Hungary based company M/s. Hell Energy Magyarorszag Kft. (Hell) is engaged in the manufacture and sale of non-alcoholic beverages and energy drinks. Hell is the registered proprietor of the trademark “HELL” which was adopted in 2006 bearing international registration no. 933068 in Class 32 for ‘non-alcoholic beverages and energy drinks’ in countries like Denmark, Estonia, Finland, Great Britain, Georgia, Germany, Ireland, Lithuania, Sweden, Serbia, Turkey and Uzbekistan. The mark ‘HELL’ was registered in India in Class 32 since 2017 in respect of energy drinks.
Hell signed an exclusive distributorship agreement with M/s. Jes and Ben Groupo Pvt. Ltd and others (Jes and Ben) in October 2017 which was terminated in March 2019. Thereafter, it came to the attention of , Hell that Jes and Ben continued to use the mark ‘HELL’ and its variations on its website www.jbgroup.com without seeking any permission and consent of Hell..
A cease-and-desist notice was sent to Jes and Ben in September, 2019 asking immediate discontinuation of distribution of the unauthorised products of Hell, to which no reply was given. This led to Hell filing of the suit, CS (COMM) 04/2020 Hell Energy Magyarorszag Kft. v Jes and Ben Group, seeking permanent injunction and damages and rendition of accounts. An order was passed in January, 2020 by the Hon’ble Delhi High Court, granting interim injunction against Jes and Ben.
Thereafter, sometime November, 2019, Hell noticed that an application for the registration of a mark, ‘HELLROCK’which was filed by Allied Spirits Pvt. Ltd. under Class 32 in respect of energy drinks, beer, mineral water, aerated water and non-alcoholic beverages. Upon investigation it was found that one of the directors of Jes & Ben with the help few other individuals had started manufacture and sale of energy drinks under the mark ‘HELLROCK ENERGY’ through some other entities, namely, Heaven Traders LLP and Allied Spirits Pvt. Ltd. (alliance).
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Hell approached the Delhi High Court seeking permanent injunction for trademark infringement.
Hell claimed that it opposed the said mark, as the marks ‘HELL’ and ‘HELLROCK’ were deceptively similar and were also sold through identical trade channels. In April 2022, the alliance having suffered losses stated their willingness to change the mark ‘HELLROCK’ to ‘HEYROCK’ and that they did not intend to use any other mark which was similar to the mark ‘HELL’ in respect of energy drinks.
Since Hell had no objection with regards to the proposed mark ‘HEYROCK’ being adopted and used, the Delhi High Court, permitted the alliance to adopt and use ‘HEYROCK’ upon a condition that it shall ensure that the packaging, colour combination and trade dress, etc. shall not be identical or deceptively similar to the Hells’ product.
The Court having considered that that multiple proceedings had been filed by Hell against the alliance, mediation not been fructified and also the fact that the alliance had an ex-distributor of Hell, directed the alliance to pay a sum of INR 5 lakhs as costs to Hell by 15th July, 2022.