AMICUS AI
Citation Codes
Equivalent Citations
citation codes
Case Number
Judges
Acts
  • provisions of Section 62(2) of the Copyright Act, 1957,
  • contention.8. Section 62(2) of the Copyright Act, 1957,
  • Section 25 of the Code of Civil Procedure, 1908,
Are you a practicing lawyer?
Enhance your digital presence and reach by creating a Casemine profile.
Upload pleading to use the new AI search
Cites
Cited by
Citation Codes
Equivalent Citations
citation codes
Case Number
Judges
Acts
  • provisions of Section 62(2) of the Copyright Act, 1957,
  • contention.8. Section 62(2) of the Copyright Act, 1957,
  • Section 25 of the Code of Civil Procedure, 1908,
Smart Summary

Factual and Procedural Background

The Plaintiffs filed a Suit on 10th July 198/ against Defendants Nos. 1 and 2 for three different orders of permanent injunctions and various other reliefs, alleging trade mark infringement, passing off, and breach of copyright. The 1st Defendant-Company operates in Calcutta, with Defendant No. 2 as its sole proprietor. The Plaintiffs claimed that the Defendants were committing infringing acts in Bombay and that their products were available there. Defendant No. 3, M/s. Satyam Motors, was joined as a party, alleged to stock and sell the Defendants' goods in Bombay; this averment was found untrue or unproved by the Court in an earlier order dated 9th September 1991.

On 9th September 1991, the Court held that the factual averments invoking its jurisdiction were untrue or unproved and consequently ruled that it lacked jurisdiction over the trade mark infringement and passing off claims. However, under Section 62(2) of the Copyright Act, 1957, the Court retained jurisdiction over the breach of copyright claim. The Plaintiffs then filed a Petition under Clause 14 of the Letters Patent seeking leave to join all three causes of action in the Suit at a later stage.

Legal Issues Presented

  1. Whether leave under Clause 14 of the Letters Patent should be granted to the Plaintiffs to join multiple causes of action in the Suit at a stage after institution of the Suit.
  2. Whether this Court has jurisdiction to entertain the Suit against the Defendants in Bombay, considering the place of business of the parties and the cause of action.
  3. The exercise of judicial discretion in granting or refusing leave under Clause 14 of the Letters Patent, with regard to preventing multiplicity of proceedings and undue hardship to the Defendants.

Arguments of the Parties

Plaintiffs' Arguments

  • The Plaintiffs sought leave under Clause 14 of the Letters Patent to join all three causes of action to prevent multiplicity of proceedings.
  • They relied on Section 62(2) of the Copyright Act, 1957, to justify filing the Suit in Bombay, where they carry on business.
  • They argued that the Court should grant leave to avoid multiple suits in different jurisdictions.

Defendants' Arguments

  • The Defendants contended that they never supplied goods in Bombay, directly or indirectly.
  • They highlighted that the trade mark was registered in Calcutta and the appeal against that registration was pending there.
  • They argued that the Plaintiffs deliberately chose the Bombay forum to cause inconvenience and undue hardship.

Table of Precedents Cited

Precedent Rule or Principle Cited For Application by the Court
Brooke Bond India Ltd. v. Balaji Tex (India) Pvt. Ltd. (1990 I.P.L.R Vol. 15 at page 266) Judicial discretion in granting leave under Clause 14 of the Letters Patent and forum convenience. The Court agreed with the view that leave should not be granted if the plaintiff's conduct is blameworthy and to prevent undue hardship on defendants.
Burrough Wellcome (India) Ltd. v. G.K Sharma and King Scientific Research Centre (Misc Petition No. 13 of 1989 in Suit No. 4005 of 1988 decided on 16th March 1989) (I.P.L.R 1989 Vol. 14, p. 60) Judicial discretion and forum suitability in granting leave under Clause 14 of the Letters Patent. The Court found no inconsistency with this precedent and relied on it to exercise discretion against granting leave.

Court's Reasoning and Analysis

The Court analyzed the jurisdictional facts in light of Section 62(2) of the Copyright Act, 1957, which allows a plaintiff to file suit where it carries on business, even if the defendant does not operate there. The Court noted that the Plaintiffs have business offices in both Bombay and Calcutta, while the Defendants do not carry on business in Bombay. The Court emphasized that the Plaintiffs had not sought leave under Clause 14 of the Letters Patent at the time of suit institution and that the averments regarding the Defendants' business presence in Bombay were found untrue or unproved.

The Court exercised judicial discretion by weighing factors such as the prevention of multiplicity of proceedings, the conduct of the parties, and the undue hardship on Defendants. It found merit in the Defendants' contention that the Plaintiffs deliberately chose the Bombay forum to cause inconvenience. The Court held that the Plaintiffs could file a composite suit in Calcutta, which would not cause them hardship, and that the Plaintiffs' failure to act reasonably did not justify granting leave under Clause 14.

The Court relied on precedents from the Madras and Bombay High Courts to support the exercise of discretion against granting leave, emphasizing that the Court's jurisdiction under Section 62(2) does not preclude filing suit in Calcutta, and that judicial discretion must consider all relevant circumstances.

Holding and Implications

The Petition for leave under Clause 14 of the Letters Patent is rejected with costs.

This decision means that the Plaintiffs are not permitted to join all causes of action in the Bombay Court at this stage, and the Suit will remain pending there only with respect to the breach of copyright claim. The Plaintiffs may file a separate suit in Calcutta for the trade mark infringement and passing off claims. No new precedent was established; the Court followed established principles of judicial discretion and forum convenience.

    Gold Seal Engineering Products Pvt. Ltd. v. Hindustan Manufacturers

    1. The Plaintiffs have filed this Petition for grant of leave under Clause 14 of the Letters Patent.

    2. On 10th July 198/, the Plaintiffs filed this Suit against the Defendants for three different orders of permanent injunctions and for various other reliefs.

    3. In the Plaint, the Plaintiffs have complained of alleged infringement of trade marks, alleged passing off and alleged breach of copyright, as more particularly set out in the Plaint. The 1st Defendant-Company carries on business at Calcutta. The Defendant No. 2 is the sole proprietor of the 1st Defendant-Company.

    4. It is the contention of Defendants Nos. 1 and 2 that Defendants Nos. 1 and 2 have never supplied any goods in Bombay, directly or indirectly. The trade mark of the 1st Defendant-Company was duly registered by the Registrar of Trade Marks at Calcutta. The Plaintiffs have preferred an adpeal against the said order and the said appeal is pending in the High Court of Calcutta.

    5. The Plaintiffs did not seek any leave of this Court under Clause 12 of the Letters Patent. The Plaintiffs also did not seek any leave of this Court under Clause 14 of the Letters Patent at the stage of institution of the Suit. The Plaintiffs filed this suit on the basis of the averments made in the Plaint that the Defendants were committing the acts of infringement and prssing-off in Bombay and the Defendants' products were commercially available in Bombay. The Plaintiffs had joined M/s. Satyam Motors as Defendant No. 3 in the Suit. In paragraph 3 of the Plaint, the Plaintiffs alleged that the 3rd Defendant-Company stocks and sells the goods manufactured by Defendants Nos. 1 and 2 in Bombay. The said averment is held by me to be untrue or as unproved in my Order dated 9th September 1991 on Notice of Motion No. 1905 of 1989.

    6. On 9th September 1991, I disposed of the Notice of Motion. By my said Order, I held that the factual averments made in the Plaint invoking the jurisdiction of this Court were untrue or unproved. I held that this Court had no jurisdiction to entertain the Suit in respect of the cause of action based on alleged infringement of trade marks or passing-off. In view of the provisions of Section 62(2) of the Copyright Act, 1957, I held that this Court bad jurisdiction to entertain the Suit in respect of the alleged cause of action pertaining to the alleged breach of copyright. At that stage, the Plaintiffs presented this Petition under Clause 14 of the Letters Patent for leave of the Court to join all the three causes of action in this Suit. Technically speaking the petition for leave under Clause 14 of the Letters Patent can be presented at any stage.

    7. It is well settled that the question as to whether the leave sought ought to be granted or not should be decided after considering the totality of facts and circumstances of the case and judicial discretion ought to be exercised. It has been pointed out in the affidavit reply that the Plaintiffs have a branch office at Calcutta. It has been pointed out in the affidavit in reply that the Plaintiffs market their goods at Calcutta. The Plaintiffs and the Defendants both carry on business at Calcutta. The Plaintiffs carry on business also at Bombay. Thus, on the ground of undue hardship and inconvenience, it has been submitted that the Plaintiffs have deliberately chosen the forum of this Court to cause serious inconvenience to Defendants Nos. 1 and 2 and to put Defendants Nos. 1 and 2 to undue hardship. Prima facie, there is merit in this contention.

    8. Section 62(2) of the Copyright Act, 1957, enacts a special provision so as to permit the plaintiff to file a suit in a court of odd place where the plaintiff carries on business. Sub-section (2) of Section 62 of the Act thus makes a departure from the normal law that a suit ought to be instituted at the place where the defendant carries on business or personally works for gain. The material part of the cause of action has not arisen at Bombay. Perhaps no part of the cause of action has arisen at Bambay. The 1st Defendant-Company does not carry on business in Bombay. Defendant No. 2 does not reside in Bombay. The Plaintiffs carry on business at Bombay and Calcutta. The Plaintiffs are technically entitled to file the Suit in this Court in so far as the alleged infringement of copyright is concerned, having regard to the provisions of Section 62(2) of the Act. Section 62(2) of the Act does not prevent the Plaintiffs from filing the Suit in Calcutta. If the Plaintiffs desire to file the Suit in Calcutta. The courts of the place where the plaintiff carries on business are additional forums available to the plaintiff but not the only forums available to the plaintiff. The Plaintiffs shall suffer no hardship if a composite suit is filed at Calcutta. The Hon'ble Supreme Court has jurisdiction to direct the transfer of this Suit to any other court in exercise of its power under Section 25 of the Code of Civil Procedure, 1908, in the interest of justice if a case is made out. It has been submitted by Mr. Tulzapurkar the learned Counsel for the Plaintiffs, that I should grant leave under Clause 14 of the Letters Patent in order to prevent multiplicity of proceedings. At the first blush, there appeared to be some force in this submission. However, I am unable to accept this submission. The Plaintiffs can prevent multiplicity of proceedings by adopting a reasonable attitude of filing a suit in Calcutta. If the plaintiffs do not want to do that this Court need not grant leave to the plaintiffs to invoke the jurisdiction of this Court for joinder of other causes of action when the Plaintiffs conduct is blameworthy. A similar view was taken by the High Court of Madras in the case of Brooke Bond India Ltd. v. Balaji Tex (India) Pvt. Ltd. reported in 1990 I.P.L.R Vol. 15 at page 266. I am in respectful agreement with the view taken in this case. Mr. Tulzapurkar relied upon the judgment of Pendse, J., in Burrough Wellcome (India) Ltd. v. G.K Sharma and King Scientific Research Centre (Misc. Petition No. 13 of 1989 in Suit No. 4005 of 1988 decided on 16th March 1989) (I.P.L.R 1989. Vol. 14, p. 60). I see no inconsistency between the view taken by the High Court of Madras and the view of the High Court of Bombay in the above referred cases. Granting or refusing to grant leave under Clause 14 of the Letters Patent is a matter of judicial discretion. Several factors are required to be weighed for exercise of judicial discretion. One of such factor is the desire of the Court to prevent multiplicity of proceedings. Another such factor is the conduct of the parties. The third of such factors is the undue hardship which the Defendants may face in producing evidence and defending the action. I am concious of the fact that the result of refusing leave under this Petition would be that this Suit shall remain pending in this Court and another suit may be filed in High Court of Calcutta by the Plaintiffs alleging infringement of trade marks and passing-off. Such a course also would not be totally satisfactory. After considering totality of facts and circumstances of the case, I prefer not to grant leave to the Plaintiffs as sought, following the precedent of the Madras High Court referred to herein above.

    9. Since the Plaintiffs have failed to make out a case for exercise of my discretion, I have no hesitation in rejecting this Petition.

    10. The Petition is accordingly rejected with costs.

    Use AI to get other relevant cases.

    Comments

    Gold Seal Engineering Products Pvt. Ltd. v. Hindustan Manufacturers
    (Oct 31, 1991)