Victoria Foods Private Limited (Victoria) is engaged in the manufacture and sale of agro-based food products like wheat based products, pulses, pasta etc. under its brand “Rajdhani”. Victoria adopted the mark 'RAJDHANI' in 1966 and has multiple trademark registrations for the same in classes 29, 20, 31, and 32 in India as well as aborad.
Victoria was aggrieved by the fact that Rajdhani Masala Co., a proprietary concern of Mrs. Asha Rani Kohli through Mr. Pawan Kohli, and M/s New Rajdhani Masala Co. through its proprietor Mr. Ravi Kohli (jointly referred to as Kohli's) were using Victoria's registered mark RAJDHANI for the manufacture of spices and other products. Victoria approached the Delhi High Court seeking an interim injunction against the Kohlis. Victoria claimed that it had been using the mark 'RAJDHANI' since 1966 and that the company was founded in 1983 and hence was the prior user of the mark RAJDHANI. Victoria contended that there was no evidence placed on record to show that the Kohlis' had ever used any of its products under the mark 'RAJDHANI', though it had been in business since the 1960s.
Therefore, the Court negated the plea of Kohlis' regarding prior user and current user of the mark RAJDHANI and held that a comparison of the two trademarks being used by the two parties made it clear that Kohlis were using the mark 'Rajdhani' for allied and cognate goods which were identical to that of Victoria.
Therefore, the Court granted an interim injunction in favour of Victoria restraining Kohlis from using in any manner the trademark'Rajdhani' or any other trademark which is deceptively similar to Victoria's trademark.
Source- Judgment
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The Kohlis' filed an appeal challenging the said judgment which is pending before the Division Bench of the Delhi High Court.
Meanwhile, Victoria filed an application alleging that Kohlis' were continuing to violate the injunction order. In the said application, Victoria alleged that Kohlis' were manufacturing the infringing products. Invoices and purchases from various retail stores in Delhi had been made of Rajdhani branded Red Chilli Powder, Coriander Powder, Dry Mango Powder, Dry Ginger Powder, Cumin Powder, and Turmeric Powder.
In addition to this Kohlis' had also advertised and offered their products on Indiamart.com, where there were listings of the impugned products.
Hence, Victoria prayed that contempt proceedings ought to be initiated against the Kohlis and requested the Court to direct the Kohlis' to file an affidavit of their assets and attach the same. Victoria further requested the Court to direct for the detention of Kohlis in the civil prison for the period as may be determined by the Court, and direct for sale of the properties attached in case the disobedience and breach continues and award compensation to Victoria out of the said sale proceeds.
The Court appointed a Local Commissioner to visit Kohlis' premises. The Local Commissioner filed its report which revealed shocking state of affairs.
- The packaging of 'RAJDHANI' branded products was taking place in large volumes.
- The process of packaging was ongoing, through the packaging machines on which rolls of RAJDHANI MASALA were mounted.
- The manufacturing dates on the infringing products were of 15th September 2021 and 10th October 2021;
- Invoices were seized by the Local Commissioner which showed continuous sale after the judgment dated 1st September 2021;
- Photographs, invoices, and inventory, annexed along with the report, showing that the Kohlis' were in possession of hundreds of kilograms of packaging material and spices of various variants.
- The total inventory valued more than 43 tons, which included manufactured masala and pouches thereof.
The Local Commissioner also found several bags which were packed in 'RAJDHANI' branded packaging which were handed over to Victoria. In addition, the photographs annexed by the Local Commissioner in the report revealed further disturbing facts which could have very grave consequences. The said photographs showed that various products of other manufacturers such as Tata, Catch, Badshah masala, etc. were also found on the premises of Kohlis', including Catch Red Chilli Powder, Tata Pav Bhaji Masala, Tata Sampann Chicken Masala, bearing manufacturing dates of three to four years ago. Large cartons of Tata products and products manufactured by other third-party manufacturers were also found at the premises of Kohlis'.
Hence, the Court observed that the aforementioned facts left no manner of doubt in the mind of the Court that the Kohlis' were brazenly violating the orders of the Court. The Court opined that "The photographs are extremely disturbing revealing. Considering that the products in question are spices being used in food products that are for human consumption, this Court is of the opinion that the Defendants are not merely indulging in violation of intellectual property rights of the Plaintiff, but are clearly committing various other offenses, under the Food Safety and Standards Act and Regulations, and other statutes related to adulteration of food."
Given the seriousness of the allegations in the case, the Court directed the factory of the Kohlis's to be remain sealed and no manufacturing shall be permitted in the said factory.
