{"id":270758,"date":"2022-07-28T12:00:36","date_gmt":"2022-07-28T06:30:36","guid":{"rendered":"https:\/\/www.scconline.com\/blog\/?p=270758"},"modified":"2022-08-05T12:26:45","modified_gmt":"2022-08-05T06:56:45","slug":"gems-bond-or-james-bond-delhi-high-court-directs-compensation-to-cadbury-against-trademark-infringement-by-neeraj-food-products","status":"publish","type":"post","link":"https:\/\/www.scconline.com\/blog\/post\/2022\/07\/28\/gems-bond-or-james-bond-delhi-high-court-directs-compensation-to-cadbury-against-trademark-infringement-by-neeraj-food-products\/","title":{"rendered":"Gems or James Bond; Delhi High Court directs compensation to Cadbury against trademark infringement by Neeraj Food Products"},"content":{"rendered":"<div style=\"text-align: justify; line-height: 150%;\">\n<p style=\"text-indent: 18pt;\">\n<p style=\"text-indent: 18pt; margin-bottom: 3%;\"><span style=\"font-weight: bold;\">Delhi High Court<\/span>: Prathiba Singh, J. permanently injuncts Neeraj Food Products (\u2018defendants&#8217;) for trading <span style=\"font-weight: bold;\">JAMES BOND<\/span> a chocolate product in pillow packs which is deceptively similar with Mondelez India Foods Private Limited (formerly Cadbury India Ltd.) (\u2018plaintiff&#8217;) <span style=\"font-weight: bold;\">GEMS<\/span>, the name of which has derived inspiration from a copyrighted artistic character GEMS BOND. The Court thus directed the compensation upto 15 lakhs to Cadbury India finding deceptive similarity in the product under challenge.<\/p>\n<p style=\"text-indent: 18pt; margin-bottom: 3%;\">The suit was filed in August 2005 against Neeraj Food Products (\u2018defendant&#8217;), the sole proprietary concern of Mr. Charan Das. The Plaintiff 1 &#8211;<span style=\"font-weight: bold;\"> Cadbury India Ltd. <\/span>and Plaintiff 2 &#8211; <span style=\"font-weight: bold;\">Cadbury Schweppes Overseas Limited<\/span> claim ownership in the mark \u2018CADBURY GEMS&#8217;\/\u2018GEMS&#8217; which is the subject matter of the present suit. The case of the Plaintiffs is that the Defendant launched a chocolate product under the mark <span style=\"font-weight: bold;\">\u2018JAMES BOND&#8217;<\/span> with an identical colour scheme, layout, and arrangement as that of the Plaintiffs&#8217; <span style=\"font-weight: bold;\">\u2018CADBURY GEMS&#8217;\/ \u2018GEMS&#8217; <\/span>products. Thus, the present suit has been filed seeking permanent and mandatory injunction and damages for infringement of trademark and copyright, passing off, unfair competition and other reliefs.<\/p>\n<p style=\"text-indent: 18pt; margin-bottom: 3%;\">Plaintiff 1 holds copyright registrations in its former name being Hindustan Cocoa Products Ltd. bearing registration numbers A-50680\/90 and A-49975\/89 for the artistic works in respect of a character known as \u2018GEMS BOND&#8217; which character has been used by the Plaintiffs for promotion of its \u2018GEMS&#8217; branded products.<\/p>\n<p style=\"text-align: center;\"><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-medium wp-image-270769\" src=\"https:\/\/www.scconline.com\/blog\/wp-content\/uploads\/2022\/07\/image001-300x168.png\" alt=\"\" width=\"300\" height=\"168\" srcset=\"https:\/\/www.scconline.com\/blog\/wp-content\/uploads\/2022\/07\/image001-300x168.png 300w, https:\/\/www.scconline.com\/blog\/wp-content\/uploads\/2022\/07\/image001-60x34.png 60w, https:\/\/www.scconline.com\/blog\/wp-content\/uploads\/2022\/07\/image001.png 505w\" sizes=\"auto, (max-width: 300px) 100vw, 300px\" \/><\/p>\n<p style=\"text-indent: 18pt; margin-bottom: 3%;\">The Court opined that the present is a case of <i>res ipsa loquitur<\/i> and the comparative labels set out hereinabove show that the two products have startling similarities. The elaborate features that are similar are set out in order copy are skipped here for the sake of brevity.<\/p>\n<p style=\"text-indent: 18pt; margin-bottom: 3%;\">The Supreme Court discussed the test of infringement and deceptive similarity of competing marks in <i>Corn Products Refining Co.<\/i> v. <i>Shangrila Food Products Ltd.<\/i>, <a href=\"http:\/\/www.scconline.com\/DocumentLink\/c8m42kX0\">(1960) 1 SCR 968<\/a> and <i>Parle Products (P) Ltd.<\/i> v. <i>J.P. &amp; Co., Mysore<\/i>, <a href=\"http:\/\/www.scconline.com\/DocumentLink\/vR2E4vZ9\">(1972) 1 SCC 618<\/a> wherein it was observed that, <span style=\"font-weight: bold;\"> the overall structural and phonetic similarity and the similarity of the idea in the two marks is reasonably likely to cause a confusion between them and the Court has to see similarities and not the dissimilarities.<\/span><\/p>\n<p style=\"text-indent: 18pt; margin-bottom: 3%;\">Reliance was placed on <i>ITC Ltd.<\/i> v. <i>Britannia Industries Ltd.<\/i> <a href=\"http:\/\/www.scconline.com\/DocumentLink\/gcwhVa8i\"> 2016 SCC OnLine Del 5004<\/a> wherein it was observed<\/p>\n<p style=\"text-indent: 18pt; margin-bottom: 3%;\"><b>Where the product is eatable like a biscuit, the colour and the colour scheme of the packaging plays an important role in the consumer making an initial choice and in enabling a discerning consumer to locate the particular brand of a manufacturer.<\/b><\/p>\n<p style=\"text-indent: 18pt; margin-bottom: 3%;\">Explaining the aspect of<span style=\"font-weight: bold;\"> \u2018initial interest&#8217; <\/span>in the same judgment, the Court relied on<span style=\"font-weight: bold;\"> <i>Baker Hughes Limited<\/i> v. <i>Hiroo Khushalani<\/i> <\/span>to observe<\/p>\n<p style=\"margin-left: 18pt; text-indent: 18pt; margin-bottom: 3%;\"><b>&#8220;In some case, however, it is also possible that such a purchaser after having been misled into an initial interest in a product manufactured by an imitator discovers his folly, but this initial interest being based on confusion and deception can give rise to a cause of action for the tort of passing off as the purchaser has been made to think that there is some connection or nexus between the products and business of two disparate companies.&#8221;<\/b><\/p>\n<p style=\"text-indent: 18pt; margin-bottom: 3%;\"><b>However, that may not be entirely true when it comes to products like biscuits. The packaging of a biscuit does become associated with the manufacturer or brand. The colour on the wrapper would certainly play an important part.<\/b><\/p>\n<p style=\"text-indent: 18pt; margin-bottom: 3%;\">The Court noted that in the present case, the products in question are chocolates which may be consumed by young and old alike. The <span style=\"font-weight: bold;\">\u2018GEMS&#8217; product <\/span>is also usually consumed by small children, both in urban and rural areas. The test in such a matter is not that of absolute confusion but even the likelihood of confusion is sufficient. Hence, the product&#8217;s get-up layout, and also, the colour combination of the packaging plays a significant role at the point of purchase. Moreover, chocolates are sold not merely in big retail stores or outlets, but also, in roadside shacks, paan shops, patri vendors, kirana stores and stalls outside schools, etc. Thus, there is an immense likelihood of confusion, particularly considering the class of consumers that the product is targeted at, that is, children.<\/p>\n<p style=\"text-indent: 18pt; margin-bottom: 3%;\">The Court grants permanent injunction restraining the Defendant, its proprietor, partners, directors, servants, agents, distributors, franchisees, representatives and assigns from using the trademark as well as pillow packs of JAMES and\/or JAMES BOND and\/or any other trademark deceptively or confusingly similar to the Plaintiffs&#8217; registered trademark GEMS or in any other manner infringing the registered trademark GEMS of the Plaintiff.<\/p>\n<p style=\"text-indent: 18pt; margin-bottom: 3%;\">Placing reliance on <i>Uflex Limited<\/i> v. <i>Government of Tamil Nadu,<\/i> <a href=\"http:\/\/www.scconline.com\/DocumentLink\/Rdxq2M26\">(2022) 1 SCC 165,<\/a> the Court directed damages to the tune of Rs.10 lakhs and thereby actual costs of Rs.15,86,928\/- were awarded in favour of the Plaintiffs, in terms of the relief as sought, to be paid within three months.<\/p>\n<p style=\"text-indent: 18pt; margin-bottom: 3;\">[<span style=\"font-weight: bold; color: #632423;\">Mondelez India Foods Pvt. Ltd. v. Neeraj Food Products, <a href=\"http:\/\/www.scconline.com\/DocumentLink\/QG0Ur914\">2022 SCC OnLine Del 2199<\/a>, decided on 26-07-2022<\/span>]<\/p>\n<hr \/>\n<p>Advocates who appeared in this case :<\/p>\n<p style=\"text-indent: 18pt;\">Ms. Prakriti Vaishney, Advocate, for the Petitioner.<\/p>\n<hr \/>\n<p style=\"text-indent: 18pt;\"><strong><span style=\"color: #000080;\">*Arunima Bose, Editorial Assistant has reported this brief.<\/span><\/strong><\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>Delhi High Court: Prathiba Singh, J. permanently injuncts Neeraj Food Products (\u2018defendants&#8217;) for trading JAMES BOND a chocolate product in pillow packs <\/p>\n","protected":false},"author":67011,"featured_media":268833,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[3,10],"tags":[50522,50524,2728,2543,50525,50527,2943,50526,50528,50523,18071],"class_list":["post-270758","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-casebriefs","category-highcourts","tag-cadbury","tag-chocolates","tag-compensation","tag-Delhi_High_Court","tag-gems","tag-gems-bond","tag-injunction","tag-james","tag-james-bond","tag-mondelez","tag-trademark-infringement"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v26.4 (Yoast SEO v26.4) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Gems or James Bond; 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Similar label also amounts to copyright infringement; Directs Rs 20 lakh as damages","author":"Editor","date":"August 24, 2022","format":false,"excerpt":"Delhi High Court: In a case where permanent injunction was sought against use of Royal Champs, a Gwalior Distilleries Private Limited product (\u2018defendants'), selling whiskeys under a deceptively similar name and label design and using the goodwill of Royal Stag, a Seagram India Private Limited product (plaintiffs), Navin Chawla, J.\u2026","rel":"","context":"In &quot;Case Briefs&quot;","block_context":{"text":"Case Briefs","link":"https:\/\/www.scconline.com\/blog\/post\/category\/casebriefs\/"},"img":{"alt_text":"Delhi High Court","src":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2022\/06\/delhi_high_court.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2022\/06\/delhi_high_court.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2022\/06\/delhi_high_court.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2022\/06\/delhi_high_court.jpg?resize=700%2C400&ssl=1 2x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2022\/06\/delhi_high_court.jpg?resize=1050%2C600&ssl=1 3x"},"classes":[]},{"id":199216,"url":"https:\/\/www.scconline.com\/blog\/post\/2018\/07\/30\/ecj-asks-euipo-to-reconsider-the-three-dimensional-shape-of-4-finger-kitkat-as-an-eu-trademark\/","url_meta":{"origin":270758,"position":2},"title":"ECJ asks EUIPO to reconsider the three-dimensional shape of \u20184 Finger KitKat\u2019 as an EU trademark","author":"Saba","date":"July 30, 2018","format":false,"excerpt":"European Court of Justice: In 2006, EUIPO registered the three-dimensional shape of a \u20184 Finger KitKat\u2019 as a EU trademark in respect of sweets, bakery products, pastries, biscuits, cakes and waffles. 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\u2018employee\u2019 under MRTU and PULP Act","author":"Editor","date":"April 30, 2024","format":false,"excerpt":"Both Labour as well as Industrial Court have concurrently held that apart from performing supervisory nature of duties, the petitioner did not himself perform any manual, skilled, unskilled or clerical work.","rel":"","context":"In &quot;Case Briefs&quot;","block_context":{"text":"Case Briefs","link":"https:\/\/www.scconline.com\/blog\/post\/category\/casebriefs\/"},"img":{"alt_text":"Bombay High Court","src":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2024\/02\/Bombay-High-Court.webp?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2024\/02\/Bombay-High-Court.webp?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2024\/02\/Bombay-High-Court.webp?resize=525%2C300&ssl=1 1.5x, 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