T.V. VENUGOPAL versus USHODAYA ENTERPRISES LTD. AND ANR.
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A B [2011] 4 S.C.R. 1000 T.V. VENUGOPAL v. USHODAYA ENTERPRISES LTD. AND ANR. (Civil Appeal Nos.6314-6315 of 2001) MARCH 03, 2011 [DALVEER BHANDARI AND K.S. RADHAKRISHNAN, JJ.] Intellectual Property - Passing-off in trade mark - C Infringement of copyright - Appellant is sole proprietor of a Karnataka based firm carrying on manufacture of incense sticks (agarbathis), which adopted the trade mark 'Eenadu' and started selling its product in the State of Andhra Pradesh - Respondent company, engaged in the business of publishing D a newspaper in Telugu entitled as 'Eenadu' and other businesses in the State of Andhra Pradesh, filed a suit for infringement of copyrights and passing-off trade mark - Whether the appellant should be permitted to sell his product with the mark 'Eenadu' in the State of Andhra Pradesh - Held: E The respondent company's mark 'Eenadu' has acquired extraordinary reputation and goodwill in the State of Andhra Pradesh - 'Eenadu' means literally the products or services provided by the respondent company in the State of Andhra Pradesh - In this background, the appellant cannot be F referred or termed as an honest concurrent user of the mark 'Eenadu' - Adoption of the words 'Eenadu' is ex facie fraudulent and ma/a fide from the very inception - By adopting the mark 'Eenadu' in the State of Andhra Pradesh, the appellant clearly wanted to ride on the reputation and goodwill G of the respondent company - Permitting the appellant to sell his product with the mark 'Eenadu' in the State of Andhra Pradesh would definitely create confusion in the minds of the consumers because the appellant is selling Agarbathies marked 'Eenadu' designed or calculated to lead purchasers H 1000 T.V. VENUGOPAL v. USHODAYA ENTERPRISES LTD.1001 AND ANR. to believe that its product Agarbathies are in fact the products A of the respondent company - No one can be permitted to encroach upon the reputation and goodwill of other parties - This approach is in consonance with protecting the proprietary rights of the respondent company. B The appellant is the sole proprietor of a Karnataka based firm carrying on manufacture of incense sticks (agarbathis), which adopted the trade mark 'Eenadu' and started selling its product in the State of Andhra Pradesh. The word 'Eenadu' means 'this land' in Kannada, C Malayalam and Tamil languages and 'today' in Telugu language. The respondent company, which was engaged in the business of publishing a newspaper in Telugu entitled as 'Eenadu' and other businesses in the State of Andhra Pradesh, filed a suit for infringement of copyrights 0 and passing-off trade mark. The respondent company contended that the use of the word 'Eenadu' by the appellant amounted to infringement of their copyright and passing-off in trade mark. The trial court partially decreed the suit of the respondent company by injuncting the E appellant from using the words 'Eenadu' in the State of Andhra Pradesh. The appellant was not injuncted from using the words 'Eenadu' in the entire country other than F in the State of Andhra Pradesh. The appellant filed appeal before the High Court. The respondent company also filed an appeal praying that the order of injunction to be made absolute and not be confined to the State of Andhra Pradesh. A Single Judge of the High Court dismissed the appeal filed by respondent company while allowing the appeal filed by the appellant. The respondent company G filed Letters Patent Appeal before the Division Bench of the High Court which was allowed, thereby decreeing the original suit filed by the respondents in 1999. Hence the present appeals. Disposing of the appeals, the C~urt H • 1002 SUPREME COURT REPORTS [2011] 4 S.C.R. A HELD: 1.1. The respondent company's mark 'Eenadu' has acquired extra-ordinary reputation and goodwill in the State of Andhra Pradesh. 'Eenadu' newspaper and TV are extremely well known and almost household words in the State of Andhra Pradesh. The B word 'Eenadu' may be a descriptive word but has acquired a secondary or subsidiary meaning and is fully identified with the products and services provided by the respondent company. [Para 100] [1053-G-H; 1054-A] C 1.2. The appellant is a Karnataka based company which started manufacturing its product in Bangalore in the name of 'Ashika' and started selling its product in the State of Andhra Pradesh in 1995. The appellant started using the n
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