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Crompton Greaves Consumer Electricals ... vs Seion Electricals Private Limited on 20 December, 2021

Author: Sanjeev Narula

Bench: Sanjeev Narula

                          $~4
                          *     IN THE HIGH COURT OF DELHI AT NEW DELHI
                          +     CS(COMM) 532/2021 & I.As. 13938/2021, 13939/2021.
                                CROMPTON GREAVES CONSUMER ELECTRICALS LIMITED
                                                                                  ..... Plaintiff
                                              Through: Mr. Amit Sibal, Senior Advocate with
                                                           Mr. Saksham Dhinjoa, Ms. Aishwary
                                                           Vikram, Mr. Hemant Daswani, Mr.
                                                           Sarabpreet Singh and Ms. Ayushi
                                                           Banerji, Advocates.
                                              versus

                                SEION ELECTRICALS PRIVATE LIMITED             ..... Defendant
                                              Through: Mr. Viraj Dattar, Senior Advocate
                                                       with his assisting counsel (appearance
                                                       not given).

                               CORAM:
                               HON'BLE MR. JUSTICE SANJEEV NARULA
                                       ORDER

                          %            20.12.2021
                          [VIA HYBRID MODE]

CS(COMM) 532/2021 & I.A. No. 13938/2021 (Application under Order XXXXIX, Rules 1 & 2 of the Code Of Civil Procedure, 1908 filed on behalf of the Plaintiff/ Applicant)

1. The reply to the application under Order XXXIX, Rule 1 & 2 of Code of Civil Procedure, 1908, as well as the written statement, are stated to have been filed by the Defendant. However, the written statement is not on record and a copy thereof, has been handed over across the board and is taken on record. In the reply to the application, which is accompanied by an affidavit, the Defendant has clearly and unequivocally stated that the Defendant has stopped manufacturing the "ULTIMATE" model i.e., the impugned product since last six months.

2. Mr. Viraj Dattar, Senior Counsel for the Defendant, on instructions states that the Defendant is not interested to contest the suit and has no objection in case the suit is decreed in favour of the Plaintiff - in terms of prayer a, b and c. He prays that Defendant should be allowed to liquidate the stock that is already in the retail market, within a period of ninety days from today. An affidavit dated 20th December, 2021 has been filed by Authorised Representative of the Defendant stating that "Defendant Company has already stopped the manufacturing of impugned models in the captioned suit" and "shall not manufacture the models or any other model similar to that of the Plaintiff in the future." It further states that "the Defendant Company may be given a period of three months to sell the stock already manufactured and circulated in the market." The affidavit is taken on record.

3. Mr. Amit Sibal, Senior Counsel for the Plaintiff, states that in view of the above, Plaintiff, is not pressing for the claim for damages. Mr. Sibal further states that the Defendant should also be directed to file an affidavit disclosing the date of manufacturing and the batch numbers of the impugned products and in case the Defendant is unable to liquidate its stock within ninety days from today, they must recall and destroy the same.

4. In view of the above, the suit is decreed in favour of the Plaintiff and against the Defendant in terms of prayer a, b and c., which are replicated as follows:

"a. Pass a Decree for permanent injunction restraining the Defendant, either by themselves or through their dealers, distributors, stockiest, agents, associates, employees, servants, and/or assigns, from manufacturing, marketing, selling (including on online ecommerce platforms) ceiling fans using the a design which is either identical or Signature Not Verified Signed By:SAPNA SETHI CS(COMM) 532/2021 Page 2 of 4 Signing Date:23.12.2021 19:16:27 deceptively similar to the Plaintiffs AVANCER PRlME model registered under number 241313 or which are colourable imitation or a substantial reproduction of the Plaintiffs get-up, shape and configuration, surface pattern, design and packaging in their A VANCER PRIME model as to results in infringement of the rights of the Plaintiff;

b. Pass a Decree for permanent injunction restraining the Defendant, either by themselves or through their dealers, distributors, stockiest, agents, associates, employees, servants, and/or assigns, from manufacturing, marketing, selling (including on online ecommerce platforms) ceiling fans ULTIMATE PRO, ULTIMATE, ELEGANCE and AMAZE DECO model and or any other models which is either identical or deceptively similar to the Plaintiffs AVANCER PRlME, AVANCER PRIME ANTI DUST, AURA PRIME ANTI DUST and AMOUR or which are colourable imitation or a substantial reproduction of the Plaintiffs shape and configuration, surface pattern, design and packaging in their as to results in passing off of the rights of the Plaintiff;

c. Pass a Decree for permanent injunction restraining the Defendant, either by themselves or through their dealers, distributors, stockiest, agents, associates, employees, servants, and/or assigns, from manufacturing, marketing, selling (including on online ecommerce platforms) ceiling fans using the a designs in their models ULTIMATE PRO, ULTIMATE, ELEGANCE and AMAZE DECO, which are colourable imitation or a substantial reproduction of the Plaintiffs get-up, shape and configuration, surface pattern, design and packaging in their AV ANCER PRIME, AV ANCER PRIME ANTI DUST, AURA PRIME ANTI DUST and AMOUR model;"

5. The Defendant shall ensure that the entire stock of the impugned products is liquidated within a period of ninety days from today. In case the same is not done within the above-noted timelines, the Defendant shall recall/ withdraw the impugned products from the market, its dealers, distributors, stockist, agents including the online e-commerce platforms and cannibalize/ destroy the same.

6. The Defendant is further directed to file an affidavit within a period of ten days from today, disclosing the date of manufacturing and the batch numbers of the impugned products, copy whereof shall also be given to the counsel for the Plaintiff. The affidavit shall also record the undertaking given to the Court as noted above.

7. The decree sheet be drawn up in the above terms. All pending Signature Not Verified Signed By:SAPNA SETHI CS(COMM) 532/2021 Page 3 of 4 Signing Date:23.12.2021 19:16:27 applications be disposed of.

8. In view of the above, the Registry is directed to refund the full Court fees to the Plaintiff, and issue a certificate to that effect.

9. The date of 10th January, 2022 before the Joint Registrar stands cancelled.

SANJEEV NARULA, J DECEMBER 20, 2021 as Signature Not Verified Signed By:SAPNA SETHI CS(COMM) 532/2021 Page 4 of 4 Signing Date:23.12.2021 19:16:27