Full Judgment Text
Neutral Citation Number: 2023:DHC:2230
$~
* IN THE HIGH COURT OF DELHI AT NEW DELHI
th
% Date of Decision: 29 March, 2023
+ CS(COMM) 189/2017
CENTRAL PARK ESTATES PVT. LTD.
& ORS. ..... Plaintiffs
Through: Mr. Peeyoosh Kalra and
Mr. Rohan J. Kapoor, Advocates.
versus
SAMVARA BUILDTECH
PRIVATE LIMITED & ANR. ..... Defendants
Through: Mr. Jayant Mehta, Senior
Advocate with Mr. Shantanu Malik,
Mr. Jaskaran Singh Narula, Ms. Isha Dhanda
and Mr. Srikar P.D.V., Advocates.
CORAM:
HON'BLE MS. JUSTICE JYOTI SINGH
JUDGEMENT
JYOTI SINGH, J.
I.A. 3107/2017 (under Section 135(2) Trade Marks Act, 1999 r/w
Order 39 Rules 1 and 2 CPC, by Plaintiffs) and I.A. 6778/2017 (under
Order 39 Rule 4 CPC, by Defendants)
1. This judgment shall dispose of the aforementioned applications,
one filed by the Plaintiffs under Section 135(2) of Trade Marks Act,
1999 (hereinafter referred to as the ‘Act’) read with Order 39 Rules 1
and 2, CPC and the other by the Defendants under Order 39 Rule 4,
CPC for vacation of ex parte ad interim` injunction granted vide order
dated 10.03.2017.
2. The suit, in which the present applications have been filed, is
for permanent injunction restraining the Defendants inter alia from
infringing Plaintiffs’ registered trademark ‘CENTRAL PARK’ or its
Signature Not Verified
Digitally Signed by:KAMAL
KUMAR
Location:
Signing Date:03.04.2023
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variants as well as from constructing, developing, marketing etc. any
housing or real estate projects under the impugned trademarks or any
other trademark which incorporates or contains any reference to the
registered trademarks of Plaintiff No. 1.
3. Factual matrix emerging from the plaint is that Plaintiffs No. 1
to 4 are Companies with common Directors and are part of the same
Group of Companies, incorported under the Companies Act, 1956.
Plaintiffs are one of the most reputed real estate developers in the
country who adopted the registered trademark
years ago on 21.03.2015. Currently, Plaintiff No. 1 is the registered
propreitor of 11 such registered trademarks with the words
‘CENTRAL PARK’ as their prominent and leading feature.
4. It is stated that Plaintiffs enjoy unparalled goodwill and
reputation as real estate developers and have been instrumental in
developing land and constructing premier residential apartments,
hospitality projects, five-star hotels with projects and production units
in various parts of the country and can boast of an audited annual
turnover of Rs.1,784 crores in the Financial Year 2015-16 alone.
Each of these projects have been undertaken under the umbrella
trademark/housemark CENTRAL PARK. It is averred that apart from
common law rights which the Plaintiffs enjoy by prior adoption and
use, Plaintiff No. 1 in order to secure statutory rights in the word
mark CENTRAL PARK and its derivatives/formatives has obtained
registrations, which are valid and subsisting and the list is as follows:-
| S. No. | Mark | Class | Appl. No. | Date of<br>Appl. | Status |
|---|---|---|---|---|---|
| 1. | 37 | 1346017 | 21.03.2005 | Registered |
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| 2. | 36 | 1346018 | 21.03.2005 | Registered | |
|---|---|---|---|---|---|
| 3. | CENTRAL PARK<br>RESORTS | 37 | 2095018 | 04.02.2011 | Registered |
| 4. | CENTRAL PARK<br>RESORTS | 43 | 2095019 | 04.02.2011 | Registered |
| 5. | CENTRAL PARK<br>RESORTS<br>&RESIDENCE | 37 | 2095025 | 04.02.2011 | Registered |
| 6. | THE RESORTS -<br>CENTRAL PARK | 37 | 2102851 | 21.02.2011 | Registered |
| 7. | CENTRAL PARK<br>RESORT<br>RESIDENCES | 37 | 2148074 | 23.05.2011 | Registered |
| 8. | CENTRAL PARK<br>RESORT<br>RESIDENCES | 43 | 2148079 | 23.05.2011 | Registered |
| 9. | 36 | 2642272 | 13.12.2013 | Registered | |
| 10. | 37 | 2642273 | 13.12.2013 | Registered | |
| 11. | 43 | 3100341 | 18.11.2015 | Registered |
5. It is further stated that some of the projects of the Plaintiffs are
internationally recognized and renowned. One of their projects
namely, Central Park-II at Gurugram was executed under the guidance
and technical supervision of world’s largest architectural and
engineering Firm, HOK International Limited, which has the singular
distinction of planning the Dubai Marina. Various National
publications such as Times Property as well as other print and digital
media have covered the projects of the Plaintiffs and the popular
channel Zee News, included the CENTRAL PARK-II project in its list
of Top-9 high-end real estate complexes in India. Plaintiff No. 1 is
also the recipient of the Award for the ‘Best Residential Project in
NCR under Luxury Segment category’.
Signature Not Verified
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KUMAR
Location:
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6. It is further averred that the annual turnover of the Plaintiffs
from their projects, as mentioned in the plaint, is an excellent indicator
of the popularity and reputation of the mark CENTRAL PARK. Total
revenue collection of the Plaintiffs and their licensees from booking
and sale of properties under the project CENTRAL PARK-I was to the
tune of Rs.189.42 crores and was Rs.1922.44 crores under the project
CENTRAL PARK-II, till the date of filing the suit. The total estimated
sale value of project CENTRAL PARK-II is approximately Rs.3,900
crores. The advertising expenses of the various projects run into
several hundred crores, which is a pointer to the goodwill and success
of the Plaintiffs’ trademarks, of which CENTRAL PARK is the
essential part.
7. It is stated that Plaintiffs have been extremely vigilant in
prosecuting their intellectual property rights and have filed
infringement/passing off cases against third parties whenever there
was an attempt to infringe the Plaintiffs’ trademarks or tarnish their
goodwill by passing off the goods/services. Details of various Court
cases have been furnished by the Plaintiffs in the plaint.
8. The cause of action to file the present suit, according to the
Plaintiffs, arose in the third week of February, 2017, when one of the
representatives of the Plaintiffs, while surfing the internet came across
Defendants’ group websites namely www.palava.in/central-park and
www.lodhagroup.com , wherein Defendants had boldly and openly
advertised their real estate project under the impugned infringing
trademark
.
9. On 10.03.2017, this Court passed an ex-parte ad interim order
restraining the Defendants and their Directors etc. from using
CENTRAL PARK as a mark for any of their activities. Upon service
Signature Not Verified
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KUMAR
Location:
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of summons, Defendants filed the written statement and an application
under Order 39 Rule 4 CPC seeking vacation of the ex-parte
injunction order.
10. Arguing in support of the application for vacation of the interim
injunction, it was contended on behalf of the Defendants that:-
(A) Plaintiffs have failed to disclose that in relation to the mark
CENTRAL PARK, Plaintiffs have asserted before the Trade
Marks Registry, on several occasions, that they do not claim
exclusivity/monopoly over the word mark and the label marks
must be seen as a whole. In response to the examination reports
of the Trade Marks Registry, wherein marks of the third parties
such as CENTRAL PARK in Class 42 and CENTRAL PARK-
17 (device) in Class 43 were cited, Plaintiffs have stated that the
cited marks were different conceptually, structurally and
visually since the marks have to be seen as a whole, without
dissection and relied on the judgment of this Court in United
Biotech Pvt. Ltd. v. Orchid Chemicals & Pharmaceuticals Ltd.
& Ors., 2012 SCC OnLine Del 2942. Therefore, Plaintiffs are
estopped from claiming monopoly over the word mark
CENTRAL PARK and/or seeking a restraint against the
Defendants in respect thereof. It is trite that a proprietor cannot
take inconsistent stands before the Trade Marks Registry and
the Courts and on this ground alone injunctions have been
refused by the Courts in several matters. Reliance was placed on
the judgments in S.K. Sachdeva and Another v. Shri Educare
Limited and Another, 2016 SCC OnLine Del 6708, Mankind
Pharma Ltd. v. Chandra Mani Tiwari & Anr., 2018 SCC
OnLine Del 9678, Poly Medicure Limited v. Polybond India
Pvt. Ltd., 2019 SCC OnLine Del 11967 and Teleecare Network
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India Pvt. Ltd. v. Asus Technology Pvt. Ltd. and Others, 2019
SCC OnLine Del 8739.
(B) The words ‘CENTRAL PARK’ are not used by the Defendants
as a trademark/mark and they serve as mere indicators of the
geographical layout and description of the project. Usage of
‘CENTRAL PARK’ is not standalone but along with the
trademarks of the Defendants and purely in a descriptive sense
as ‘Palava Central Park or ‘Lodha Palava Central Park’ or
‘Central Park Palava’s Most Premium and Green
Neighbourhood’ and not as a source identifier, which is the
function of a trademark.
(C) Defendants belong to the Lodha Group, which is in the business
of real estate development for over 35 years and are currently
developing excess of 41 million sq. ft. real estate properties
with over 40 projects in Mumbai, Pune, Thane, Hyderabad and
two in London. The Group has recently acquired the iconic
McDonalds House in London for 500 million dollars besides
other prestigious acquisitions such as Washington House on
Altamont Road. Defendants have tie ups with various brands,
both in India and overseas, to execute their projects such as
Armani, Larsen and Toubro, Jade Jagger etc. The annual sale
for the Financial Year 2014-15 was Rs.6304 crores, for
Financial Year 2015-16 was Rs.6430 crores and for Financial
Year 2016-17 was Rs.6924 crores, when the written statement
was filed. It is thus evident that Defendants have a huge brand
image, formidable and immense goodwill and reputation of
their own and do not need to derive any mileage or exploit the
goodwill and reputation of the Plaintiffs by using ‘CENTRAL
PARK’ as a Trademark, as alleged by the Plaintiffs.
Signature Not Verified
Digitally Signed by:KAMAL
KUMAR
Location:
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(D) Plaintiffs have wrongly averred and claimed that Defendants
have adopted and imitated the mark of the Plaintiffs, while not
disclosing that Plaintiffs have registration only in the label
marks and not in CENTRAL PARK/Central Park word marks
per se. Plaintiffs have, in fact, never applied for registration of
the word mark and therefore, cannot seek indirectly what they
cannot seek or be granted directly. It is trite that registration of a
label mark does not give exclusivity of use over any word(s)
contained therein. Reliance is placed on the judgment of the
Supreme Court in Registrar of Trade Marks v. Ashok Chandra
Rakhit Ltd., AIR 1955 SC 558 and on the judgment of this
Court in Vardhman Buildtech Pvt. Ltd. & Ors. v. Vardhman
Properties Ltd., 2016 SCC OnLine Del 4738.
(E) The expression ‘CENTRAL PARK’ is comprised of 2 separate
words in English language and are generic or at best descriptive
and cannot be monopolized and perhaps for this reason, till date
Plaintiffs have not even applied for registration of the word
mark, without any suffix or prefix. As per the settled law,
generic words are given the lowest protection. Reliance was
placed on India Habitat Centre v. Sunita Aeren and Ors.,
MANU/DE/0830/2008 ; Living Media India Ltd. and Anr. v.
Alpha Dealcom Pvt. Ltd. & Ors., 2014 SCC OnLine Del 768
and Ultratech Cement Limited and Another v. Dalmia Cement
Bharat Limited, 2016 SCC OnLine Bom 3574 .
(F) Section 17(2) of the Act clearly and unambiguously provides
that when a trademark contains any part, which is not the
subject matter of a separate application by the proprietor, for
registration as a trademark or contains any matter which is
common to trade or otherwise of non-distinctive character,
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Location:
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registration thereof shall not confer any exclusive right in the
matter forming only a part of the whole of the trademark so
registered. On all counts, Plaintiffs fail and cannot claim
monopoly on the mark CENTRAL PARK, which is common to
trade, generic and inherently non-distinctive and not registered
separately as a trademark in favour of the Plaintiffs. There are
several builders who use the mark CENTRAL PARK in a
descriptive manner in relation to their buildings or housing
projects as the expression merely denotes a park located
centrally within a defined area. As per information available
with Defendants, some of the projects under the mark
CENTRAL PARK are NITESH CENTRAL PARK by Nitesh
Estates, CENTRAL PARK by the Proviso Group in Navi
Mumbai, DARSHANAM CENTRAL PARK VADODRA by
Crisil Real Estate, CENTRAL PARK, a theme park, a project
undertaken by Navi Mumbai Municipal Corporation (NMMC)
in Savali Village, Ghansoli, CENTRAL PARK by Urban
Constructions in Hyderabad, SANKALP CENTRAL PARK by
Sankalp Group and THE CENTRAL PARK HOTEL, PUNE.
(G) Word mark CENTRAL PARK is also common to the Register
of Trade Marks. CENTRAL PARK is registered in Class 24 by
Poonam Hotels Limited, bearing registration No. 405272 for
linen, textile goods etc. It is also registered under registration
No. 405273 by the same entity in Class 25 for uniforms and
other readymade garments etc.
(H) Plaintiffs have placed heavy reliance on the judgment of this
Court in Central Park Estates Pvt. Ltd. and Others v. Godrej
Skyline Developers Private Limited and Another, 2019 SCC
OnLine Del 11580 . The judgment cannot come to the aid of the
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KUMAR
Location:
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Plaintiffs, as firstly, being an order of interim injunction, it does
not finally or conclusively adjudicate the issues on facts or law
and cannot be treated as a precedent. Reliance was placed on the
judgments of the Supreme Court in State of Assam v. Barak
Upatyaka D.U. Karmachari Sanstha, (2009) 5 SCC 694 and
Ram Parshotam Mittal and Others v. Hotel Queen Road
Private Limited and Others, (2019) 20 SCC 326 , in support
of this proposition. Even otherwise, the judgment is
distinguishable for various reasons. In the said judgment,
Godrej had itself filed an application for registration of the
device mark GODREJ CENTRAL PARK and thus, the Court
observed that anyone who applies for registration of the mark
cannot claim that it is generic or descriptive, which is not the
case here. Unlike in the present case, Godrej had not cited large
scale use of the mark by third parties to show that the mark was
common to trade as also prior registrations of third parties. The
judgment proceeds on the basis that Plaintiffs have a monopoly
or exclusive rights over the words CENTRAL PARK which is
incorrect, as no rights can be claimed over generic marks, more
particularly, in the absence of their registrations and the stand of
the Plaintiffs before the Trade Marks Registry.
11. Refuting the contentions raised on behalf of the Defendants,
learned counsel representing the Plaintiffs contended as follows:-
(A) Plaintiffs are the registered proprietors of the label mark
and its variants and thus have a statutory
right of exclusive use of the trademark in relation to the goods
or services in respect of which the trademark is registered, as
well as to obtain relief in respect of infringement of the
Signature Not Verified
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KUMAR
Location:
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trademark in the manner provided by the Act, by virtue of
provisions of Section 28(1) of the Act, besides common law
rights. Defendants are using CENTRAL PARK, which is
phonetially, structurally and visually identical with the mark of
the Plaintiffs and since there is identity in the field of activity
i.e. estate development and hospitality and the customer base
is the same, confusion amongst unwary customers and/or
association of the projects of the Defendants with the Plaintiffs
is inevitable. Plaintiffs are reputed real estate developers with
unparalled goodwill and reputation in the real estate industry.
Plaintiffs have been and are associated with projects with
turnovers of crores of rupees, details of which are furnished in
the plaint and have to their credit not only in India but also
internationally, projects such as CENTRAL PARK-II at
Gurugram, which has been covered by the print and electronic
media as one of the Top 9 high-end estate complexes in India.
Several awards and accolades have been earned by the Plaintiffs
including the award of ‘Best Residential Project in NCR under
Luxury Segment category’ in 2014, in Delhi. The financial
statements reflecting the annual turnovers and the expenses
incurred on publicity and advertisement in India and abroad are
indicators of the unparalleled reputation of the Plaintiffs. The
trademark of the Plaintiffs CENTRAL PARK has become
distinctive and is exclusively associated with the Plaintiffs
beyond geographical boundaries. Plaintiffs have successfully
obtained interim orders in cases where third parties have
attempted to infringe the trademark CENTRAL PARK, as
detailed in the plaint. By using identical mark, Defendants are
guilty of infringement under Section 29 of the Act.
Signature Not Verified
Digitally Signed by:KAMAL
KUMAR
Location:
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(B) Stand of the Defendants that they are not using the mark
CENTRAL PARK as a trademark is false and incorrect. A bare
perusal of the manner, in which the mark is used, shows that the
words CENTRAL PARK have been prominently displayed so
as to catch the eye of the intending customers and the intent
is only to gain advantage from the goodwill and reputation of
the mark generated by the Plaintiffs. Defendants have copied
the leading and prominent feature of Plaintiffs’ registered
trademark in entirety. The project in question which triggered
the filing of the suit is launched as ‘Central Park Palava’s most
Premium and Green Neighbourhood’ and this itself shows that
Central Park is projected as a trademark, which gets pronounced
by use of a thick and large font used for the words ‘Central
Park’ on the cover page of the introductory brochure. While
Plaintiffs have no objection to the Defendants using their
trademarks Lodha and Palava for their real estate business but
they cannot be permitted to use CENTRAL PARK. If it is
Defendants’ own pleaded case that they have a huge brand
image under Lodha and Palava and do not need to encash upon
the goodwill of the mark CENTRAL PARK, then it is not
understood why there is insistence on continuing to use
Plaintiffs’ mark ‘CENTRAL PARK’.
(C) The stand of the Defendants that the mark CENTRAL PARK is
generic, is baseless. Plaintiffs have adopted the mark more than
a decade ago and only because some unscrupulous elements
with an ill intent to exploit the goodwill of the Plaintiffs used
the mark to gain advantage, cannot lead to a conclusion that the
mark is generic. Moreover, this contention was raised by Godrej
in the case of Central Park Estates Pvt. Ltd. and Others
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Location:
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(supra) and was negated by the Court.
(D) It is true that Plaintiffs do not have a separate registration in the
word mark CENTRAL PARK per se , however, Plaintiffs have
registrations in the label marks and its formatives, of which
‘CENTRAL PARK’ is the dominant/essential part. In United
Biotech Pvt. Ltd. (supra), the Division Bench of this Court has
held that when a label mark is registered, it cannot be said that
the word mark contained therein is not worthy of protection. In
the said case, although the registered mark was a label mark, the
word mark ORZID contained therein was held entitled to
protection and reliance was in turn placed by the Division
Bench on the judgment of the Supreme Court in Ramdev Food
Products (P) Ltd. v. Arvindbhai Rambhai Patel and Others,
(2006) 8 SCC 726 .
(E) Plaintiffs’ case is entirely covered by the judgment in Central
Park Estates Pvt. Ltd. and Others (supra), where the Court has
by a detailed judgment restrained the Defendants therein from
using the infringing mark GODREJ CENTRAL PARK. In the
said suit, Defendants had pleaded that the trademark of the
Plaintiff i.e. CENTRAL PARK is descriptive and publici juris
as well as common to trade and thus invalid under Sections 9
and 11 of the Act. It was also contended that the Defendants use
their own name Godrej as a prefix to the dominant part of the
mark. These defences were negated by the Court and none of
the differences sought to be pointed out by the Defendants
herein are enough to distinguish the said judgment. Defendants
have sought to carve out an exception to the said judgement by
portraying that Plaintiffs have pleaded before the Trade Marks
Registry that they do not claim exclusivity in the word mark
Signature Not Verified
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Location:
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CENTRAL PARK, which is wholly incorrect. Replies of the
Plaintiffs to the examination reports cannot be read out of
context. All that the Plaintiffs stated was that marks have to be
read as a whole for comparison and cannot be dissected, but this
cannot be read to imply that Plaintiffs had given up their claim
to the essential part of their registered trademarks. Contention
of the Defendants that non-registration of the word mark
CENTRAL PARK per se disentitles the Plaintiffs to protection
under Section 28(1) of the Act, is a misreading of various
judgements holding to the contrary, wherein it is observed that a
word mark, which is part of a registered label mark, is worthy
of protection.
12. I have heard learned counsel for the Plaintiffs and learned
Senior Counsel for the Defendants and given a thoughtful
consideration to their respective contentions.
13. It is not in dispute that Plaintiff No. 1 is the registered
proprietor of the label mark
and its formatives, as
mentioned above. It is an admitted position that Plaintiff No.1 does
not hold registration in ‘CENTRAL PARK’ word mark per se .
Section 17 of the Act provides that where a trademark consists of
several matters, its registration shall confer on the proprietor exclusive
right to use of the trademark taken as a whole and shall not confer any
exclusive right in the matter forming only a part of the whole of the
trademark so registered. [ Ref. Ashok Chandra Rakhit Ltd. (supra) ].
In Bhole Baba Milk Food Industries Ltd. v. Parul Food Specialities
(P) Ltd., 2011 SCC OnLine Del 288 , the Division Bench of this
Court held that a registered proprietor of a mark can assert a right of
exclusivity only to what he gets registered as a whole and this
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registration will not give an exclusive statutory right qua a
particular word of common origin or generic in nature. This issue of
exclusivity to a part of a mark which is registered as a whole, becomes
pronounced where the proprietor himself asserts proprietory rights
over the whole mark and expressely gives up his claim/right to part of
the mark, on a realization that being generic and thus inherently non-
distinctive, that part of the mark will not be separately registered.
14. In the present case, it is brought forth by the Defendants in their
written statement that the Plaintiffs in their reply dated 18.04.2016
filed before the Registrar of Trade Marks, in response to an
Examination Report dated 26.02.2015, wherein third party marks
‘CENTRAL PARK’ and CENTRAL PARK-17 were cited, had stated
that the mark they were seeking to register must be read as a whole
and not dissected into its constituent elements, for purpose of
comparison. To support this plea reliance was placed on the judgment
of this Court in United Biotech Pvt. Ltd. (supra).
15. Court has perused the reply filed by the Plaintiffs in response to
the Examination Report and finds the stand of the Defendants to be
factually correct. Thus, the question that begs an answer is whether by
adopting this position before the Trade Marks Registry, are the
Plaintiffs estopped from claiming exclusivity on the word mark
‘CENTRAL PARK’ and the answer, in my view, is in the affirmative.
This very legal issue came up for consideration before this Court in
Vasundhra Jewellers Pvt. Ltd. v. Kirat Vinodbhai Jadvani and
Another, 2022 SCC OnLine Del 2996, where the Plaintiff was the
prior and registered proprietor of the ‘VASUNDHRA’ marks and the
impugned marks/labels etc. were word marks ‘VASUNDHRA
FASHION/VASUNDHRA’ and its formatives. Amongst other
contentions, one of the objections of the Defendants to the grant of
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interlocutory injunction was that the Plaintiff had in its reply to the
Examination Report before the Trade Marks Registry, claimed that the
device mark had to be seen as a whole and therefore, no confusion
will be caused by the use of the word ‘VASUNDHRA’ as a part of the
device mark.
16. The learned Single Judge observed that while considering the
claim of exclusivity to the word ‘VASUNDHRA’, the claim made by
the Plaintiff before the Registrar of Trade Marks, though may not act
as an estoppel, but would be a relevant consideration and since the
Plaintiff had sought to distinguish other cited marks ‘VASUNDHRA’
by contending that the mark has to be considered as a whole, Plaintiff
cannot be allowed to approbate and reprobate. Pertinent it is to
mention that against the said order declining the relief of injunction,
Plaintiff filed an appeal before the Division Bench and the prima facie
view of the learned Single Judge was upheld and the Division Bench
in Vasundhra Jewellers Pvt. Ltd. v. Kirat Vinodbhai Jadvani and
Another, 2022 SCC OnLine Del 3370, held as follows:-
“40. It is also relevant to note that the learned Single Judge had
also noted that before the Registrar of Trademarks, the appellant
had sought to distinguish other trademarks, which included the word
‘Vasundhra’, by claiming that the VASUNDHRA Trademarks were
required to be considered as a whole. Thus, it is not open for the
appellant now to take a contrary stand and claim that the device
mark “VASUNDHRA FASHION/
” is deceptively similar to
the VASUNDHRA Trademarks on the ground that it includes the
word ‘Vasundhra’.
41. Plainly, if the appellant had sought an exclusive right to
register the word mark ‘VASUNDHRA’ on a standalone basis, it
would not be open for the appellant to claim that its marks were
dissimilar to the marks cited by the Registrar of Trademarks on the
aforesaid ground (that, its marks must be considered as a whole).
42. This Court is unable to accept that the appellant can now, by
indirect means, secure the benefit of the registration for the word
mark ‘VASUNDHRA’ after having secured the registration of its
mark by claiming that it was not similar to other cited marks, which
contain the word ‘Vasundhra’.”
Signature Not Verified
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Location:
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17. In yet another decision in Raman Kwatra and Another v. KEI
Industries Limited, 2023 SCC OnLine Del 38 , the Division Bench of
this Court held that when a party obtains registration of a trademark
based on certain representations and assertions before the Trade Marks
Registry, it would be disentitled to any equitable relief by pleading to
the contrary in the Court. Relevant part of the judgment is as follows:-
“43. We also find merit in the appellant's contention that a party,
that has obtained the registration of a trademark on the basis of
certain representation and assertions made before the Trade Marks
Registry, would be disentitled for any equitable relief by pleading to
the contrary. The learned Single Judge had referred to the decision
in the case of Telecare Networks India Pvt. Ltd. v. Asus Technology
Pvt. Ltd. (supra) holding that after grant of registration neither the
Examination Report nor the plaintiff's reply would be relevant. We
are unable to agree with the said view. In that case, the Court had
also reasoned that that there is no estoppel against statute. Clearly,
there is no cavil with the said proposition; however, the said
principle has no application in the facts of the present case. A party
that has made an assertion that its mark is dissimilar to a cited mark
and obtains a registration on the basis of that assertion, is not to be
entitled to obtain an interim injunction against the proprietor of the
cited mark, on the ground that the mark is deceptively similar. It is
settled law that a person is not permitted to approbate and
reprobate. A party making contrary assertions is not entitled to any
equitable relief.
44. The respondent had applied for the word mark “KEI” in
Class 11 (Application No. 3693719). The Trade Marks Registry had
cited three marks in its Examination Report including the impugned
trademark (Application No. 3256919). In its response to the
Examination Report, the respondent had, inter alia, stated “……the
services of the Applicant are different to that of the cited marks and
therefore, there is not any likelihood of confusion….” Clearly, in
view of the aforesaid statement, it would not be open for the
respondent to contend to the contrary in these proceedings.
45. Mr. Lall had contended that the aforesaid statement was not
contrary to the stand in the suit. He submitted that a meaningful
reading of the respondent's response to the Trade Marks Registry
would indicate that the respondent's stand was that there was no
likelihood of confusion since it was well-known that the word mark
“KEI” was associated with the respondent's goods. Given the
unambiguous statement as quoted above, the said contention is
unsubstantial. There is a clear assertion made by the respondent that
its services are different to that of the cited marks. It is not open for
the respondent to now claim that appellant's goods covered under
the impugned trademark are similar to its goods and services.
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46. Mr. Lall also submitted that the respondent had reserved its
right to take the appropriate legal remedies and its response to the
Trade Mark Registry was without prejudice to its rights and
contentions. Undoubtedly, the respondent had reserved its right to
avail of appropriate remedies in respect of the impugned trademark,
however, reserving a right to avail of other remedies would not
include the right to make a contrary assertion. A party approaching
the Trade Marks Registry must be held to its statements made before
the Trade Marks Registry and cannot be permitted to make a factual
assertion contrary to what it claims before the Trade Marks
Registry. For this reason, as well, it was not permissible for the
respondent to claim that the goods covered under its trademarks
were similar to those of the appellant.”
18. In view of the observations of the Division Bench referred to
above, which binds this Court, it is clear that Plaintiffs would be
bound by the assertions and stand taken in the reply before the Trade
Marks Registry that the mark has to be seen as a whole. In their
endeavour to distinguish the word mark ‘CENTRAL PARK’ from the
cited marks ‘CENTRAL PARK’ and CENTRAL PARK-17 in the
Examination Report, having taken a categorical position before the
Trade Marks Registry that the Plaintiffs are proprietors of the label
marks, which must be seen as a whole, it is impermissible for them to
assert to the contrary before this Court and claim exclusivity over the
words ‘CENTRAL PARK’ for continuing with the interim injunction.
Therefore, in my view, the interlocutory injunction order deserves to
be vacated on this ground alone.
19. Additionally, Defendants have also brought forth that the
expression ‘CENTRAL PARK’ is a combination of two commonly
used words in English language and purely generic, incapable of being
distinctive and therefore, also common to trade. Number of projects in
the real estate business, where the expression ‘CENTRAL PARK’ is
indiscriminately used, have been illustratively cited by the Defendants
such as, NITESH CENTRAL PARK by Nitesh Estates, CENTRAL
PARK by the Proviso Group in Navi Mumbai, DARSHANAM
CENTRAL PARK VADODRA by Crisil Real Estate, CENTRAL
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PARK, a theme park, a project undertaken by Navi Mumbai
Municipal Corporation (NMMC) in Savali Village, Ghansoli,
CENTRAL PARK by Urban Constructions in Hyderabad, SANKALP
CENTRAL PARK by Sankalp Group and THE CENTRAL PARK
HOTEL, PUNE. Therefore, prima facie, Plaintiffs cannot claim
exclusive right in the mark ‘CENTRAL PARK’ word per se being an
expression of common parlance, descriptive in character and common
to trade.
20. Useful it would be to refer to a judgment of the Supreme Court
in Skyline Education Institute (India) Private Limited v. S.L.
Vaswani and Another, (2010) 2 SCC 142 , where the issue before the
Supreme Court was with respect to the validity of the trademark
‘SKYLINE’. The Supreme Court upheld the judgment of the High
Court where both the learned Single Judge and the Division Bench
held that the word ‘SKYLINE’ was a generic word, being used by a
large number of people in India as part of their trading name or
business activities.
21. In this context, judgement in OM Logistics Ltd. v. Mahendra
Pandey, 2022 SCC OnLine Del 757 is also relevant, where the rival
marks were ‘OM LOGISTICS LTD.’ and ‘OM EXPRESS
LOGISTICS’. The contention of the Plaintiff was that it had various
trademark registrations under Class 39 including the word mark ‘OM
LOGISTICS LTD.’ and that the marks of the Defendant were
phonetically similar to the Plaintiff with the only difference of the
word ‘EXPRESS’ which was inconsequential and in any case, even if
the Plaintiff’s mark contains descriptive words, it had acquired
distinctive character by long usage. Defendant per contra had stated
that ‘OM’ is publici juris, a religious symbol or word, incapable of
being monopolised, ‘EXPRESS’ is a common dictionary word used in
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transport/courier service and ‘LOGISTICS’ was commonly used in
transportation business. It was also urged that the mark of the Plaintiff
was inherently descriptive and common to trade. Analysing the
contentions of the respective parties, the Court held that ‘OM’ and
‘LOGISTICS’ were common to trade as evident from various
documents filed by the Defendant including search reports from
the Trade Marks Registry, website of the Ministry of Corporate
Affairs, etc.
22. Defendants have also taken a defence that they are not using
‘CENTRAL PARK’ as a trademark but are using the expression in the
descriptive sense and therefore, clearly steer away from the allegations
of infringement and are covered under the exception carved out to
infringement under Section 30(2)(a) of the Act. Before embarking on
the journey of examining the said issue, it would require to be seen
whether the Defendants are using ‘CENTRAL PARK’ as a trademark
or as a descriptor and in order to understand this, I may only extract
hereunder screenshots of the relevant pages from the brochure of the
concerned project:-
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23. Careful analysis of the aforementioned screenshots shows that
the expression CENTRAL PARK is not used by the Defendants in
isolation but is used along with their registered trademarks LODHA
and PALAVA albeit the font of CENTRAL PARK is comparatively
more conspicuous on account of its larger font and a prominent and
distinctive black background in which it is set. The brochures also
reflect that the registered trademarks of the Defendants LODHA and
PALAVA are mentioned on almost all pages of the brochure in one
way or the other. Along with the words CENTRAL PARK,
Defendants have clearly mentioned that the project is ‘Central Park
Palava’s Most Premium and Green Neighbourhood’ and on the next
page, it is mentioned ‘WELCOME TO PALAVA’. While referring to
‘CENTRAL PARK’, the description states that the project is the most
upscale neighbourhood in Palava city, adorned with picturesque
gardens, green covers and ample open spaces providing your family
with world class air quality – the best gift for their health and well
being. Soon, brisk morning walks and leisurely evening strolls will
become a way of life for you . The emphasis in the brochure, in my
prima facie view, is promotion of the real estate project under the
trademarks PALAVA and LODHA and the reference to CENTRAL
PARK is only for the purpose of indicating that the project is planned
in a manner where the allotees would enjoy a green cover with natural
landscapes, clean air, etc. because of parks in the centre of the
buildings. Therefore, prima facie this Court finds merit in the
contention of the Defendants that the expression ‘CENTRAL PARK’
is used to describe the project and its special features of a green cover
and clean environment and not as a source identifier or a trademark or
mark so as to relate the real estate project to the Defendants and/or to
create any association with the Plaintiffs. Therefore, in my view,
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Plaintiffs have been unable to make out a prima facie case of
infringement under Section 29 of the Act and Court is not pursuaded
to continue the ex-parte ad interim injunction in their favour.
24. Plaintiffs have placed heavy reliance on the judgment of this
Court in Central Park Estates Pvt. Ltd. and Others (supra), to
contend that the Court in the said case has negated the contention that
the expression ‘CENTRAL PARK’ is generic. Having carefully
perused the judgment, this Court is unable to accept this contention.
Although, this plea was raised in the said case, however, the Court has
not given any finding for the reason that the Defendant in the said case
has also applied for registration of the mark ‘CENTRAL PARK’ and
on this ground alone, the Court had declined to adjudicate on this
issue. Insofar as reliance on United Biotech Pvt. Ltd. (supra) is
concerned, no doubt, the Court has held that when a label mark is
registered, it cannot be said that the word mark contained therein is
not worthy of protection. However, this judgment cannot come to the
aid of the Plaintiffs in the present case, since it is their own stand
before the Trade Marks Registry that their trademark would have to be
seen as a whole mark and this was obviously to get over the objection
of the Trade Marks Registry that the words ‘CENTRAL PARK’ are
generic and common to trade.
25. Having said that, the next question that pronouncedly emanates
is the relief that can be granted at this stage. While this Court has
rendered a prima facie finding that the Plaintiffs are not entitled to
claim exclusivity on the expression ‘CENTRAL PARK’, both on
account of inconsistency in their stands before the Trade Marks
Registry and this Court, as well as the expression being prima facie
generic and common to trade, however, it cannot be lost sight of or
overlooked that the expression ‘CENTRAL PARK’ is a part of the
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Plaintiffs’ registered label marks and word marks in conjunction with
other words. The manner of usage of expression by the Defendants is
likely to cause confusion amongst the potential customers, more
particularly, in light of the fact that the competing parties are in the
real estate business and may have common consumer base. With this,
in the backdrop, coupled with the fact that it is Defendants’ own stand
that ‘CENTRAL PARK’ is only used as a descriptor and not a mark or
a trademark, in my view, it would be imperative to direct the
Defendants to restrain from using the expression ‘CENTRAL PARK’
in a font size conspicuously larger than their trademarks LODHA and
PALAVA. This Court is mindful of the fact that the interim injunction
has operated from 10.03.2017 and Defendants would have
discontinued the use of CENTRAL PARK in connection with their
projects. Therefore, correct course of action at this stage in order to
balance the equities would be to direct that in case the Defendants
intend to use ‘CENTRAL PARK’ for their projects in the future, they
shall do so only after changing the manner of use including the font
size and placement, as directed hereinafter.
26. For issuing the aforesaid direction, this Court draws strength
from the judgment in Cadila Healthcare Ltd. v. Gujarat Cooperative
Milk Marketing Federation Ltd. & Ors., 2007 SCC OnLine Del
1439, where the Court was faced with a similar situation and the
conundrum was resolved by directing the Defendant to change the size
of the existing font to make it less conspicuous. While the Court
agreed with the Defendant that the expression ‘Sugar Free’ was
generic and the Defendant was using the mark as a descriptor along
with its registered trademark Amul, however, to balance the equities
at the interim stage, more particularly on account of the fact that
the expression ‘Sugar Free’ was conspicuously displayed on the
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packaging and was in a much larger font than the font of the registered
mark Amul, the Court modified the ex parte order restraining the
Defendant from using the expression ‘Sugar Free’ in the present font
size and permitted it to use it as a part of a sentence or a catchy
legend, so as to describe the characteristic features of its product. I
may quote the relevant paragraphs as follows:-
| “47. A Prima facie visual perusal of the defendant's sample | |
| demonstrates that the defendant has used ‘Amul’ as a trade mark | |
| before the expression ‘Sugar Free’. Even though, I see no | |
| perceptible similarity between the two different packagings in terms | |
| of colour scheme and get-up, what has really caught my attention is | |
| the manner in which the expression ‘Sugar Free’ has been displayed | |
| on the packaging of the defendant's product. It is difficult to ignore | |
| that ‘Amul’, despite being the trade mark of the defendant, is written | |
| in comparatively much smaller font than the words ‘Sugar Free’ | |
| which are more conspicuous by their larger fonts. The expression | |
| ‘Pro biotic Frozen Dessert’ again has been written in a | |
| comparatively small size. The entire get up in the defendant's | |
| packaging is such that the focus is on the words ‘Sugar Free’ so | |
| much so that the defendant's trade mark ‘Amul’ is completely | |
| overshadowed. |
48. What is important to be examined is how an average
consumer, in this case being a consumer who is either a regular
purchaser of the plaintiff's product or is well-informed about its
functional utility, will perceive the defendant's product. The chances
of deceiving such consumer are minimal inasmuch as he is well
informed about the product he is intending to purchase and can ably
distinguish between the plaintiff's product and the defendant's
product. However, the possibility of confusion in the present case
cannot be ruled out. It is important to note that the defendant's
product contains Sucralose (see, sample B), which happens to be the
chief ingredient of the plaintiffs product. There may be a possibility,
though less likely, that such consumer may be misled into believing
that the plaintiffs product being in the nature of an ‘add on’ has
been used as an ingredient in the preparation of the defendant's Pro
Biotic Frozen Dessert and, thus, may be gravitated to purchase the
defendant's product.
49. The defendant has not satisfactorily explained this Court the
reason behind the overwhelming impact of the expression ‘Sugar
Free’ on the packaging of its product Pro Biotic Frozen Dessert.
Moreover, if the defendant's plea that it has used the expression
‘Sugar Free’ only in a descriptive sense is to be believed, then there
is no justification by the defendant as to why it has chosen to focus
only on the expression ‘Sugar Free’ when the expression ‘Pro
biotic’ can equally be used as a descriptive epithet in relation to its
frozen dessert.
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xxx xxx xxx
52. It is noteworthy that it is not for the first time that this Court,
whilst adjudicating upon such matters, has been confronted with a
purely descriptive trade mark seeking protection against passing off.
I recall the stand taken by a Division Bench of this Court in Johnson
& Johnson v. Christine Hoden India (P) Ltd., reported at 1988 PTC
39. In this case, both the plaintiffs and defendants were
manufacturers of sanitary napkins. Whilst the plaintiffs were using
the expression ‘Stay Free’ as a trade mark in relation to their
products, the defendants, on the other hand, were admittedly using
the said expression merely to describe the characteristic nature of
their product. The question that came up before this Court was
whether the use of the expression ‘Stay Free’, in a purely descriptive
sense, amounted to passing off? On a visual perusal of both
products, that Court took a Prima facie view that the defendant was
entitled to use the expression ‘Stay Free’ insofar as it was using the
same to describe its products in the descriptive sense but not in a
trade mark sense.
53. Coming back to the present case, the plaintiff herein has
sought for an absolute embargo on the defendant from using the
expression ‘Sugar Free’ on the packaging of its product Pro Biotic
Frozen Dessert purporting that such use is likely to confuse potential
consumers in mistaking the defendant's product from being in some
manner connected to its Sugar Free range of products. However,
notwithstanding the confusion which the defendant's packaging is
likely to create amongst potential consumers of the plaintiff, there
are certain seminal questions that have been weighing heavily on my
mind right from the beginning. Owing to the descriptive nature of the
plaintiff's trade mark ‘Sugar Free’ which makes the expression
extremely popular and much used especially in relation to foods
products, can the defendant be absolutely restrained from using the
expression ‘Sugar Free’ in relation to its products? To what extent
will it be equitable to allow a blanket injunction on the defendant
from using the expression ‘Sugar Free’, especially when the
defendant pleads to use such expression only as descriptive epithet
and not as a trade mark? Will not imposing a positive embargo on
the use of the expression ‘Sugar Free’ by the defendant collaterally
have the effect of allowing the plaintiff to monopolise the use of the
said expression?
54. It is important to be borne in mind that use of a descriptive
expression as a trade mark by a trader, irrespective of the said trade
mark having acquired a secondary meaning and distinctiveness in
relation to the trader's products, does not entitle such trader from
precluding other traders from using the said expression for the
purposes of describing the characteristic features of their products. I
have no hesitation in stating, albeit without prejudice to the rights
and interests of the plaintiff in the present suit, that by adopting such
a purely descriptive and laudatory expression ‘Sugar Free’ as its
trade mark, the plaintiff must be prepared to tolerate some degree of
confusion which is inevitable owing to the wide spread use of such
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trade mark by fellow competitors. Simply because the plaintiff claims
to be using the expression ‘Sugar Free’ as a trade mark much prior
to the launch of the defendant's product Pro Biotic Frozen Dessert in
the market does not give this Court a good ground for imposing a
blanket injunction on the defendant from using the expression ‘Sugar
Free’, especially when the defendant intends to use this expression
only in its descriptive sense and not as a trade mark, and even
otherwise, when the use of this expression is widespread in relation
to foods and beverages.
55. To sum up, even though the petitioner has Prima facie been
successful in establishing the distinctiveness of its trade mark ‘Sugar
Free’ in relation to its products, it has not been able to satisfy this
Court why an embargo should be placed on the defendant from
absolutely using the expression ‘Sugar Free’, especially when the
defendant has Prima facie satisfied this Court of its bona fide
intention to use the said expression not as a trade mark but only in
its descriptive or laudatory sense. However, even as any possibility
of the defendant trying to dishonestly pass off its products as those of
the plaintiff stands ruled out, I have a predilection that the
overwhelming impact of the expression ‘Sugar Free’ on the
packaging of the defendant's product may lead to some confusion.
Such confusion, though not rooted in deception or malice on the part
of the defendant, and further, such confusion, though less likely to
manifest owing to the well-informed consumer base of the plaintiffs
products, nevertheless, carries a fair risk of misleading the
consumers of the plaintiff into believing that its sweetener has been
added as an ingredient in the defendant's Pro Biotic Frozen Dessert.
56. This brings us to the last, nevertheless, most challenging part
of the present case, and that being, what relief should this Court
afford at this interlocutory stage so as to subserve the ends of
justice. The following imapactful observations made by the Apex
Court in Wander Ltd. v. Antox India Pvt. Ltd., reported at 1990 Supp
SCC 727, have become a guiding light for Courts of law whilst
deciding upon the relief to be afforded at an interlocutory stage
when evidence is yet to be led:
“The object of an interlocutory injunction is to protect the
plaintiff against injury by violation of his rights for which he
could not be adequately compensated in damages recoverable in
the action if the uncertainty were resolved in his favour at the
trial. The need for such protection must be weighed against
the corresponding need of the defendant to be protected
against injury resulting from his having been prevented from
exercising his own legal rights for which he could not be
adequately compensated. The Court must weigh one need
against the, and determine where the ‘balance of convenience’
lies.”
59. The ex parte order dated 3.4.2007 is accordingly varied to
incorporate the following directions:
(i) The defendant is restrained from using the expression ‘Sugar
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Free’ in the present font size which is conspicuously bigger than
its trade mark ‘Amul’.
(ii) The defendant is free to use the expression ‘Sugar Free’, as
part of a sentence or as a catchy legend, so as to describe the
characteristic feature of its product.”
27. The matter was carried in appeal by the Plaintiff in FAO (OS)
62/2008, reported as Cadila Health Care Ltd. v. Gujarat Co-
Operative Milk Marketing Federation Ltd. & Ors., 2009 SCC
OnLine Del 2786 and the Division Bench of this Court upheld the
judgment of the learned Single Judge and observed as follows:
“15. The learned Senior Counsel for the respondent Shri Mihir
Joshi has vehemently argued that the size of the font is not
inappropriate in the context of trade usage as it merely serves to
emphasize the category and unique selling point of the product and
prominence of use, by itself, and would not amount to
misrepresentation particular in view of the common font styling,
which is completely different than that used by the appellant. He thus
urged that the learned Single Judge was not justified in imposing the
restrictions. In view of the findings recorded in the judgment about
the descriptive nature of the phrase Sugar Free, we cannot restrict
the use of the expression Sugar Free by the respondents especially
as the part of a sentence or a catchy legend so as to describe the
characteristic features of its product. The learned Single Judge, on
the nature of lettering, has observed at the interlocutory stage that
the respondents are exhibiting the expression Sugar Free’ in a
manner which even though prima facie does appear to be descriptive
but still seems inappropriate and held that the respondents are
restrained from using the expression Sugar Free’ in the present font
size which appeared conspicuously bigger than its trademark Amul’.
The grievance of the appellant, in our view, has also been
adequately redressed by the restriction on the size of font by the
learned Single judge which adequately ensures that no connection
with the appellant is indicated and the possible figuring of the
appellant's product as the ingredient of the respondent's product is
discounted and the usage of the appellant limited to the descriptive
sense. Mr. Mihir Joshi's contention for the respondent that there can
be no restraint of any kind on the font for the user of the phrase
Sugar Free’ by the respondent cannot thus be accepted at this
interim stage particularly in view of the past correspondence
between the appellant and the respondent of the possible use by the
respondent of the appellant's product. In our view, the interim order
of the learned Single Judge at the interlocutory stage is justified and
does not warrant any interference. The remedy for the grievance
made by the appellant regarding the use of the expression Sugar
Free’ in an inappropriate font size would be in the form of contempt
petition. We were informed during the course of the hearing that a
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contempt petition has been filed and the same is pending before the
learned Single Judge.”
28. In this context, I may also refer to another interim order dated
09.05.2016 passed by a Co-ordinate Bench in CS(OS) 2044/2015,
titled as Central Park Estates Pvt. Ltd. & Anr. v. Keystone Realtors
Pvt. Ltd. & Anr. and the relevance of mentioning this case is that it
related to the same Plaintiffs as in this case and the impugned mark
was ‘Rustomjee CENTRAL PARK’. By order dated 09.05.2016, the
learned Single Judge of this Court varied the interim injunction earlier
granted, directing the Defendants to use the impugned mark in a
manner that the font size of ‘Rustomjee’ equals that of ‘CENTRAL
PARK’, so that the latter gets the same prominence as ‘Rustomjee’.
This order was challenged before the Division Bench in FAO(OS)
179/2016 and without going into the contentions on merits which were
almost identical to the ones raised by the Defendants herein, the
Division Bench upheld the order noting that the said order was passed
to protect the interest of the Appellants i.e. the Plaintiffs in the suit.
29. In view of the aforesaid, the interim order dated 10.03.2017 is
hereby vacated, with a caveat/pre-condition that in case the
Defendants are inclined to use ‘CENTRAL PARK’ in future, they
shall ensure that the words are juxtaposed with Defendants’ registered
trademarks LODHA and PALAVA and/or are in close proximity
thereof and not standalone and the font size of CENTRAL PARK is
reduced so as to highlight and give more prominence to Defendants’
registered trademarks, aforementioned.
30. Before disposing of the present applications, it is important to
pen down the usual caveat that the views and observations expressed
by the Court in this judgment are only prima facie and tentative and
shall have no bearing on the final adjudication of the suit.
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31. With these observations, both the applications are disposed
of.
JYOTI SINGH, J
MARCH 29 , 2023 / shivam / kks
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