in music, art, animation, video, etc. The Plaintiff operates through
domain name www.whitehatjr.com which was registered on 23rd May,
2018. The Plaintiff’s revenues, in the peak of the COVID-19 pandemic,
were stated to be over Rs.480 crores in 2020-21. The Plaintiff claims its
popularity through its followers on social media platforms such as
Instagram, YouTube, etc. where it boasts of lakhs of subscribers and
followers.
6. Insofar as the mark ‘WHITEHAT JR’ is concerned, the Plaintiff has
registrations for the said mark in several classes. The details of the same
have been set out in para 14 of the plaint.
7. The Defendant is involved in providing services related to digital and
online marketing, web development, and search engine optimization (SEO).
8. The case of the Plaintiff is that in October 2022, the Defendant started
a domain name/website by the name www.whitehatsr.in and adopted the
logo
. The registration of the domain name was obtained
on 9th March, 2020 and the Defendant was also available on various social
media platforms. According to the Plaintiff, the structural similarity of the
'W' logo used by the Defendant, with an arrow pointing upwards, to the
Plaintiff's logo with a rocket launching upwards, indicates a deliberate
design to deceive customers.
9. A comparative representation of the competing marks is set out
below:
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| Plaintiff’s ‘WhiteHat Jr’ | Defendant’s marks | ||
| trademarks | |||
10. The Plaintiff, aggrieved by the adoption of the said impugned mark
th
‘WHITEHAT SR’ , sent a legal notice dated 4 October 2022 to the
Defendant, demanding them to stop using the impugned mark. Despite there
being no response, the Plaintiff followed up with a reminder on 17th
October 2022. The Defendant finally responded on 18th October 2022,
refusing to halt the use of the impugned mark ‘WHITEHAT SR’ . The
Defendant justified its use by claiming that their marks are distinct from the
Plaintiffs' ‘WHITEHAT JR’ trademarks and are used for different services.
11. The Plaintiff then filed the present suit seeking an injunction. Vide
order dated 12th December, 2022, this Court had granted an ex parte ad
interim injunction in the following terms:
“28. In the prima facie opinion of the Court, the
consumers will be misled that the defendant is in some
manner associated/affiliated with the plaintiff or the
services are connected to that of the plaintiff.
29. A prima facie case has been made out on behalf of
the plaintiff. Balance of convenience is in favour of the
plaintiff and against the defendant. Irreparable harm and
injury would be caused to the goodwill and reputation of
the plaintiff if the defendant is continued to use the
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impugned marks. 30. Consequently, till the next date of
hearing, the defendant, its agents, representatives and/or
all other acting for and on its behalf are retrained from
using the marks “WHITEHAT
SR”/
or any other deceptively
similar variant thereof as a trademark, tradename,
domain name, as a part of its email address/es or in any
other manner which amounts to infringement of the
plaintiff’s trademarks.
31. Godaddy.com LLC is directed to suspend access and
operation of the impugned website/domain name, i.e.,
whitehatsr.in and take down the said domain name of the
defendant. 32. Defendant is also directed to take down
all social media pages including but not limited to
Facebook, Instragram and LinkedIN which infringes the
trademarks of the plaintiff.”
12. Subsequent to this order, the Defendant was served through e-mail,
and repeated service has not elicited any appearance from the Defendant.
The Defendant has in fact, replied to an e-mail of the Plaintiff sent on 13th
December, 2022. The reply of the Defendant received on the same date is as
follows:
“Dear Sir,
Sir, for your information, let me tell you that all kinds of
domain related work and work has stopped a long time
ago. We want to inform you that you should check once
again. You will be greatly pleased. We had taken the
domain from GoDaddy. We bought it after spending
Rs.1600. We are very small people. Even our 1600
rupees were wasted. but never mind. We have closed the
domain anyway. You said, I was unaware and
unknowingly bought the domain from Godeddy. If I had
known that buying domains from Godaddy was wrong, I
would have done it. Please forgive me. I am not running
any domain from godaddy like this anymore. You can
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check the website if you want. It's closed, sir. My
English is a little poor. So sorry. Thank You !”
13. Ld. Counsel for the Plaintiff has now moved an application under
Order XIII-A CPC for summary judgment in view of the clear stand of the
Defendant that he does not wish to use the mark and has already stopped use
of the mark ‘WHITEHAT SR’. The website of the Defendant is also stated to
be non-operational.
14. Heard. The present application under Order XIII-A of the CPC seeks
summary judgment. In so far as the prayer for summary judgment is
concerned, as per the Commercial Courts Act, 2015 read with the Delhi
High Court (Original Side) Rules, 2018 (hereinafter, ‘Original Side Rules’ )
and Rule 27 of the IPD Rules, summary judgment can be passed under
Order XIIIA of the CPC, if the Defendant has no real prospect of succeeding
in the matter. Rule 27 of the IPD Rules read as under:
“ 27. Summary Adjudication
In cases before the IPD, the Court may pass
summary judgment, without the requirement of filing a
specific application seeking summary judgment on
principles akin to those contained in Order XIIIA, Code
of Civil Procedure, 1908 as applicable to commercial
suits under the Commercial Courts Act, 2015.”
15. In Mallcom (India) Limited v. Rakesh Kumar , [CS(COMM)
480/2016, dated 19th March, 2019] the ld. Single Judge of this Court has
observed :
“24. The test for summary judgment, as prescribed in
Rule 3 of Order XIIIA of the CPC as applicable to
Commercial Courts Act is, that "the defendant has no
real prospect of successfully defending the claim" and
that "there is no other compelling reason why the claim
should not be disposed of before recording the oral
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| evidence". Rule 1 of Chapter XA of the Delhi High Court | |
|---|---|
| (Original Side) Rules merely provides that "At the time of | |
| Case Management hearing, a Court, may of its own, | |
| decide a claim pertaining to any dispute, by a summary | |
| judgment, without recording oral evidence" and Rule 3 | |
| therein reiterates the language aforesaid of Rule 3 of | |
| Order XIIIA qua grounds for summary judgment.” |
acquired enormous reputation owing to the extensive use which has been
done over a short period of time. The impugned mark of the Defendant is
‘WHITEHAT SR’, which is almost identical to the Plaintiff’s mark. In fact,
the writing style of the letter ‘W’ is also identical to the Plaintiff’s writing
style. The mark is a registered trademark of the Plaintiff.
17. Considering these facts, the Defendant cannot be permitted to use the
impugned mark ‘WHITEHAT SR’ either in physical or in online platforms in
any manner whatsoever. The application under Order XIII-A CPC has
attached the correspondence with the Defendant which also shows that the
Defendant is not interested in contesting the matter.
18. Under such circumstances, this is a fit case for passing of a decree
under Order XIII-A CPC for summary judgment, as prayed for by the
Plaintiff.
19. The Defendant is accordingly restrained by a permanent injunction
from using the mark ‘WHITEHAT SR’ and logos
,
or
any mark or name which is either identical or deceptively similar variant of
the Plaintiff’s trademark and tradename ‘WHITEHAT JR’ either as a part of
the its trademark, trading style or domain name or even in e-mail addresses
which would result in violation of the Plaintiff’s statutory and common law
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rights.
20. A decree is also granted directing Godaddy.com to transfer the
domain name www.whitehatsr.in upon payment of requisite charges, if any.
21. The Supreme Court Uflex Ltd. v. Government of Tamil Nadu [Civil
Appeal Nos. .4862-4863 OF 2021, Judgement dated 17th September 2021]
has categorically held that award of costs should ordinarily follow in
commercial matters, and should serve the purpose of curbing frivolous and
vexatious litigation. The relevant portion of the said judgment is as follows:
“53. We may note that the common thread running
through all these three cases is the reiteration of salutary
principles: (i) costs should ordinarily follow the event;
(ii) realistic costs ought to be awarded keeping in view
the ever increasing litigation expenses; and (iii) the cost
should serve the purpose of curbing frivolous and
vexatious litigation.
…
56. We have set forth the aforesaid so that there is
appreciation of the principles that in carrying on
commercial litigation, parties must weigh the
commercial interests, which would include the
consequences of the matter not receiving favourable
consideration by the courts. Mindless appeals should
not be the rule. We are conscious that in the given facts
of the case the respondents have succeeded before the
Division Bench though they failed before the learned
single Judge. Suffice to say that all the parties before us
are financially strong and took a commercial decision
to carry this legal battle right up to this Court . They
must, thus, face the consequences and costs of success or
failure in the present proceedings.
….
59. We have scrutinised the bill of fee and costs. We are
inclined to allow actual costs. However, we have
modulated the costs insofar as appellant is concerned to
the extent of the indicated amount of the Advocate-on-
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Record and allow 50% of the same.”
22. This Court in Cross Fit LLC v. RTB Gym and Fitness Centre [CS
(COMM) 543/2021, decision dated 6th September 2022] has also followed
the above principle of granting actual costs as laid down in Uflex Ltd.
(supra).
23. Due to the fact that the Defendant has not contested the matter, but
compelled the Plaintiff to file the present suit, by not agreeing to give up the
infringing mark, despite being put to notice, the Plaintiff is entitled to
receive actual costs.
24. The bill of actual costs, placed on record as a part of the present
application, shows that the actual costs amount to Rs.9,24,000/-.
Accordingly, a decree is granted in favour of the Plaintiff for the sum of
Rs.9,24,000/-.
25. Let the decree sheet be drawn-up accordingly.
26. The present suit is disposed of. All pending applications are also
disposed of.
27. Next date of hearing stands cancelled.
PRATHIBA M. SINGH
JUDGE
AUGUST 2, 2023
Rahul/dn
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Digitally Signed
By:DHIRENDER KUMAR
Signing Date:04.08.2023
16:01:36