'Khadi' Trademark Infringement Suit- permanent injunction granted against 'Khadi By Heritage'

'Khadi' Trademark Infringement Suit- permanent injunction granted against 'Khadi By Heritage'

The Delhi High Court in Khadi & Village Industries Commission v/s Raman Gupta And Others in the trademark infringement suit filed by KHADI granted a permanent injunction against ‘KHADI BY HERITAGE’ which is engaged in selling PPE kits, hand sanitizers and fireballs. It observed that there was a "reasonable expectation" that the latter misused the former's trademark to promote its products.

The Hon’ble Bench observed that “Such misuse of the Plaintiff's mark 'KHADI' cannot be condoned by the Court, inasmuch as the mark and the name, as also, the logo, have been identically used by the Defendants. The use by the Defendants is deliberate, conscious and mala fide in nature.”

It was stated in the Court that Khadi & Village Industries Commission, a statutory body, had filed the suit claiming to be the registered proprietor of the mark 'KHADI' along with the 'Charkha Logos'. It also hosts the website under the domain name 'www.kviconline.gov.in' which was registered since 1st July, 2010. The plaintiff is aggrieved by the fact that the defendant is using the trading style 'KHADI BY HERITAGE', the corporate name as also, the mark and the 'Charkha Logo' in various forms. The defendants claim to be the “manufacturers of Organic, Natural & Eco-Friendly Cosmetic and allied

Products under the name and brand of KHADI BY HERITAGE”. The Defendants, through their website, promote and sell various products, especially products for use in the healthcare sector such as PPE Kits, hand sanitizers, and fireballs. 

After perusing the photographs placed on record would show the use of the ‘Charkha Logo’ and the mark ‘'KHADI BY HERITAGE’ in respect of PPE kits and hand sanitizers offered for sale by the Defendants, the Court observed that:

“..The sale of PPE kits, masks, hand sanitizers, fireballs, etc. by the Defendants, under the mark ‘KHADI’, ‘KHADI INDIA’ along with the 'Charkha Logo’ would be a complete violation of the Plaintiff’s rights in the same. Such use would also result in causing irreparable confusion to the consumers, who may believe the Defendants’ products to be genuine. In fact, in the opinion of this Court, the use of the mark and name ‘KHADI BY HERITAGE’ seeks to evoke a connection with or affiliation to the Plaintiff, which is the exclusive owner and user of the mark ‘KHADI’.”

The Court further directed that the said domain names registered by the defendant containing the trademark of the plaintiff shall be transferred to the plaintiff. The list of the said domain names reads thus:- 

● https://khadi-by-heritage.business.site/

● www.KhadiByHeritage.com

● www.KhadiByHeritage.org.

The defendants were also directed to pay damages to the tune of Rs.10 lakhs and costs of Rs.2 lakhs to the Plaintiff within 3 months from the date of this order.