01Facts
Impressario Entertainment ("Impressario") adopted the mark ‘SOCIAL’ in 2012 for its café-coworking spaces and registered various variants (e.g., "ODEON SOCIAL", "COLABA SOCIAL")
¶ 8.2, 8.3Vardhaman Choksi ("Choksi") registered the mark ‘SOCIAL HOUSE’ (logo) in Class 43 in 2011
¶ 8.5Impressario sought the removal of Choksi’s mark from the Register on grounds of non-use under Section 47 of the Trade Marks Act, 1999
¶ 2, 8.6Choksi filed 22 rectification petitions against Impressario’s marks, contending that ‘SOCIAL’ is a generic/descriptive term commonly used in parlance and the hospitality industry, thus incapable of protection
¶ 9.1, 9.2Procedurally, the matters were transferred from the erstwhile IPAB to the Delhi High Court following the 2021 Tribunal Reforms Ordinance
¶ 602Issues
i.1. Whether the trademark ‘SOCIAL’ is generic/descriptive or suggestive and protectable within the hospitality industry.
¶ 17ii.2. Whether Choksi’s mark ‘SOCIAL HOUSE’ is liable for removal under Section 47(1)(b) for non-use for a period exceeding five years and three months.
¶ 19, 24iii.3. Whether the ongoing litigation between the parties constitutes "special circumstances in the trade" under Section 47(3) to excuse the non-use of Choksi's mark.
¶ 22, 23iv.4. Whether Choksi’s conduct of registering multiple international brands without use constitutes trademark squatting.
¶ 2503Law Applied
The court applied Section 47 of the Trade Marks Act, 1999, which provides for the removal of a mark from the register on the ground of non-use for five years and three months, and Section 47(3), which excuses non-use due to "special circumstances in the trade"
¶ 19, 22It relied on the "Imagination Test" from Teleecare Network India Pvt. Ltd. v. Asus Technology Pvt. Ltd. to distinguish between descriptive and suggestive marks
¶ 17Regarding non-use, it followed Russell Corp Australia Pty Ltd. v. Shri Ashok Mahajan, holding that use must be genuine and within the relevant class of registration
¶ 8.6, 20For "special circumstances," it applied Akteibolaget Jonkoping Vulcan v. V.S.V. Palanichamy Nadar, which defines such circumstances as external forces beyond the trader's control, rather than voluntary acts or litigation precautions
¶ 8.7, 22Provisions in the judgment · 4 · Linked ones open on LawLens
Trade Marks Act, 1999 Section 30Section 35Section 47Section 57
04Reasoning
The Court performed the "Imagination Test" and concluded that while ‘SOCIAL’ is a common word, its application to the hospitality industry is "suggestive" rather than "generic," as it requires a mental leap to connect the word to restaurant services
¶ 17, 18Regarding non-use, the Court found that Choksi failed to demonstrate genuine use of ‘SOCIAL HOUSE’ for restaurant services in Class 43; his evidence only showed use for organizing night events, which falls under Class 41
¶ 20The Court rejected Choksi's defense under Section 47(3), ruling that ceasing use of a mark as a "precautionary measure" during litigation does not constitute "special circumstances in the trade," as it is a voluntary act and not an external force like a statutory bar
¶ 22, 23The Court observed that Choksi’s registration of over 100 international brands without corresponding use evidenced a pattern of "trademark squatting," which undermines the sanctity of the Register
¶ 2505Holding
The Court allowed Impressario’s appeal and dismissed all 22 rectification petitions filed by Choksi
¶ 26The Court held that ‘SOCIAL’ is a protectable suggestive mark and that Choksi’s mark ‘SOCIAL HOUSE’ was wrongly remaining on the register due to non-use and a lack of bona fide intent
¶ 24, 25The Registrar of Trade Marks was directed to remove Choksi’s mark (Application No. 2230483 in Class 43) from the Register
¶ 26(i)No relief was granted to Choksi regarding Impressario’s registrations
¶ 26(ii)Original Court PDF
Impressario Entertainment And Hospitality Pvt. Ltd.vsVardhaman Choksi And Ors
Click to open original judgment
Original judgment, available to read, download and summarize on LawLens.in
