{"id":278661,"date":"2022-11-17T10:00:28","date_gmt":"2022-11-17T04:30:28","guid":{"rendered":"https:\/\/www.scconline.com\/blog\/?p=277628"},"modified":"2022-11-17T10:00:28","modified_gmt":"2022-11-17T04:30:28","slug":"delhi-high-court-awards-rs-25-lakhs-damages-to-daawat-basmati-rice-in-a-trade-mark-infringement-suit-restrains-manufacturer-from-selling-counterfeit-daawat-products","status":"publish","type":"post","link":"https:\/\/www.scconline.com\/blog\/post\/2022\/11\/17\/delhi-high-court-awards-rs-25-lakhs-damages-to-daawat-basmati-rice-in-a-trade-mark-infringement-suit-restrains-manufacturer-from-selling-counterfeit-daawat-products\/","title":{"rendered":"Delhi High Court awards Rs. 25 lakhs damages to \u2018Daawat\u2019 Basmati Rice in a trade mark infringement suit; restrains manufacturer from selling counterfeit \u2018Daawat\u2019 Products"},"content":{"rendered":"<div style=\"text-align: justify; line-height: 150%;\">\n<p style=\"text-indent: 18pt;\">&#160; &#160;<\/p>\n<p style=\"text-indent: 18pt; margin-bottom: 3%;\"><b>Delhi High Court<\/b>: In a suit for permanent injunction and damages for infringement of marks, passing off and unfair competition in relation to the mark <i>&#8216;DAWAT\/DAWAAT&#8217;<\/i>, the Single Judge Bench of Prathiba M. Singh, J. awarded Rs. 25 lakhs as damages and costs in favour of the plaintiff and held that the defendant was manufacturing and selling counterfeit &#8216;DAAWAT&#8217; branded products with dishonest intention.<\/p>\n<p><b>Facts of the Case<\/b><\/p>\n<p style=\"text-indent: 18pt; margin-bottom: 3%;\">The plaintiff was engaged in the business of processing, marketing, and exporting food products including rice and had a strong distribution network in all major Basmati Rice consuming cities in India and in foreign countries including USA, Canada, UK, and EU. Some of the well-known brands used by the plaintiff were <i>HERITAGE, DAWAT, DAAWAT, DAAWAT DEVAYA, DAAWAT BESTOW, ORANGE, DEVAAYA, CHEF&#8217;s SECRET, SONA, ROYAL<\/i>, etc. The present suit was related to the trade marks <i>&#8216;DAWAT\/DAAWAT&#8217;<\/i> which were used in respect of rice and were registered in both word mark and device mark since 1987.<\/p>\n<p><b>Submissions on behalf of the Plaintiff<\/b><\/p>\n<p style=\"text-indent: 18pt; margin-bottom: 3%;\">It was contended that the defendant was selling, storing, and distributing counterfeit <i>&#8216;DAAWAT&#8217;<\/i> branded products, and the plaintiff came to know about this in 2021 when they purchased the defendant&#8217;s product. Upon examination, it was revealed that even though the product claimed to be Basmati Rice, it was Jawaphool Rice and did not match the standards of Basmati Rice, which was of high quality. Moreover, the same was being branded as Basmati Rice and sold in <i>&#8216;DAAWAT CHED&#8217;s SECRET BASMATI RICE&#8217;<\/i> branded product packaging and the packaging of the product of the defendant was identical to the product of the plaintiff.<\/p>\n<p><b>Analysis, Law, and Decision<\/b><\/p>\n<p style=\"text-indent: 18pt; margin-bottom: 3%;\">On 7-9-2021, an <i>ex-parte ad interim<\/i> injunction was passed, and a Local Commissioner was appointed to visit the premises of the defendant and prepare an inventory of the infringing goods. The report and images produced by the Local Commissioner revealed that a total of 89 packets of distinct types of rice, bearing the mark &#8216;DAAWAT&#8217; were found in the defendant&#8217;s premises, proving that the defendant&#8217;s product packaging was nothing but a counterfeiting packaging of the plaintiff&#8217;s &#8216;DAAWAT&#8217; products.<\/p>\n<p style=\"text-indent: 18pt; margin-bottom: 3%;\">The Court opined that the defendant was clearly indulging in violation of the plaintiff&#8217;s statutory and common law rights in the marks <i>&#8216;DAWAT\/DAAWAT&#8217;<\/i>. Moreover, the product involved was rice for human consumption, therefore, the misrepresentation by the defendant that its product was Basmati Rice, was also impermissible.<\/p>\n<p style=\"text-indent: 18pt; margin-bottom: 3%;\">The Court stated that the report by the Local Commissioner could be read into evidence under Order <a href=\"https:\/\/www.scconline.com\/DocumentLink.aspx?q=JTXT-0001523266\">XXVI Rule 10(2)<\/a> of <a href=\"https:\/\/www.scconline.com\/DocumentLink.aspx?q=JTXT-0002726944\">Civil Procedure Code, 1908<\/a> (CPC). The Court relied on <i>M.L. Brother LLP<\/i> v. <i>Mahesh Kumar Bhrualal Tanna<\/i>, <a href=\"https:\/\/www.scconline.com\/DocumentLink.aspx?q=JTXT-9001141438\">2022 SCC OnLine Del 1452<\/a>, wherein it was held by this Court that <i>&#8220;Order <a href=\"https:\/\/www.scconline.com\/DocumentLink.aspx?q=JTXT-0001523266\">XXVI Rule 10(2)<\/a> <a href=\"https:\/\/www.scconline.com\/DocumentLink.aspx?q=JTXT-0002726944\">CPC<\/a> stipulates that the report of the Commissioner and the evidence taken by the Commissioner shall be evidence in the suit and shall form part of the record&#8221;<\/i>.<\/p>\n<p style=\"text-indent: 18pt; margin-bottom: 3%;\">After taking into consideration the report of the Local Commissioner, the evidence which was collected by the Local Commissioner and the non-filing of the written statement by the defendants, the Court opined that the no <i>ex-parte<\/i> evidence was required in this case.<\/p>\n<p style=\"text-indent: 18pt; margin-bottom: 3%;\">On the relief of costs and damages, the Court held that defendant&#8217;s counterfeiting was contrary to law and was diluting the reputation and goodwill of the plaintiff&#8217;s marks. Moreover, after considering the amount of seizure made, the nature of the counterfeiting indulged into by the defendant, the costs incurred by the plaintiff for executing the local commission and the court fees deposited, it was clear that the plaintiff&#8217;s mark and business had been diluted due to infringing use. Therefore, the Court decreed the suit for a sum of Rs. 25,00,000 towards damages and costs.<\/p>\n<p style=\"text-indent: 18pt; margin-bottom: 3%;\">[<span style=\"font-weight: bold; color: #632423;\">LT Foods Limited v. Saraswati Trading Company, <a href=\"http:\/\/www.scconline.com\/DocumentLink\/n1r22CmW\">2022 SCC OnLine Del 3694<\/a>, decided on 11-11-2022<\/span>]<\/p>\n<hr\/>\n<p>Advocate who appeared in this case:<\/p>\n<p style=\"text-indent: 18pt;\">For the Plaintiff(s): Advocate R. Abhishek.<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>&#160; &#160; Delhi High Court: In a suit for permanent injunction and damages for infringement of marks, passing off and unfair competition <\/p>\n","protected":false},"author":67011,"featured_media":269061,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[3,10],"tags":[39496,52960,52961,2713,52962,52958,52959,52945,3215,31483,2769,31012,3221],"class_list":["post-278661","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-casebriefs","category-highcourts","tag-civil-procedure-code-1908","tag-costs-and-damages","tag-counterfeit-goodwill","tag-decree","tag-dishonest-intention","tag-ex-parte-ad-interim-injunction","tag-ex-parte-evidence","tag-identical","tag-infringement","tag-misrepresentation","tag-relief","tag-seizure","tag-Trademark"],"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>Delhi High Court awards Rs. 25 lakhs damages to \u2018Daawat\u2019 Basmati Rice in a trade mark infringement suit; 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Additionally, Rs. 5 lakhs were awarded as damages.","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\/2023\/02\/MicrosoftTeams-image-472.png?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2023\/02\/MicrosoftTeams-image-472.png?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2023\/02\/MicrosoftTeams-image-472.png?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2023\/02\/MicrosoftTeams-image-472.png?resize=700%2C400&ssl=1 2x"},"classes":[]},{"id":308008,"url":"https:\/\/www.scconline.com\/blog\/post\/2023\/11\/29\/dhc-grants-rs-11-lakhs-as-damages-costs-to-aero-club-for-mark-woodland-in-trade-mark-infringement-suit-legal-news\/","url_meta":{"origin":278661,"position":1},"title":"\u2018Sale of counterfeits destroys market for genuine goods\u2019; Delhi HC grants Rs. 11 lakhs as damages and costs to Aero Club for its mark \u2018WOODLAND\u2019 in trade mark infringement suit","author":"Simranjeet","date":"November 29, 2023","format":false,"excerpt":"\u201cThe infringement conducted by defendant by imitating plaintiff\u2019s mark \u2018WOODLAND\u2019 and \u2018tree device \u2019 has been deliberate and calculated.\u201d","rel":"","context":"In &quot;Case Briefs&quot;","block_context":{"text":"Case Briefs","link":"https:\/\/www.scconline.com\/blog\/post\/category\/casebriefs\/"},"img":{"alt_text":"woodland mark","src":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2023\/11\/woodland-mark.webp?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2023\/11\/woodland-mark.webp?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2023\/11\/woodland-mark.webp?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2023\/11\/woodland-mark.webp?resize=700%2C400&ssl=1 2x"},"classes":[]},{"id":280579,"url":"https:\/\/www.scconline.com\/blog\/post\/2022\/12\/29\/delhi-high-court-grants-permanent-injunction-to-rpg-enterprises-ltd-for-its-mark-rpg-in-a-trade-mark-infringement-suit-awards-rs-3-lakhs-as-damages\/","url_meta":{"origin":278661,"position":2},"title":"Delhi High Court grants permanent injunction to RPG Enterprises Ltd. for its mark \u2018RPG\u2019 in a trade mark infringement suit; awards Rs. 3 lakhs as damages","author":"Editor","date":"December 29, 2022","format":false,"excerpt":"The Delhi High Court granted permanent injunction to RPG Enterprises Ltd. for its mark \u2018RPG\u2019. Further, RPG Developers (P) Ltd. were restrained from offering\/rendering any services using the impugned trade mark \u2018RPG\u2019 and\/or \u2018RPG DEVELOPERS\u2019 and\/or artistic work which was a colourable imitation of the plaintiff's artistic work or any\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\/12\/MicrosoftTeams-image-418.jpg?resize=350%2C200&ssl=1","width":350,"height":200},"classes":[]},{"id":277715,"url":"https:\/\/www.scconline.com\/blog\/post\/2022\/11\/18\/delhi-high-court-awards-rs-20-lakhs-costs-to-louis-vuitton-in-a-trade-mark-infringement-case-against-club-factory\/","url_meta":{"origin":278661,"position":3},"title":"Delhi High Court awards Rs. 20 lakhs costs to Louis Vuitton in a trade mark infringement case against Club Factory","author":"Editor","date":"November 18, 2022","format":false,"excerpt":"\u00a0 \u00a0 Delhi High Court: In a case where Club Factory was involved in the sale of various unauthorized\/ counterfeited products, bearing the registered marks of Louis Vuitton, the Single Judge Bench of Prathiba M. 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Delhi High Court grants permanent injunction and imposes Rs. 9.59 lakh costs on the manufacturers for selling counterfeit goods","author":"Simranjeet","date":"April 20, 2023","format":false,"excerpt":"The Delhi High Court opined that the defendants took unfair advantage of the reputation and goodwill of Louis Vuitton (LV) marks and deceived the unwary consumers of their association with the LV marks.","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\/2023\/02\/MicrosoftTeams-image-472.png?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2023\/02\/MicrosoftTeams-image-472.png?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2023\/02\/MicrosoftTeams-image-472.png?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2023\/02\/MicrosoftTeams-image-472.png?resize=700%2C400&ssl=1 2x"},"classes":[]}],"amp_enabled":true,"_links":{"self":[{"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/posts\/278661","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/users\/67011"}],"replies":[{"embeddable":true,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/comments?post=278661"}],"version-history":[{"count":0,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/posts\/278661\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/media\/269061"}],"wp:attachment":[{"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/media?parent=278661"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/categories?post=278661"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/tags?post=278661"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}