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M.N. Clubwala v. Fida Hussain Saheb, 1964

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M.N. Clubwala v. Fida Hussain Saheb, (1964) 6 SCR 642, 651 This case interpretation/case summary is written by Ms. Swati Sharma a student at the Faculty of Law (Delhi University). If you also want to publish your articles or case interpretations/summaries, send your work to  niyamskanoon09@gmail.com . Case Details PETITIONER:  MRS. M. N. CLUBWALA AND ANR. Vs. RESPONDENT: FIDA HUSSAIN SAHEB AND ORS. DATE OF JUDGMENT: 03/02/1964 BENCH: MUDHOLKAR, J.R. SUBBARAO, K. CITATION: 1965 AIR 610 1964 SCR (6) 642 Introduction   The case of M.N. Clubwala v. Fida Hussain Saheb (1964) under the Delhi Rent Control Act is a landmark judgment that clarifies the distinction between a lease and a license and the jurisdiction of the Rent Controller. The primary issue in this case was whether the agreements between the landlord (M.N. Clubwala) and the shopkeepers (Fida Hussain Saheb) created a lease or a license.  Facts of the Case M.N. Clubwala (Landlord) used his building as market by
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Kapil Wadhwa v. Samsung Electronics Co. Ltd., 194(2012)DLT23; MIPR2012(3)191

Kapil Wadhwa v. Samsung Electronics Case, 2012| Case Summary


Facts/Plaint

  1. This appeal was raised before the division bench of the Delhi High Court from the judgment of the single bench of this Court in an action for infringement of a trademark registered by the plaintiff-respondents.
  2. The respondents pleaded that the appellant was purchasing printers from a foreign market and selling them in the Indian market under the same trademark in which the plaintiff bought i.e. "SAMSUNG". Hence the appellant was infringing the registered trademark in India by importing and selling the goods without the consent or permission of the registered proprietor. S.29 of the Trade Marks Act, 1999 bars such unpermitted import and sell.
  3. The respondents submitted that since those imported printers were not made for the Indian market, the appellants by selling them to the Indian people are causing injury to them.
  4. The defendants/appellants contended that the exception to S.29 as under S.30(3) of the Trade Marks Act, 1999 'protects such unpermitted import and sell in the market if they are selling the product in as it is condition.
  5. The present issue raised over this contention of protection under S.30(3) of the Trade Marks Act, 1999.

Issues

  1. Whether the word "market" used in S.30(3) means only domestic market or international market.
  2. Whether the Trade Marks Act 1999 embodies the National Exhaustion Policy or the International Exhaustion Policy.
  3. Whether the respondents are entitled to oppose further dealing under S. 30(4).

Decisions

  1. The "market" under S.30(3) is the international market.
  2. The Trade Marks Act 1999 adopted the principle of International Exhaustion.
  3. If the appellant provides the warranty on his own, he shall inform the customers that the products are imported and the respondents do not provide after-sales services and warranties.

Reasoning

  1. The plain reading of S.30(4) provides the owner of a registered trademark the right to oppose further dealing if the goods have been impaired or in changed conditions irrespective of the market (national or international) in which it has been earlier sold by the registered owner.
  2. The Statement of Objects and Reasons to Trade Mark Bill 1999 explained clause 30 (formally S.30) as it wipes out the trademark rights of the owner of a registered trademark if the product has once been sold "in any geographical market" subject to the changed or impaired condition of the product. It clearly shows the legislative intent to recognize the principle of International Exhaustion.
  3. In the TRIPS Agreement, India permitted parallel import.
  4. The Rajya Sabha Standing Committee, when the Copyright Amendment Bill 2010 was introduced, reported that the concept of International Exhaustion provided in S. 107A of the Patent Act, 1971 and in S. 30(3) of the Trade Marks Act, 1999 and S. 2(m) of Copyright Act were similar.
  5. All the legitimate reasons to oppose further dealings of a product under S.30(4) can arise only in the case of imported goods. This indicates that Indian law has adopted the International Exhaustion Policy. Some legitimate reasons are:-
    1. Difference in services and warranties
    2. Difference in promotional and advertising efforts
    3. Difference in packaging
    4. Differences in quality, control, pricing, and presentation
    5. The difference in language of the literature provided with the product.
  6. The respondents do not provide any warranty to their customers, nor the product is being sold in impaired or changed conditions by the appellants, the respondents are not entitled to oppose as no legitimate reason exists.


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Ashbury Railway Carriage and Iron Co. Ltd. v. Riche (1875)

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Workmen of Dimakuchi Tea Estate v. Dimakuchi Tea Estate, AIR 1958 SC 353

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