Moonshine Technology Pvt. Ltd., (‘Baazi group’) is engaged in the Indian Gaming Industry. Baazi group owns several registered trademarks such as BAAZI, BAAZI GAMES, POKER BAAZI, RUMMYBAAZI, BALLEBAAZI, etc..
Baazi Group recently came across an entity named Tictok Skill Games Pvt. Ltd. (“Tictok”), using the words ‘WinZo Baazi’ for gaming related services. It was also discovered that, a director of Tictok was a customer of the Baazi Group.
Baazi Group filed a suit before the Delhi High Court to restrain Tictok from using the Baazi trademarks.
Tictok argued that, the word ‘Baazi’ was descriptive for gaming applications. Moreover, Tictok argued that they had been using the words ‘WinZo Baazi’ for over three years and that there was no confusion. Therefore, the Baazi Group was not entitled for any relief. After hearing the parties, the Court opined “User of a similar word by a competitor coupled with dishonest intention and bad faith would suffice to restrain such user and misuser, to do equitable justice to the plaintiff.”
The Court added “… the interests of the consumers would also need to be protected, as it is for the benefit of consumers that a trademark is used by a manufacturer or service provider to distinguish his products from those of competitors, so that on the basis of the quality provided the purchaser may make an informed and considered selection of the products in the market.”
The Court held in favour of the Baazi Group. Tictok could not justify the adoption of the word ‘Baazi’. The Court held that although delay and acquiescence are defenses in equity, Tictok was not an honest adopter of word ‘Baazi’, a case of infringement and passing off was established and an injunction order was passed.
This case is significant as it clarifies that generally descriptive nature of subject trademark and delay in taking action may result in denial of injunction. However, if the adoption is dishonest, injunction must follow.