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R.P. Locks Co. v. Sehgal Locks Co.
Factual and Procedural Background
The plaintiff is the registered proprietor of the trade mark "HARRISON," registered on 27th April 1960, used in relation to locks manufactured by it. The plaintiff filed a suit alleging that the defendants were manufacturing and selling locks under the trade name "HARICON," which the plaintiff claimed amounted to infringement of its registered trade mark. Along with the suit, the plaintiff applied under Order 39 rules 1 and 2 for a temporary injunction, which was initially granted ex parte on 27th November 1987. Subsequently, a Local Commissioner was appointed under Order 26 to take possession of locks bearing the mark "HARICON," which were handed over to the plaintiff on Superdari. The defendants filed a reply and written statement denying infringement, asserting honest use of the mark, prior use for four years, and non-identical nature of the marks.
Legal Issues Presented
- Whether the defendants' use of the mark "HARICON" constitutes infringement of the plaintiff's registered trade mark "HARRISON" under the Trade Marks Act.
- Whether the plaintiff is entitled to a temporary injunction to restrain the defendants from using the mark "HARICON" pending the disposal of the suit.
- The relevance of acquiescence and honest user in the context of trade mark infringement and interim relief.
Arguments of the Parties
Plaintiff's Arguments
- The plaintiff is the registered owner of the trade mark "HARRISON" used for locks.
- The defendants' use of the mark "HARICON" is deceptively similar both visually and phonetically, substituting letters to create confusion.
- The defendants' actions amount to infringement, likely to mislead unwary customers and affect the plaintiff's business and reputation.
- Acquiescence is not applicable as the plaintiff only became aware of the defendants' use in 1987.
- An injunction is necessary to protect both the plaintiff’s rights and the general public from deception.
Defendants' Arguments
- The mark "HARICON" is derived from "REDCON (RED TRIANGLE)" related to family planning, indicating honest user.
- The defendants have been manufacturing and selling locks under the mark for four years with the plaintiff’s knowledge, implying acquiescence.
- The two marks "HARRISON" and "HARICON" are not identical, and the locks themselves are marked with the respective manufacturers’ names, distinguishing the products.
Table of Precedents Cited
No precedents were cited in the provided opinion.
Court's Reasoning and Analysis
The Court examined the marks "HARRISON" and "HARICON" and found them to be deceptively similar both visually and phonetically, noting the substitution of letters and the similarity in the shape of the locks. The Court rejected the defendants' explanation linking "HARICON" to "REDCON (RED TRIANGLE)" as far-fetched and irrelevant. It held that the indication of the manufacturer’s name on the locks does not negate infringement of the registered trade mark. The Court emphasized that under sections 28 and 29 of the Trade Marks Act, the registered proprietor has an exclusive right to use the trade mark and can seek relief against infringement. The Court recognized that acquiescence may be relevant for damages but does not preclude granting an injunction. The Court further noted that granting an interim injunction serves to protect both the proprietor’s rights and the public from being misled by deceptively similar marks. Consequently, the Court concluded that the plaintiff was entitled to an injunction against the defendants’ use of the mark "HARICON."
Holding and Implications
The interim injunction granted to the plaintiff was made absolute.
The Court directed the plaintiff to furnish security of Rs. 50,000 within one month to maintain the injunction; failure to do so will result in automatic vacation of the injunction. The decision restrains the defendants from using the mark "HARICON" pending final disposal of the suit, thereby protecting the plaintiff’s exclusive rights under the Trade Marks Act. No new precedent was established; the ruling applies established principles of trade mark infringement and interim relief.
B.N Kirpal, J. (Oral):— This order will dispose of the application under Order 39 rules 1 and 2 filed by the plantiff where the prayer is for the grant of a temporary injunction pending disposal of the suit.
2. The plantiff is admittedly the owner of the registered trade mark HARRISON. This trade mark is used in respect of locks manufactured by the plaintiff. The registration was granted to the plaintiff on 27th April, 1960. The case of the plaintiff is that it has a large turn over and the defendants have now started manufacturing and selling locks under the trade name and style of HARICON. This, according to the plaintiff, amounts to infringement of the plaintiff's trade mark.
3. Alongwith the suit, an application under Order 39 rules 1 and 2 was also filed for the grant of interim injunction and an ex parte injunction was granted on 27th November, 1987. An application was also filed under Order 26 pursuant to which a Local Commissioner was appointed who took possession of the locks/padlocks hearing the name HARICON and the said locks have now been handed over by the Local Commissioner to the plaintiff on Superdari.
4. In the reply and the written statement which have been filed by the defendants, it has been stated that the word HARICON has been imbibed “after the REDCON (RED TRIANGLE) device of family planning”. From this, it is alleged that the user of the said mark by the defendants is honest.
5. It is also the case of the defendant that it has been manufacturing and selling the locks for the last four years and the plaintiff knew about the same and that the plantiff having acquiesced to the sale cannot ask for an injunction. It is also contended by the learned counsel for the defendant that the two marks are not identical. It is submitted that whereas the plaintiff is using the trade mark HARRISON and on the locks it is stated that it is made by R. P. Locks Co., the defendants are using the mark HARICON and it is stated on the locks itself that it is manufactured by defendant No. 1.
6. Under section 28 of the Trade Marks Act, the registered proprietor of a trade mark has the exclusive right to use the trade mark in relation to the goods in respect of which the trade mark is registered. He has also the right to obtain relief in respect of the infringement of the trade mark in the manner provided by the Act. Section 29 of the Act, inter alia, provides that a trade mark is infringed if a person shall use in the course of a trade mark which is identical with or deceptively similar to trade mark in relation to which any goods in respect of the trade mark is registered and in such manner as to render the use of the mark likely to be taken as being used as a trade mark. In the present case, there is no doubt in my mind that the marks HARRISON and HARICON are deceptively similar. They are similar both phonetically as well as visually. It is not unknown that the letter ‘C’ is at times pronounced as “see' as in ‘Piece’. What the defendants have done is that it has substituted the letter ‘S’ with the letter ‘C’ and has used one ‘R’ instead of two. It is, however, not disputed that the shape of the locks manufactured by the plaintiff and the defendants is similar. There is considerable force in the contention of the learned counsel for the plaintiff that an unwary customer is likely to be mistaken or misled by the mark HARICON as being the mark of the plaintiff.
7. The trade mark which is registered in the present case is HARRISON. The fact that the defendants also indicate on the lock that the same is manufactured by Seheal Locks Co. does not mean that there is no infringement of the plaintiff's trade mark. The indication of the name of the manufacturer on the goods may be a relevant circumstance in a case of passing off action but in a case of infringement of a trade mark it is to my mind, of no consequence. What has to be compared in the case of infringement of a trade mark are the two marks which are used by the parties. The two marks are HARRISON and HARICON. As I have already indicated above, the two marks appear to be visually sad phonetically similar and, to my mind, is a clear attempt by the defendants to try and cash in on the reputation of the plaintiffs.
8. The defendants have sought to give an explanation as to how it has used the word HARICON. The explanation is that this word is derived from REDCON (RED TRIANGLE). I have not been able to understand as to how the, word HARICON has any resemblance with RED TRIANGLE or how is it such that the red triangle used for propogating a family planning has anything to do with the manufacture of locks. The explanation, on the face of it, is far fetched and noval.
9. With regard to acquiescence, according to the plaintiff it has got to know about the sale of the locks only in 1987. That apart, acquiescence may be a relevant circumstance which is to be taken into consideration in deciding when damages are to be awarded. Sections 28 and 29, read together, give an absolute right to the owner of the trade mark to the exclusive use of the said mark and prohibits anyone else from infringing the same. The act of infringement of the trade mark is, therefore, clearly illegal and the continued user by the defendants is certainly likely to adversely affect the business and the reputation of the plaintiff. Under section 106 of the Trade Marks Act, one of the reliefs which can be granted to the holder of the trade mark, whose right is being infringed, is that of an injunction. Once the Court prima facie comes to the conclusion that the mark of the defendant is, on the face of it, deceptively similar to that of the plaintiff then it would be in the interest of all that interim injunction should be graned. It is to be borne in mind that deceptively similar marks are use so that the infringer is able to mislead the general public and try and pass off its goods as being the genuine goods. The interim injunction which is granted under these circumstances, when there is a apparent infringement of the trade mark, not only protects the interest of the holder of the trade mark but also protect the general public who are, more often than not, led to buy spurious goods in place of genuine ones. When a Court, therefore, comes to a conclusion that there is a deliberate attempt to pass off one's goods as that of another then he Court should grant the injunction prayed for.
10. For the aforesaid reasons, the interim injunction is made absolute.
11. Counsel for the defendant states that the value of the goods belonging to the defendant which are now lying with the plaintiff on superdari is about Rs. 25,000 to Rs. 50,000. I, therefore, direct that the plaintiffs shall, within one month from today, furnish to the satisfaction of the Registrar of this Court security for a sum of Rs. 50,000. If the security is not furnished, the interim injunction shall stand automatically vacated. All the I. As. are accordingly disposed of.
M.B.L Injunction made absolute.
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