M/S ASHWATH INFRATECH PRIVATE LIMITED v. M/S BANTAIR INDIA PRIVATE LIMITED & ORS

Delhi High Court · 13 Mar 2019 · 2019:DHC:1539
Prathiba M. Singh
CS(OS) 535/2018
2019:DHC:1539
civil appeal_allowed

AI Summary

The Delhi High Court granted permanent injunction against defendants for infringing the plaintiff's registered design of a rain water filter, restraining manufacture and sale of colorable imitations.

Full Text
Translation output
CS(OS) 535/2018
HIGH COURT OF DELHI
Date of Decision: 13th March, 2019.
CS(OS) 535/2018, I.A. 14577/2018, 2699/2019
M/S ASHWATH INFRATECH PRIVATE LIMITED ..... Plaintiff
Through: Mr. Vishal Gohri, Advocate (M:
9711455398).
VERSUS
M/S BANTAIR INDIA PRIVATE LIMITED & ORS...... Defendants
Through: Mr. Arun Sharma and Mr. Parveen Kumar, Advocates for D-1, 2 and 4
(M: 9910080532).
CORAM:
JUSTICE PRATHIBA M. SINGH Prathiba M. Singh, J. (Oral)
I.A. 2700/2019 (18 days delay in re-filing)
JUDGMENT

1. The delay is condoned for the reasons stated in the application.

2. The application is allowed. CS (OS) 535/2018, I.As. 14577/2018 & 2699/2019

3. The Plaintiff has filed the present suit for permanent injunction and damages in respect of its registered design bearing no. 258908 dated 23rd December, 2013. The same is in respect of the shape and configuration of a Rain Water Filter. The design is stated to be valid and subsisting. The total sales figures of the Plaintiff, from 2013-2018 is over 153 crores, and substantial amounts have been spent on advertisements and publicity.

4. The Plaintiff came to know that Defendant No.1–M/s Bantair India Private Limited is promoting its rain water harvesting filtration system on a 2019:DHC:1539 website called www.grihaindia.com. The screenshots of website have been placed on record. Comparative images of the products of the Plaintiff and Defendants have been extracted which are as under:

5. Defendant No.1 is promoted by Defendant No. 2. The other two Defendants i.e., Mr. Ashok Attri and Mr. Dinesh Sharma were also directors/promoters of Defendant No. 1 company. When the present suit was listed on 23rd October, 2018, an interim injunction was passed in the following terms:

“11. The Plaintiff has made out a prima facie case in its favour and the balance of convenience also lies in favour of the Plaintiff and against the Defendants. Irreparable harm will be caused to the Plaintiff if the Defendants are allowed to sell Rain Water Filters, which are a colourable and obvious imitation of the Plaintiffs product. The same constitutes Piracy of Registered Design as per Section 22 of the Designs Act, 2000. 12. Accordingly, till the next date, the Defendants are
injuncted from offering for sale and selling Rain Water Filters, as appearing on their website, or any other products which are a fraudulent and obvious imitation of the Plaintiff’s Rain Water Filters registered vide registration no.258908 dated 23rd December, 2013. It is made clear that if the Defendants wish to sell any Rain Water Filters, which are not identical to the specifications of the Plaintiff’s design, they are permitted to move an application before this Court along with the images/photographs of the said products. Compliance of Order XXXIX Rule 3 CPC be made within 10 days.”

6. Defendant Nos.1, 2, and 4 have, thereafter, put in appearance and have filed an application being I.A. No. 2699/2019, wherein it is their case that they initially purchased the Rain Water Harvesting Systems from M/s Life Green Systems Ltd. and thereafter from M/s MVFG House. To support this plea, the Defendants have placed on record, various invoices. It is submitted by the Ld.counsel for the Defendants, that the Defendants are not involved in the manufacture of any infringing Rain Water Filter, but they were merely purchasing and selling the same. It is submitted that Defendant Nos.1, 2 and 4 have already given up sale of these products, and they have no objection if a permanent injunction is passed against them.

7. The report of the Local Commissioner, who was appointed by this Court, reveals that though the Local Commissioner did not find any infringing products at the Defendant No.1’s premises, it is recorded that the Defendant No. 1 had made some supplies of the said Rain Water Filter to clients. Relevant para of the Local Commissioner’s report reads as under –

“9. At 5:30 pm, Mr. Vishal Gohri, Advocate on behalf of the Plaintiff joined the undersigned at the said premises. After sometime, the undersigned met
Mr. Jitender Kumar Sangwan (Defendant No.2) and Mr. Dinesh Sharma (Defendant No.4), and explained the order of this Hon’ble Court to both of them and further duly served the copy of the order along with paper book. On enquiring from both Defendant No.2 and Defendant No.4 whether infringing material/ product relating to Rain water filters was manufactured/ assembled/ stored in the said premises or in any other place, the undersigned was informed that the said corporate address C-126 is used only for the purpose of receiving communication and as such they are not operating any business activity for the Defendant No.1 company from the said premises. They further informed the undersigned that they do not have any godown/factory/store to stock the said infringing product/goods, however, they execute the business of supplying and installing rain water filter by obtaining spare parts or material including polymers and other parts from vendor and supplier Life Green Systems situated at F-90/33, 2nd Floor, Okhla Phase-I, New Delhi. They further informed us that the all the paperwork/invoices/ infringing brochure is at their residential place, which Mr. Jitendra Kumar Sangwan (Defendant No.2) refused to furnish details. Further, the Defendant No.2 informed the undersigned that they had recently installed the infringing product for a client at Bhiwadi. However, they denied to provide any details about the client or the site of work. ”

8. A reading of the report extracted above shows that the Defendants were installing rain water filter systems for clients and one such client was located in Bhiwadi. Thus, there is no doubt that the Defendants were, in fact, selling the infringing Rain Water Filters. However, since they are willing to submit to a permanent injunction, it is directed that a decree of permanent injunction shall operate against the Defendants, their officers, servants, agents, representatives and all others acting for and on their behalf from manufacturing, selling, advertising, distributing, using and distributing the Rain Water Filters which are a fraudulent or obvious imitation of the Plaintiff’s Rain Water Filters, which is registered vide registration NO. 258908.

9. In view of this injunction, the Ld. counsel for the Plaintiff submits that he does not press for the prayer for rendition of accounts/damages. Decree sheet be drawn.

10. Since, the suit is being decreed on agreement of the Defendant, 50% of the court fee is liable to be refunded.

11. Suit and all pending IAs are disposed of.

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PRATHIBA M. SINGH JUDGE MARCH 13, 2019