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Smart Summary

Factual and Procedural Background

This opinion arises from an application filed pursuant to a Division Bench order dated 14th October 2004, which directed the appellant to file a fresh application before the learned Single Judge for consideration of a modified version of a Story Board used in an advertisement campaign. The Single Judge was to afford the opposite party an opportunity to be heard and pass appropriate orders expeditiously. The defendant proposed a modified advertisement version, which was objected to by the plaintiff on the grounds that it still contained generic disparagement proscribed by an earlier judgment of this Court dated 9th September 2004. Attempts to amicably resolve the dispute over the advertisement’s content failed, prompting this Court to decide the matter.

Legal Issues Presented

  1. Whether the modified advertisement version submitted by the defendant still constitutes generic disparagement of the plaintiff’s product or class of products in violation of the Court’s earlier judgment.
  2. Whether generic disparagement, even without specifically identifying the rival product, is impermissible under the law as established by this Court.

Arguments of the Parties

Defendant's Arguments

  • The defendant submitted a modified version of the advertisement Story Board as directed by the Division Bench.
  • The defendant contended that the modified version should be accepted and the controversy decided on that basis.

Plaintiff's Arguments

  • The plaintiff objected to certain captions in the modified version, particularly references to ‘Sadharan Dant Manjan’ being ‘khurdara’ (rough) on teeth, arguing that this still amounted to generic disparagement prohibited by the Court’s prior judgment.
  • The plaintiff rejected suggestions for alternative versions proposed during the hearing and urged the Court to decide the matter based on the annexed advertisement campaign.

Table of Precedents Cited

Precedent Rule or Principle Cited For Application by the Court
Dabur India Ltd. v. Emami Limited Generic disparagement of a rival product or class of products without specific identification is impermissible. The Court reaffirmed that disparagement of a product class is objectionable even if the rival product is not specifically named, applying this principle to reject the defendant's advertisement.
Pepsi Co. Inc. and Ors. v. Hindustan Coca Cola Ltd Rival product disparagement is prohibited, including generic disparagement within a product genre. The Court relied on this precedent to hold that disparagement of a rival product or product class cannot be justified, supporting dismissal of the defendant's application.

Court's Reasoning and Analysis

The Court analyzed the modified advertisement version in light of the principles established in prior judgments concerning disparagement of rival products. It emphasized that generic disparagement—targeting a class or genre of products without naming a specific competitor—is equally objectionable as specific disparagement. The Court noted that although the defendant removed certain qualifiers (such as the word ‘Lal’), the advertisement still disparaged the general category of ‘Dant Manjan’ by labeling it ‘sadharan’ and ‘khurdara’ (abrasive/rough on teeth). This continued disparagement fell squarely within the prohibition against generic disparagement as laid down in the Court’s earlier order dated 9th September 2004 and related precedents. The Court further observed that attempts by the parties to agree on an acceptable version failed, leaving no alternative but to dismiss the application.

Holding and Implications

The application filed by the defendant for approval of the modified advertisement version is dismissed.

The direct effect of this decision is that the defendant is prohibited from running the proposed advertisement campaign containing generic disparagement of the plaintiff’s product class. No new precedent was established; the Court reaffirmed existing principles prohibiting generic disparagement of rival products in advertising.

    Dabur India Limited v. Colgate Palmolive India Ltd.

    Mukul Mudgal, J.:— This application seeking directions has been filed pursuant to the order of the Division Bench of this Court dated 14th October, 2004 which reads as follows:—

    “During the hearing of the appeal, the appellant has given a modified version of a Story Board which is at page 83 to 86 of the paper book. Learned counsel for the appellant says that this Court may take modified version and decide the controversy in the matter. As a matter of fact learned Single Judge passed the order on the basis of the impugned Story Board which is at pages 37 to 41 of the paper book. Judicial proprietary demands that for modified version, a fresh application be filed by the appellant. Let an application be filed by the appellant before the learned Single Judge arid learned Single Judge after affording the opposite party, an opportunity to hear will pass appropriate orders in accordance with law expeditiously.”

    2. As per the aforesaid judgment of the Division Bench, a modified version has been proposed by the defendant by this application. Some of the captions in the modified version, wherein the purchaser is asking for a Dant Manjan and the Star of the advertisement Sunil Shetty is warning him about ‘Sadharan Dant Manjan’ which is said to be ‘khurdara’ (rough) on the teeth, has been objected to by the learned counsel for the plaintiff on the ground that this does not depart from the generic disparagement proscribed by the judgment of this Court dated 9th September, 2004. During the hearing certain discussions took place between the counsel regarding the modified version and during the course of the hearing this application, the parties were asked to suggest versions different from that annexed to the application. It is, however, contended that the suggestions given by the either side for the alterations are not acceptable and this Court was therefore urged to decide this application in respect of the annexed advertisement campaign and considering the fact that the divergence of views clearly show that the resolution of the dispute by amicable settlement is not possible.

    3. The law of disparagement of rival product was set out in Dabur India Ltd. v. Emami Limited and followed in the order of this Court dated 9th September, 2004. In the aforesaid judgment a generic disparagement as opposed to specific disparagement was discussed in paragraph 19 as follows:—

    “19. I am further of the view that generic disparagement of a rival product without specifically identifying or pin pointing the rival product is equally objectionable. Clever advertising can indeed hit a rival product without specifically referring to it. No one can disparage a class or genre of a product within which a complaining plaintiff falls and raise a defence that the plaintiff has not been specifically identified. In this context the plaintiff has rightly rejected the offer of the defendant to drop the container from its advertisement so as to avoid the averred identification of the plaintiffs product……”

    4. In paragraph 20 following findings were made by this Court:

    “20. The practice of undue obeisance to English jurisprudence without any thought to the merit and reasoning of such judicial wisdom should also be discouraged. When there is a judgment of Hon'ble Justice Dr. M.K Sharma directly on the point of generic disparagement, I see no reason why one should travel westwards for seeking enlightenment. Similarly on the question of rival product disparagement the Division Bench of this Court in Pepsi Co. (supra) has also held that defamation of the product of a rival manufacturer can not be done. Undeniably it is not the puffing up of the defendant's product i.e the Colgate Tooth powder which can be found objectionable but the running down of a rival product which is the situation in the present case.”

    5. Thus the Division Bench of this Court in Pepsi Co. Inc. and Ors. v. Hindustan Coca Cola Ltd; & Anr., 2003 (27) PTC 305 (Delhi), and two orders of the learned Single Judge held that rival product cannot be disparaged. It has also been held that the generic disparagement of a class or genre of the product is not permissible. Considering the fact that in the proposed advertisement suggested by the defendant in the present application the word ‘Lal’ qualifying Dant Manjan has been removed yet the harmful affect of Dant Manjan in general amplified in the proposed advertisement by calling it ‘sadharan’ dant manjan which is (khurdara) abrasive on the teeth still falls within the prohibition of generic disparagement proscribed by the judgment of this Court dated 9th September, 2004 and in this form is not permissible. Accordingly, this application is dismissed.

    CCP No. 124/2004

    List the matter on 28th February, 2005.

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    Dabur India Limited v. Colgate Palmolive India Ltd.
    (Dec 1, 2004)