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Smart Summary

Factual and Procedural Background

The petitioner challenged an entry in the Trade Marks Register for the trade mark "JYOTI" (No. 421846) in Class 7 recorded on 14 May 1984 in favour of respondent No. 1 (Shri Jai Narain Agarwal, sole proprietor of M/s Maharashtra Enterprises). The petitioner alleges prior registration of the trade mark "JYOTI" in August 1982 and seeks cancellation of the 1984 entry under section 56 of The Trade and Merchandise Marks Act, 1958. The petition was considered by D.K. Deshmukh, J., and heard at length on 17 January 2002. At that hearing the petitioner’s counsel sought an adjournment to withdraw the petition; subsequently counsel informed the Court that the petition would not be withdrawn and asked that it be disposed of on merits. The Court ultimately dismissed the petition as barred by limitation and ordered costs.

Legal Issues Presented

  1. Whether an application under section 56 of The Trade and Merchandise Marks Act is governed by the Limitation Act and, if so, what is the applicable period of limitation.
  2. When does the right to apply under section 56 accrue for the purposes of limitation — on the date of entry in the register or on the date the aggrieved person comes to know of the entry?
  3. Whether the petitioner has pleaded facts sufficient to show that the limitation period should be computed from a date later than the date of the register entry (i.e., the date of knowledge).

Arguments of the Parties

Petitioner's Arguments

  • The petitioner claimed prior registration of the trade mark "JYOTI" in August 1982 and alleged that the respondent's registration in 1984 should be cancelled because it conflicted with the petitioner's earlier registration.
  • The petitioner's learned counsel submitted that the right to apply under section 56 accrues when the petitioner came to know of the entry made in the register, not on the date the entry was made; therefore, limitation should be computed from the date of knowledge.
  • The petitioner sought leave to refer to and rely on documents and averments made in a civil suit filed in the Delhi High Court to show when knowledge of the entry was first acquired.

Respondent's Arguments

The opinion does not contain a detailed account of the respondent's legal arguments.

Table of Precedents Cited

No precedents were cited in the provided opinion.

Court's Reasoning and Analysis

The Court proceeded through the following analytical steps based on the materials and submissions before it:

  1. The Court observed that section 56 of The Trade and Merchandise Marks Act empowers a person aggrieved by an entry in the trade mark register to apply to the High Court for cancellation or variation of that entry.
  2. The Court held that because an application under section 56 can be made to the High Court, the Limitation Act applies. Section 3 of the Limitation Act requires dismissal of any application made after the prescribed period even if limitation is not pleaded as a defence.
  3. Noting that the Limitation Act schedule contains no specific entry for applications under section 56, the Court applied Article 137 of the Limitation Act ("Any other application for which no period of limitation is provided elsewhere in this Division") which prescribes a limitation period of three years from the date when the right to apply accrues.
  4. The Court considered when the right to apply accrues. The Court stated that, on the face of section 56, the right accrues when an aggrieved person is affected by an entry made in the register (i.e., when the entry is made). The petitioner’s counsel argued that accrual should be from the date the petitioner came to know of the entry (knowledge). The Court accepted that, if pleaded and proved, the date of knowledge could be the starting point for limitation.
  5. The Court emphasized the evidentiary and pleading requirements: to avail the date-of-knowledge starting point, the petitioner must specifically allege (a) lack of awareness of the entry on the date it was made and (b) the exact date on which the petitioner first became aware of the entry. The petition contained no such specific averments.
  6. The Court rejected the counsel’s attempt to rely on averments in a separate Delhi High Court suit without first making the requisite specific claim in the present petition. The Court held that reliance on external documents would not cure the absence of specific pleading in this petition.
  7. Because the petition contained no claim that limitation should be computed from a later date, the Court concluded that the petition was not filed within the prescribed period under Article 137 and therefore was time-barred under the Limitation Act.
  8. The Court also commented on conduct at the 17 January 2002 hearing: counsel had indicated an intention to withdraw after seeking an adjournment when the matter had been fully argued. The subsequent reversal of that intention and insistence on disposal on merits was characterized as wasting Court time and being unfair to the Court and the public.

Holding and Implications

HOLDING: The petition challenging the register entry dated 14 May 1984 was DISMISSED as barred by the law of limitation.

Implications: The direct effect is that the petitioner’s challenge under section 56 failed for being time-barred; the Court imposed exemplary costs of Rs. 25,000 on the petitioner to discourage the conduct described. The opinion contains no statement that it is laying down a new legal precedent beyond applying the Limitation Act and Article 137 to applications under section 56. The petitioner was required to act on the copy of the order duly authenticated by the Associate/Personal Secretary as true copy.

    Rakesh Kumar Gupta v. Goresh Domesztic Appliances & Others

    D.K Deshmukh, J.:— By this petition, the petitioner challenges the entry in respect of trade mark ‘JYOTI’ under No. 421846 in class 7 in the name of respondent No. 1. According to the averments in the petition, the petitioner is a registered proprietor of the trade mark ‘JYOTI’ and that registration was made in August 1982. According to the averments in the petition, on 14th May, 1984, one Shri Jai Narain Agarwal, who was sole proprietor of M/s Maharashtra Enterprises, applied for registration of trade mark ‘JYOTI’ in class 7 and pursuant to that application, the trade mark ‘JYOTI’ was registered in favour of the said person on 14th May, 1984. Thus, in this petition, the petitioner is challenging an entry made in the trade mark register on 14th May, 1984. This petition has been filed under section 56 of The Trade and Merchandise Marks Act, 1958. Sub-sections (1) and (2) of section 56 are relevant, they read as under:—

    “56. Power to cancel or vary registration and to rectify the register:—

    (1) On application made in the prescribed manner to a High Court or to the Registrar by any person aggrieved, the Tribunal may make such order as it may think fit for cancelling or varying the registration of a trade mark on the ground of any contravention, or failure to observe a condition entered on the register in relation thereto.

    (2) Any person aggrieved by the absence or omission from the register of any entry, or by any entry made in the register without sufficient cause, or by any entry wrongly remaining on the register, or by any error or defect in any entry in the register, may apply in the prescribed manner to a High Court or to the Registrar, and the Tribunal may make such order for making, expunging or varying the entry as it may think fit”

    2. Perusal of the above provisions shows that any person who feels aggrieved by any entry made in the trade mark register, can make an application to this Court for cancellation of that entry. It is common ground before me that under the Trade Marks Act, there is no period prescribed within which such an application can be made. Section 3 of the Limitation Act lays down that subject to the provisions contained in sections 4 to 24, every suit, appeal preferred and application made after the prescribed period shall be dismissed although limitation has not been set up as a reason. Section 3 of the Limitation Act reads as under:—

    “3. Bar of limitation

    (1) Subject to the provisions contained in sections 4 to 24 (inclusive), every suit instituted, appeal preferred, and application made after the prescribed period shall be dismissed although limitation has not been set up as a defence.

    (2) For the purposes of this Act—

    (a) a suit is instituted—

    (i) in an ordinary case, when the plaint is presented to the proper officer;

    (ii) in the case of a pauper, when his application for leave to sue as a pauper is made; and

    (iii) in the case of a claim against a company which is being wound up by the court, when the claimant first sends in his claim to the official liquidator;

    (b) any claim by way of a set-off or a counter-claim, shall be treated as a separate suit and shall be deemed to have been instituted—

    (i) in the cases of set-off, on the same date as the suit in which the set-off is pleaded;

    (ii) in the case of a counter-claim, on the date on which the counter-claims made in court;

    (c) an application by notice of motion in a High Court is made when the application is presented to the proper officer of that court.”

    3. It is clear from the provisions of sub-section (1) of Section 3 of the Limitation Act that every Court is under a duty to dismiss every application submitted before it after the prescribed period even if limitation has not been set up as alleged. The terms ‘period of limitation’ and ‘prescribed period’ have been defined by section 2(j) of the Limitation Act. It reads as under:—

    “2(j) ‘period of limitation’ means the period of limitation prescribed for any suit, appeal or application by the Schedule, and ‘prescribed period’ means the period of limitation computed in accordance with the provisions of this Act.”

    4. It is clear therefore that The High Court would be under a duty to dismiss an application made under section 56 if it finds that it has not been submitted within the prescribed period. It is thus clear that as the application under section 56 can be made to the High Court, the provisions of the limitation act would apply and as in the schedule of the Limitation Act, there is no specific entry made providing the period of Limitation for making an application under section 56, the period of limitation would be governed by Article 137 which reads as under:—

    “Any other application for which no period of limitation is provided elsewhere in this Division;

    Three years.

    When the right to apply accrues.”

    5. According to Article 137 of the Limitation Act, the application can be made within a period of three years from the date when the right to apply accrues. Perusal of the provisions of section 56 of The Trade and Merchandise Marks Act quoted above shows that a person who feels aggrieved by an entry made in the register can make an application under that section for cancellation of the entry. The grievance of the petitioner is that as his trade mark was already registered, the trade mark of the respondent No. 1 could not have been registered. Therefore, the petitioner is the person who is aggrieved by an entry made in the register, therefore his right to apply under Section 56 would accrue to him when the entry was made in the register by the Register in the year 1984. The learned counsel appearing for the petitioner, however, submits that right to apply under section 56 of The Trade and Merchandise Marks Act would accrue to the petitioner when he came to know of the entry made of the respondent No. 1's trade mark and not on the date when the entry was actually made. Even assuming that the learned counsel for the petitioner is right in submitting that his right to apply under section 56 would accrue to him when he came to know of the entry made by the Registrar and that the period of limitation will have to be computed from the date of the knowledge. The facts that are required to be disclosed for decision of this claim are (a) that the petitioner was not aware of the entry made on the date when the entry was made and (b) that he for the first time came to know of the entry at a subsequent point of time. The petitioner will have to state the exact date and time when he came to know of the entry made. Perusal of the petition shows that there is no claim made in the petition that the petitioner was not aware of the entry made either on the date when the entry was made. It is also not claimed that the petitioner became aware of the entry or that the entry was brought to his knowledge at any subsequent point of time. The learned counsel for the petitioner submits that the petitioner has sought leave of this Court to refer to and rely on the papers of the civil suit that the petitioner had filed in Delhi High Court and in the plaint filed in Delhi High Court, such averments have been made in my opinion, this will not comply with the requirements of making specific averments in this petition. In this petition, in order to claim that the starting point of limitation would be some other date than the date of entry in the register, the petitioner will have to make that claim first and then he can rely on document in support of that claim. In the present petition, that claim itself is absent. In my opinion, therefore, the petitioner cannot succeed in establishing, that his petition has been filed within the period of limitation provided by law.

    6. This matter was heard by me at length on 17th January, 2002 and I had indicated to the learned counsel appearing for the petitioner that I am going to dismiss the petition as barred by the law of limitation and I was on the point of dictating my order. At that time, the learned counsel for the petitioner interrupted me and requested for an adjournment by saying that he should be given one week's time to withdraw the petition. Therefore, the matter was fixed on board for withdrawal. Today, the learned counsel for the petitioner stated that he is not withdrawing the petition and instead, I should dispose of the petition on merits, with the result I had to again hear the petition at length for considerable time. I find the course of action adopted by the petitioner odd, that has resulted in wasting Court's time.

    7. In my opinion, therefore, in order to discourage such tendency, while dismissing this petition, exemplary costs have to be imposed. On 17th January, 2002, while seeking an adjournment when the matter was fully argued and heard, an impression was given to the Court that the petition would be withdrawn and the Court will not be required to pass orders on merits. The course of action adopted by the petitioner, in my opinion, is unfair to the Court as also to the public. The petition is therefore dismissed with costs. The costs is quantified at Rs. 25,000/-.

    8. Parties to act on the copy of this duly authenticated by the Associate/Personal Secretary as true copy.

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    Comments

    Rakesh Kumar Gupta v. Goresh Domesztic Appliances & Others
    (Jan 24, 2002)