- Bookmark
- Share
- CaseIQ
Anglo-French Drug Co. (Eastern) Ltd. (Bombay) v. M/S. Belco Pharma (Haryana) .
Factual and Procedural Background
The plaintiff, Anglo-French Drug Company, registered the trademark ‘BEPLEX’ on 18-5-1945 and has since manufactured medicines including Vitamin-B Complex tablets under this mark. In 1974, the defendant, M/s. Belco Pharma, began manufacturing Vitamin-B Complex tablets under the name ‘BELPLEX’. The plaintiff issued notices to the defendant to cease use of the name ‘BELPLEX’ on the grounds of phonetic and visual similarity likely to cause confusion among purchasers. After exchanging notices, the plaintiff filed suit on 5-5-1981 seeking to restrain the defendant from using ‘BELPLEX’. The defendant contested, denying similarity and the basis for injunction. The trial court dismissed the suit on 29-1-1982, holding the marks were not deceptively similar, relying on precedent. The plaintiff appealed, and the matter was referred to a larger bench for final decision.
Legal Issues Presented
- Whether the trademarks ‘BEPLEX’ and ‘BELPLEX’ are phonetically and visually similar.
- Whether such similarity is likely to cause confusion among purchasers.
- Whether the defendant’s use of ‘BELPLEX’ infringes the plaintiff’s registered trademark ‘BEPLEX’.
- Whether the plaintiff is entitled to injunctive relief and accounts of profits based on the alleged infringement.
Arguments of the Parties
Plaintiff's Arguments
- ‘BEPLEX’ is a registered trademark used since 1945 for Vitamin-B Complex tablets.
- ‘BELPLEX’ used by the defendant is phonetically and visually similar to ‘BEPLEX’ and likely to cause confusion among purchasers.
- Such similarity infringes the plaintiff’s trademark rights and damages business goodwill and reputation.
- The plaintiff is entitled to prohibitory and mandatory injunctions and accounts of profits earned by the defendant from the infringing use.
Defendant's Arguments
- The marks ‘BEPLEX’ and ‘BELPLEX’ are not phonetically or visually similar.
- Reliance on precedent (F. Hoffimann-La Roche case and others) where the court found dissimilarity in marks with somewhat similar names.
- There is no likelihood of confusion because medicines are sold on doctors’ prescriptions, who specify the medicine name, preventing confusion at the point of sale.
Table of Precedents Cited
| Precedent | Rule or Principle Cited For | Application by the Court |
|---|---|---|
| Corn Products Refining Co. v. Shangrila Food Products Ltd, AIR 1960 SC 142 | Phonetic and visual similarity of trademark names can cause deception even if products differ. | Supported the view that ‘BEPLEX’ and ‘BELPLEX’ are similar and likely to cause confusion. |
| K.R Chinna Krishna Chettiar v. Sri Ambal and Co., AIR 1970 SC 146 | Phonetic resemblance alone can justify injunction against use of a similar trademark. | Reinforced that phonetic similarity suffices to find infringement despite visual dissimilarity. |
| De Cordova v. Vick Chemical Coy., (1951) 68 R.P.C. 103 (Privy Council) | Close resemblance of key words in marks leads to infringement due to likelihood of deception. | Referenced to emphasize importance of phonetic and visual resemblance in trademark infringement. |
| Ruston and Hornby Ltd. v. Zamindara Engineering Co., AIR 1970 SC 1649 | Visual and phonetic similarity of marks can justify injunction against use of a subsequent mark. | Applied to conclude ‘BEPLEX’ and ‘BELPLEX’ are similar and infringement occurred. |
| F. Hoffimann-La Roche and Co. Ltd. v. Geoffrey Manners and Co. Pvt. Ltd., AIR 1970 SC 2062 | Marks ‘PROTOVIT’ and ‘DROPOVIT’ were held dissimilar both visually and phonetically, negating confusion. | Distinguished by the court; found not applicable to the present case as ‘BEPLEX’ and ‘BELPLEX’ are similar. |
| Stadmed Private Ltd. Calcutta v. Hind Chemicals, AIR 1965 Punj 17 | ‘ENTROZYME’ and ‘ENTOZINE’ held not similar; no likelihood of confusion due to prescription-based sales. | Distinguished; court noted the similarity in present case was greater and prescription argument not decisive. |
| G.D Pharmaceuticals (P) Ltd. v. Registrar of Trade Marks, 1979 83 Cal WN 302 | Marks ‘G.D.’ and ‘JIDI’ held dissimilar; no confusion likely. | Noted as a case where dissimilarity was found, distinguished from present facts. |
| Ciba Ltd. Bagle Switzerland v. M. Ramalingam and S. Subramaniam, AIR 1958 Bom 56 | Phonetic and visual similarity of ‘CIBA’ and ‘CIBOL’ led to cancellation of the latter’s registration. | Used to support plaintiff’s contention that similarity in medicines trademarks causes confusion despite prescription sales. |
Court's Reasoning and Analysis
The court analyzed the phonetic and visual similarity between ‘BEPLEX’ and ‘BELPLEX’. It surveyed relevant Supreme Court precedents establishing that phonetic or visual resemblance is sufficient to cause confusion and justify injunction against the subsequent user of a similar mark. The court distinguished cases relied upon by the defendant where marks were held dissimilar, emphasizing that in those cases the differences were clear and no confusion was likely. The argument that prescriptions prevent confusion was considered but rejected as secondary; once similarity is established, the risk of confusion remains significant, especially among vulnerable consumers such as elderly patients prescribed Vitamin-B Complex tablets.
The court found that the marks ‘BEPLEX’ and ‘BELPLEX’ are both phonetically and visually similar, likely to deceive purchasers into believing the products originate from the plaintiff. This infringes the plaintiff’s registered trademark rights and damages its goodwill. Consequently, the court reversed the trial court’s decision, holding for the plaintiff.
Holding and Implications
The appeal is allowed. The court held that ‘BEPLEX’ and ‘BELPLEX’ are phonetically and visually similar trademarks. The defendant is permanently restrained by injunction from manufacturing medicines under the name ‘BELPLEX’. Additionally, a mandatory injunction was granted for destruction of materials bearing the infringing trademark, and a preliminary decree for rendition of accounts of profits was passed against the defendant.
The direct effect is protection of the plaintiff’s registered trademark and prevention of confusion in the marketplace. No new legal precedent was created; rather, the court applied established principles of trademark infringement relating to phonetic and visual similarity and the likelihood of confusion.
Gokal Chand Mital, J.:— Whether ‘BEPLEX’ and ‘BELPLEX’ can be said to be phonetically and visually similar and whether the similarity is likely to cause confusion in the minds of the purchasers, is the main point which arises for consideration in this appeal.
2. The Anglo-French Drug Company (hereinafter called the plaintiff) got ‘BEPLEX’ registered as a trademark on 18-5-1945 and since then it has been manufacturing several medicines including Vitaman-B Complex tablets under the trade mark of ‘BEPLEX’. Somewhere in the year 1974, M/s. Belco Pharma (hereinafter called the defendant) started manufacturing medicines including Vitamin-B Complex tablets in the name of ‘BELPLEX’. When this came to the notice of the plaintiff, they served notice on the defendant not to use ‘BELPLEX’ on their products as it was phonetically as also visually similar to their registered trademark and was likely to cause confusion in the minds of the purchasers of the plaintiff's products. After exchanging some notices, the present suit was filed on 5-5-1981 to restrain the defendant from using the name ‘BELPLEX’ on their products. The suit was contested and it was pleaded that there was no similarity in the two names and it was not a case in which the defendant should be restrained.
3. On the contest of the parties, the following issues were framed : —
(1) Does the suit lie against M/s. Belco Pharma as alleged? OPP.
(2) Is the plaintiff concern registered owner of trade-mark ‘BEPLEX’ from 1943 onwards as alleged? OPP.
(3) Is the defendant trying to pass off its manufacture of syrup ‘BELPLEX’ as preparation of the plaintiff manufacturer and sold under its registered trade-mark ‘BEPLEX’ aforesaid as alleged? OPP.
(4) In case issue No. 3 is proved, has the defendant thereby caused loss to the plaintiff in business, good-will trade-name and reputation as alleged? OPP.
(5) In case issues 3 and 4 are proved, is the plaintiff concern entitled to prohibitory and mandatory injunctions prayed for, against the defendant, its agents and servants as alleged? OPP.
(6) In case issues 3 and 4 are proved, are the defendants liable to render accounts of profits earned by them through the sales aforesaid since May, 1978, as alleged? OPP.
(7) Relief.
4. After evidence was led, the trial Court by its judgment and decree dt. 29-1-1982, came to the conclusion that ‘BEPLEX’ and ‘BELPLEX’ are in no way deceptively similar both on visual and phonetic tests and in coming to this conclusion, relied on F. Hoffimannla Roche and Co. Ltd. v. Geoffrey Manners and Co. Private Ltd., AIR 1970 SC 2062. The decisions relied upon by the plaintiff were distinguished. As a consequence, the suit was dismissed. This is plaintiff's first appeal. This appeal was placed for hearing initially before me sitting singly and I considered that it was a case which should be decided by a larger Bench. That is how this appeal has been placed before us.
5. After hearing, the learned counsel for the parties and on perusal of the record, we are of the considered view that ‘BEPLEX’ and ‘BELPLEX’ are phonetically and visually similar and thus the trademark of the plaintiff is violated by the defendant by manufacturing goods under the trade-name of ‘BELPLEX’.
6. In Corn Products Refining Co. v. Shangrila Food Products Ltd , AIR 1960 SC 142, the registered trade-mark of the Company was ‘GLUCOVITA’, and it used to manufacture Glucose under that trademark. Another concern started manufacturing biscuits in the name of ‘GLUVITA’. Although the kind of products was entirely different, yet it was held that visually and phonetically the names were so similar as to cause deception in the minds of purchasers that the biscuits were manufactured by the concern which had ‘GLUCOVITA’ as its registered trade-mark. The use of the word ‘GULVITA’ was disallowed.
7. In K.R Chinna Krishna Chettiar v. Sri Ambal and Co., AIR 1970 SC 146, a snuff manufacturer got ‘AMBAL’ registered as the trade-mark and later on, another snuff manufacturer wanted ‘ANDAL’ as the trade-mark. It was held that although visually the packings, labels etc. were dissimilar, yet there was close affinity of sound. Due to phonetic resemblance, the use of name ‘ANDAL’ was disallowed. While deciding this case, reference was made to a decision of the Privy Council in De Cordova v. Vick Chemical Coy., (1951) 68 R.P.C. 103. In that case, the registered trade-mark was ‘Vapo Rub’ and another concern started selling similar ointment in the name of ‘Karsote Vapour Rub’, and it was held as follows : —
“That the word ‘Vapo Rub’ was an essential feature of the first mark, that the words ‘Vapour Rub’ so closely resembled that word as to be likely to deceive and that the mark was infringed.”
8. In Ruston and Hornby, Ltd. v. Zamindara Engineering Co., AIR 1970 SC 1649, the Company had ‘RUSTON’ as its registered trade-mark. Another concern wanted to manufacture similar items under the name of RUSTAM. It was held that the two names were visually and phonetically similar and therefore, the other concern was not permitted to use ‘RUSTAM’ as the trade-mark on its goods.
9. A reading of the aforesaid judgments of the Supreme Court clearly goes to show that if there is visual and phonetic resemblance, or only phonetic resemblance in the two names, then the manufacturer, who gets its trade-mark registered first, can restrain the other manufacturer from using the visually and phonetically similar name as its trademark. This proposition of law was not disputed by the counsel for the defendant.
10. The argument of the learned counsel for the defendant was that visually and phonetically ‘BEPLEX’ and ‘BELPLEX’ are not similar. For this argument, he places reliance on F. Hoffimann-La Roches case (AIR 1970 SC 2062) (supra), and Stadmed Private Ltd. Calcutta v. Hind Chemicals, Kanpur, AIR 1965 Punj 17. and G.D Pharmaceuticals (P) Ltd. v. Registrar of Trade Marks, (1979) 83. Cal WN 302.
11. The facts in F. Hoffimann-La Roche's case (supra) were that a medicine concern got ‘PROTOVIT’ registered as its trade-mark, and another concern wanted to have DROPOVIT’ as its trade-mark. It was held that both the trade-marks were visually and phonetically dissimilar. In the judgment, the dissimilarity has been demonstrated. It was specifically held that letters ‘P’ and ‘T’ in ‘PROTOVIT’ and letters D’ and P’ in ‘DROPOVIT’ and the sound which dtey gave to the complete word, even remotely did not show any resemblance and they were so dissimilar that there could be no confusion. An added reason was given that the medicines are prescribed by the doctors and whatever name they mention in the prescriptions, the same would be taken by the patient and therefore, the question of any confusion or deception would not arise.
12. In Stadmed Private Ltd.'s case (AIR 1965 Punj 17) (supra) a medicine concern got ‘ENTROZYME’ as a registered trade-mark and later on, another medicine concern wanted to use ‘ENTOZINE’ on its products. A Division Bench of this Court held that the two names were not similar. After recording a definite finding that there was no similarity in the two names, an added reason was given that the medicines are sold on the prescriptions of the doctors and the patients purchase the prescribed medicines. Therefore, there is no likelihood of confusion. We are not called upon to decide whether ‘ENTROZYME’ and ‘ENTOZINE’ are phonetically and visually similar, but if we had a case like this before us we might have taken the view that the two names are visually and phonetically similar.
13. In G.D Pharmaceuticals' case 11979-83 Cal WN 102) (supra), one medicine concern got G. D.” registered as its trade-mark and another company got ‘JIDI’ as registered trade-mark. Dispute arose between the two companies and it was held by the Calcutta High Court that the trade-mark were dissimilar and,’ therefore, there could be no confusion.
14. On a reading of the aforesaid judgments, we are of the view that each case has to be decided on its own facts. If it is held that visually and phonetically or only phonetically the two words are similar, then the subsequent manufacturer has to be restrained from manufacturing the goods under the similar name and in case they are not similar, then the subsequent manufacturer cannot be restrained. On consideration of the facts of the present case, we are of the considered view that ‘BEPLEX’ and ‘BELPLEX’ are phonetically and visually similar and the goods manufactured by the defendant under the trade-name of ‘BELPLEX’ are likely to be sold as the goods manufactured by the plaintiff concern having ‘BEPLEX’ as its registered trademark. The sellers and purchasers may also be confused and may consider the products manufactured under the trademark of ‘BELPLEX’ to have Ween manufactured by the plaintiff company. Since the plaintiff has a registered trademark, it is entitled to restrain the defendant company from using a similar trade-mark.
15. It was argued on behalf of the defendant that in the case of medicines, there is no likelihood of confusion because the medicines are sold on the prescription of doctors and they would write the name of the medicine whether ‘BEPLEX’ or ‘BELPLEX’. The prescription of the doctor prescribing ‘BEPLEX’ can be mistakingly read as ‘BELPLEX’ by the chemist. Sometimes even the chemist can sell medicines with trade mark of ‘BELPLEX’ in spite of the prescription for ‘BEPLEX’ and the customer may not be able to know the fine distinction. Moreover, in the present case, we are more concerned with the sale of Vitamin-B Complex. Generally, after the age of 50/60 years, and after illness, doctors prescribe Vitamin-B Complex. If such a patient were to ask for ‘BEPLEX’, he can be given ‘BELPLEX’ and due to similarity, he may not be able to know the distinction.
16. In F. Hoffimann-ha Roche (AIR 1970 SC 2062) and Stadmed Private Ltd.'s (AIR 1965 Punj 17) cases (supra) the matter of prescription of doctor was the added reasoning and not the main reasoning. In both the aforesaid cases, a definite finding was recorded that the two names were visually and phonetically dissimilar. If this is so, there would be no possibility of any confusion either with the chemist or the customer. But once it is held that the two names are phonetically and visually similar, then the rule will apply even to the manufacturers of medicines.
17. In Ciba Ltd. Bagle Switzerland v. M. Ramalingam and S. Subramaniam trading in the name of South Indian Manufacturing Co., Madura, AIR 1958 Bom 56, one medicine company got ‘CIBA’ as a registered trade-mark and another medicine manufacturing company got ‘CIBOL’ registered as a trade-mark and on a maye of Ciba people, registration of ‘CIBOL’ was cancelled by the Bombay High Court on the finding that phonetically and visually there was similarity between “CIBA” and ‘CIBOL’. ‘CIBA’ is a big medicine manufacturing concern and manufactures several medicines under the trade-mark of ‘CIBA’. Those medicines are generally sold on the prescription of doctors. That case very much helps the plaintiff. Therefore, once the two names are deceptively similar, whether visually or phonetically, then the matter of sale of medicines on the prescription of doctors loses its significance. The reason for the same is that the medicines prepared by ‘CIBOL’ can be sold as having been manufactured by ‘CIBA’ and similarly, medicines manufactured by the concern manufacturing ‘BELPLEX’ can be sold as having been manufactured by the company of ‘BEPLEX’. To avoid this confusion, the registration of the trade-marks is provided and the violation of the same cannot be permitted.
18. For the reasons recorded above, we disagree with the Court below and after reversing its finding, hold that ‘BEPLEX’ and ‘BELPLEX’ are visually and phonetically similar and since the plaintiff has ‘BEPLEX’ as its registered trade-mark, the defendant cannot manufacture medicines under the trade-name of ‘BELPLEX’. Accordingly, the defendant company is restrained by issue of perpetual injunction from manufacturing medicines under the trade-name of ‘BELPLEX’. In view of this, a decree for mandatory injunction is also issued for the destruction of dyes printing blocks, literature, papers, vouchers, things and goods bearing the trade-name ‘BELPLEX’. A preliminary decree for rendition of accounts is also passed against the defendant company Consequently, this appeal stands allowed with costs throughout.
S.P Goyal, J.:—
I agree.
Appeal allowed.
Alert