RFA(COMM) 166/2025 Page 1 of 30
$~95
* IN THE HIGH COURT OF DELHI AT NEW DELHI
+ RFA(COMM) 166/2025
DIAMOND MODULAR PVT. LTD. .....Appellant
Through: Mr. Rishi Bansal, Mr. S.K.
Bansal, Mr. Rishabh Gupta, Mr. Ajay
Amitabh Suman, Mr. Deepak Shrivastava
and Ms. Shruti Manchanda, Advs.
versus
VIKASH KUMAR & ANR. .....Respondents
Through:
CORAM:
HON'BLE MR. JUSTICE C. HARI SHANKAR
HON'BLE MR. JUSTICE AJAY DIGPAUL
JUDGMENT (ORAL)
% 05.05.2025
C. HARI SHANKAR, J.
1. CS (Comm) 444/2023
1
filed under Sections 134 and 135 read
with Section 27(2) of the Trade Marks Act, 1999, stands dismissed by
the learned District Judge (Commercial Court)-05, South, Saket
2
by
judgment dated 15 October 2024. Aggrieved thereby, Diamond
Modular Pvt Ltd, the plaintiff in the suit, has preferred the present
appeal.
Facts
1
Diamond Modular Pvt Ltd v Vikash Kumar and Anr
2
“the learned Commercial Court”, hereinafter
RFA(COMM) 166/2025 Page 2 of 30
2. Case set up by the appellant in its plaint
2.1 CS (Comm) 444/2023 was instituted by the appellant, alleging
that the respondents had, by using the mark DIAMOND GOLD,
infringed the appellant’s trademark ‘DIAMOND’, registered in the
appellant’s favour in Class 11 for Lamp Shade Holders and in Class 9
for electric switches, plugs, sockets, accessories and parts thereof. A
tabulated list of the appellant’s trade mark registrations may be
depicted thus:
S No Trademark &
Date of
Application
Application
No., Class
and User
Claimed
Goods
Valid Upto And
Disclaimer if any
1.
DIAMOND
28.08.1984
426403
Class 09
01/04/1975
Electric
Switches,
Plugs
Sockets,
Accessories
and Parts
thereof
included in
Class 9.
Registered, Renewed till
28/08/2025;
No
disclaimer
2. DIAMOND
08.04.1996
709611
Class 09
Proposed
Electric
Switches,
Sockets,
Connector,
Plug, Pin,
Top,
Regulators,
Dimmers,
Choke,
Patti, Starter
Registered, Renewed till
08/04/2033;
No
Disclaimer
3. DIAMOND
10.12.1998
831578
Class 09
Electrical
Accessories
Registered, Renewed till
10/12/2028;
RFA(COMM) 166/2025 Page 3 of 30
01/01/1975 including
Switches,
Sockets,
Plug,
Top, Pin,
Holder,
Fuse,
Connector,
Jointer,
Voltage
Stabilizer,
Transformer
, Iron,
Kettle,
Wires and
Cables,
Conduit
Pipes,
Dimmer,
Timer,
Choke,
Patti, Starter
No
Disclaimer
4.
08.06.1978
337296
Class 11
01/04/1975
Lamp
Shade
Holders
Registered, Renewed till
08/06/2026;
No
Disclaimer
5. DIAMOND
10.12.1998
831577
Class 11
01/01/1975
Electrical
fans and
Parts
thereof,
Coolers and
Parts
thereof,
Geyser,
Boiler,
Chimney,
Ovens, Hot
Case,
Hot Plates,
Toaster,
Roaster,
Griller,
Coffee
Percolator,
Coffee
Filter,
Water
Registered, Renewed till
10/12/2028;
No
Disclaimer
RFA(COMM) 166/2025 Page 4 of 30
Filter, Hair
Dryer, Gas
Lighter,
Massager,
Immersion
Rod,
Heaters,
Heat
Convector,
Heating
Elements,
Cooking
Range,
Food
Processors,
Electric
Pressure
Cooker, Gas
Tandoor,
Gas
Stoves,
Stoves,
Burner,
Tubes for
Lighting
and
Fitting
thereof,
Emergency
Lights,
Torches,
Electric
Bulbs,
Lamps, All
being
goods
included in
Class 11.
2.2 It was also alleged that the respondents were using a trade dress
which was visually and structurally deceptively similar to that of the
appellant.
RFA(COMM) 166/2025 Page 5 of 30
2.3 The appellant claimed that it had been dealing in electrical
goods and accessories since 1975, either itself or through its
predecessor-in-interest. By dint of continuous user, the appellant
claimed to have built up a considerable reputation in the asserted mark
‘DIAMOND’, which had become a source identifier for the appellant.
The appellant further asserted that the art work employed by it, was an
original artistic work within the meaning of Section 2(c) of the
Copyright Act, 1957, which was enforceable in law. The appellant
also claimed to be the owner of the interactive website,
www.diamondindia.co.in. Under the asserted mark, the appellant was
dealing in switches, LED lights and was a leading market player.
During the financial year 2020-2021, the appellant claimed a turnover
in the region of ₹ 23.7 Crores. The DIAMOND mark was, therefore,
entitled to be treated as a well-known trademark, within the meaning
of Section 2(1)(zg) of the Trademarks Act.
2.4 The unregistered mark ‘DIAMOND GOLD ’ used by the
respondents, it was submitted, infringed the appellant’s registered
trademark ‘DIAMOND’. It was alleged that the respondent’s
trademark ‘DIAMOND GOLD’ was phonetically, visually and
structurally deceptively similar to the appellant’s registered trademark
‘DIAMOND’. Inasmuch as both the marks conveyed the same
meaning, the appellant also pleaded idea infringement.
2.5 The appellant further submitted that the respondent had, on 4
July 2022, applied for registration of its wordmark/device mark
‘DIAMOND GOLD’ in Classes 9, 11 and 35 in relation to wires and
RFA(COMM) 166/2025 Page 6 of 30
cables, switches, ceiling fans, electrical heaters and in respect of
services relating to trading and import and export of electronic
projects and electrical accessories. This was followed by further
applications of the same mark under Classes 11 and 35 on 1 July
2022. The appellant had objected to the said applications, which were
yet to be granted.
2.6 It was further alleged that the respondent was also operating
online through its website https://sites.google.com/view/wwwadf
ancom/home?authuser=0 as well as on Facebook, WhatsApp,
YouTube and G-mail, which were interactive in nature.
2.7 Predicated on these allegations, the appellant sought a decree of
permanent injunction restraining the respondents and all others acting
on their behalf from dealing in any manner, with the impugned trade
mark/trade name DIAMOND GOLD or with the device mark
DIAMOND GOLD or any other mark of which DIAMOND was a
part in relation to electric goods, electrical accessories, wires, cables,
lights, switches, fans or any other allied or cognate goods.
Additionally, the suit sought reliefs of delivering up, rendition of
accounts, damages and costs.
3. Despite issuance of summons, none appeared to contest the suit.
The respondents were, therefore, proceeded ex parte on 9 April 2024.
4. The appellant led the evidence of one Piyush Gupta as PW1.
PW1 Piyush Gupta filed his affidavit in evidence, of which the
RFA(COMM) 166/2025 Page 7 of 30
following passages merit reproduction:
“23. I say that the Defendants have adopted and started using the
impugned trademark dishonestly, fraudulently and out of positive
greed with a view to take advantage and to trade upon the
established goodwill, reputation and proprietary rights of the
Plaintiff in the Plaintiff's said trademark. I say that Dishonesty of
the Defendants is apparent from the fact that the Defendants are
carrying out the impugned activity/ business using the impugned
tradename and dealing with the impugned trademark/device in
respect to the impugned goods and are day by day expanding their
impugned business pan India through various offline and online
channels. The Screenshot of various impugned products bearing
impugned trademark are reproduced below:
24. I say that the Defendants are also operating via its website
in the URL
https://sites.google.com/view/wwwadfancom/home?authuser=0,
(hereinafter referred to as "impugned website") and also social
media platforms like www.facebook.com, www.whatsapp.com;
www.youtube.com and www.gmail.com which are interactive in
nature, wherein its impugned are being promoted and offered for
sale instantly Screenshots of the Defendant’s impugned website is
reproduced herein below:
RFA(COMM) 166/2025 Page 8 of 30
25. I say that the Defendant No.1 runs a Facebook page in the
RFA(COMM) 166/2025 Page 9 of 30
name of AD FAN bearing URL
https://www.facebook.com/profile.php?id=100065283828555,
wherein it promotes, advertises, solicits and markets impugned
goods bearing the impugned trademark DIAMOND
GOLD/DIAMOND GOLD with DEVICE to various consumers. I
say that the impugned Facebook page of the Defendant No.1
reveals the prices of impugned goods, email address for placing
orders, Phone number and the company website of the Defendant
no.1. The above details can be clearly seen from the screenshots
reproduced below:
Screenshot of Impugned Webpage in www.facebook.com showing
impugned goods in URL
:https://www.facebook.com/profile.php?id=100065283828555
RFA(COMM) 166/2025 Page 10 of 30
*****
27. I say that the Defendant has a Whatsapp business profile
and runs various other Whatsapp groups having consumers all
across India to promote, advertise, solicit, market and actively take
orders for delivery all across India. It is submitted that in order to
obtain a comprehensive understanding of the impugned business
activities of the Defendants, the Plaintiff approached the
Defendants over Whatsapp and the Defendants agreed to deliver
the impugned goods at the address A1/78, First Floor, Freedom
Fighters Enclave, South, New Delhi 110068. It is pertinent to
mention that the abovementioned address falls within the
jurisdiction of this Hon'ble Court i.e. South District, New Delhi.
The screenshots hereinbelow shows that the Defendant is actively
engaged in taking orders and promising to deliver the impugned
goods.
Screenshots of Whatsapp conversation with the Defendants and
Whatsapp group created by the Defendants wherein impugned
goods are promoted, solicited, marketed and sold to various
consumers:
RFA(COMM) 166/2025 Page 11 of 30
RFA(COMM) 166/2025 Page 12 of 30
*****
29. I say that in addition to the above, the Defendants are also
inviting, accepting orders of consumers across India through emails
via email address aenterprisescpn9155@gmail.com,
adhelpdiamondgold@gmail.com and
diamondgoldaccessories@gmail.com.
Findings in impugned order, submissions of appellant and our
findings
5. The learned Commercial Court has, in the impugned order,
addressed four aspects. They are
RFA(COMM) 166/2025 Page 13 of 30
(i) the territorial jurisdiction of the learned Commercial
Court to entertain the suit,
(ii) merits,
(iii) the issue of whether the asserted trade mark
‘DIAMOND’ has been validly assigned to the appellant and
(iv) whether Mr. Piyush Gupta, in whose favour Board
Resolution as well as SPA (Ex. PW-1/28) have been issued by
Mr. Rajesh Gupta, was competent to depose in the matter.
6. Re. territorial jurisdiction
6.1 On the aspect of territorial jurisdiction, the findings of the
learned Commercial Court are somewhat confusing, but, in the
ultimate eventuate, the learned Commercial Court appears to have
proceeded on the premise that it possesses territorial jurisdiction to
deal with the matter.
6.2 Para 10 of the impugned order notices the submission of the
appellant that the respondents were targeting customers within the
jurisdiction of the Saket Commercial Court and were selling goods in
Saket, Hauz Khas, Malviya Nagar etc. It has also noted the
submissions of the appellant that its authorised representative had, in
fact, entered into correspondence with the respondents, resulting in the
respondents undertaking to supply the goods at A1/78, Freedom
Fighters Enclave, South, New Delhi-110068 which fell within the
jurisdiction of the Saket Commercial Court.
RFA(COMM) 166/2025 Page 14 of 30
6.3 Following this, it has noted the reliance, by the appellant, on the
judgment of the Division Bench of this Court in Tata Sons Private
Ltd. v Hakunamatata Tata Founders
3
and has also referred to the
earlier decision of the another Division Bench of this Court in Banyan
Tree Holding (P) Ltd v A. Murali Krishna Reddy
4
.
6.4 The learned Commercial Court has thereafter referred to the
decision of a learned Single Judge of this Court in Burger King
Corporation v Techchand Shewakramani
5
, in which this Court has
held that, in the regime of e-commerce, even the mere advertising of
goods and services on the internet would render every Court, within
whose territorial jurisdiction the plaintiff’s website could be accessed,
territorially competent to entertain the suit and adjudicate thereon.
6.5 Following this, the learned Commercial Court has,
unfortunately, not returned any finding on the aspect of territorial
jurisdiction.
6.6 However, it has proceeded to deal with other aspects of the
matter, which indicates that the learned Commercial Court appears to
have proceeded on the premise that it has territorial jurisdiction.
6.7 Even in law, we are of the opinion that, given the extant legal
possession, the learned Commercial Court was possessed of territorial
jurisdiction to deal with the matter.
3
2022 SCC OnLine 2968
4
2009 SCC OnLine 3780
5
2018 SCC OnLine 10881
RFA(COMM) 166/2025 Page 15 of 30
6.8 Apropos the aspect of jurisdiction, as noted above, Mr. Bansal
has drawn our attention to the series of correspondence of the
appellant’s representative, situated within the jurisdiction of the Saket
District Court and the respondents, captured in the screenshots
contained in the paragraphs from the evidence of PW-1 extracted in
para 4 supra. The said correspondence has gone un-rebutted, as it was
proved by the representative of the appellant deposing as PW-1, and
he was never subjected to cross-examination.
6.9 As such, the evidence on record indicates that the respondents
agreed to supply goods to customers situated within the jurisdiction of
the Saket District Court.
6.10 This amounts to meaningful invocation of the jurisdiction of the
Saket District Court by the respondent and, therefore, itself made out a
case of jurisdiction of the Saket District Court to deal with the matter.
6.11 Moreover, even applying the law laid down by the Division
Bench of this Court in World Wrestling Entertainment, Inc. v
Reshma Collection
6
, as the appellant’s website was interactive and
could be accessed by any party within the jurisdiction of the Saket
District Court, the suit must be held to have been competently
instituted within the said jurisdiction.
6.12 We, therefore, hold that the learned Commercial Court acted
within jurisdiction in entertaining and proceeding to decide the matter.
6
2014 SCC OnLine Del 2031
RFA(COMM) 166/2025 Page 16 of 30
7. On merits
7.1 On merits, the findings of the learned Commercial Court, to the
extent they are of relevance, read thus:
“So far as the defendants own website is concerned, it has not been
placed on record by the Plaintiff that the orders could be placed
and money could be paid on the said website which had only
provided the catalogue of the products, in which defendants were
dealing. Admittedly, till the date of filing of the present suit, the
Plaintiff herein had been dealing in electrical switches and LED
lights, despite holding a registration in respect of fans, etc., which
are the products actually dealt by the defendants.
Furthermore, it is provided in the Section 34 of the Trademarks
Act itself that the goods in respect of which infringement has been
alleged must be produced/manufactured continuously and one or
two casual manufacturing would not give rise to a party to allege
infringement.
In the light of above legal positioning, no material has been placed
on record by the Plaintiff to show that Plaintiff was also
manufacturing/dealing in any manner whatsoever with the goods
such as ceiling fans, cables and wires in which defendant were
allegedly indulging.”
7.2 Thus, the learned Commercial Court has held against the
appellant on more than one ground.
7.3 Firstly, the learned Commercial Court has noted that the
appellant was not dealing in fans, but in electrical switches and LED
lights.
7.4 Secondly, it has held that Section 34
7
of the Trade Marks Act
7
34. Saving for vested rights.— Nothing in this Act shall entitle the proprietor or a registered user of
registered trade mark to interfere with or restrain the use by any person of a trade mark identical with or
RFA(COMM) 166/2025 Page 17 of 30
requires the goods, in respect of which infringement is alleged, to be
produced/manufactured continuously, and does not allow a claim
alleging infringement to be raised on the basis of any casual
manufacture.
7.5 Neither of these findings of the learned Commercial Court is
sustainable either in law or on facts.
7.6 Re. nature of goods in respect of which the rival marks are used
7.6.1 The finding of the learned Commercial Court that the appellant
could not lay a claim of infringement against the respondent, as the
respondent was dealing in fans, whereas the appellant was dealing in
electrical switches and LED lights, is completely erroneous in law.
7.6.2 In the first place, actual use of the trademark by sale of the
goods in the market is not a pre-condition for a claim for infringement
of law. Section 28(1)
8
of the Trade Marks Act clearly confers, on the
registered owner of valid trademark, exclusive right to use the said
trademark and to obtain relief in respect of infringement of the
nearly resembling it in relation to goods or services in relation to which that person or a predecessor in title of
his has continuously used that trade mark from a date prior—
(a) to the use of the first-mentioned trade mark in relation to those goods or services be the
proprietor or a predecessor in title of his; or
(b) to the date of registration of the first-mentioned trade mark in respect of those goods or
services in the name of the proprietor of a predecessor in title of his;
whichever is the earlier, and the Registrar shall not refuse (on such use being proved) to register the
second mentioned trade mark by reason only of the registration of the first-mentioned trade mark.
8
28. Rights conferred by registration.—(1) Subject to the other provisions of this Act, the registration
of a trade mark shall, if valid, give to the registered proprietor of the trade mark the exclusive right to the use
of the trade mark in relation to the goods or services in respect of which the trade mark is registered and to
obtain relief in respect of infringement of the trade mark in the manner provided by this Act.
RFA(COMM) 166/2025 Page 18 of 30
trademark. Infringement is defined in Section 29
9
, and is available to
every proprietor of a registered trademark. Actual use of the registered
trademark is not a sine qua non for a valid claim for infringement to
lie.
7.6.3 No doubt, continued non-user of a trademark may confer a right
on another person to seek a removal of the mark from the register of
trademarks in terms of clause (a) of Section 47
10
of the Trade Marks
Act. That, however, is an independent right and does not impact, in
any way, the right of the registered trademark owner to seek relief
against infringement, where the registration is valid and subsisting,
9
29. Infringement of registered trade marks.— (1) A registered trade mark is infringed by a person
who, not being a registered proprietor or a person using by way of permitted use, uses in the course of trade, a
mark which is identical with, or deceptively similar to, the trade mark in relation to goods or services in
respect of which the trade mark is registered and in such manner as to render the use of the mark likely to be
taken as being used as a trade mark.
(2) A registered trade mark is infringed by a person who, not being a registered proprietor or a person
using by way of permitted use, uses in the course of trade, a mark which because of—
(a) its identity with the registered trade mark and the similarity of the goods or services
covered by such registered trade mark; or
(b) its similarity to the registered trade mark and the identity or similarity of the goods or
services covered by such registered trade mark; or
(c) its identity with the registered trade mark and the identity of the goods or services
covered by such registered trade mark,
is likely to cause confusion on the part of the public, or which is likely to have an association with
the registered trade mark.
(3) In any case falling under clause (c) of sub-section (2), the court shall presume that it is likely to
cause confusion on the part of the public.
(4) A registered trade mark is infringed by a person who, not being a registered proprietor or a person
using by way of permitted use, uses in the course of trade, a mark which—
(a) is identical with or similar to the registered trade mark; and
(b) is used in relation to goods or services which are not similar to those for which the trade
mark is registered; and
(c) the registered trade mark has a reputation in India and the use of the mark without due
cause takes unfair advantage of or is detrimental to, the distinctive character or repute of the
registered trade mark.
10
47. Removal from register and imposition of limitations on ground of non-use.— (1) A registered
trade mark may be taken off the register in respect of the goods or services in respect of which it is registered
on application made in the prescribed manner to the Registrar or the [High Court] by any person aggrieved on
the ground either—
(a) that the trade mark was registered without any bona fide intention on the part of the
applicant for registration that it should be used in relation to those goods or services by him or, in a
case to which the provisions of Section 46 apply, by the company concerned or the registered user,
as the case may be, and that there has, in fact, been no bona fide use of the trade mark in relation to
those goods or services by any proprietor thereof for the time being up to a date three months before
the date of the application; or
RFA(COMM) 166/2025 Page 19 of 30
under Section 28 (1) of the Trade Marks Act.
7.6.4 Moreover, the appellant is the holder of a valid trademark
registration, w.e.f. 28 August 1984 in Class 9 in respect of “electric
switches, plugs, sockets, accessories and parts thereof”, claiming user
since 1 April 1975, w.e.f. 8 June 1978 in Class 11 in respect of Lamp
Shade Holders and w.e.f. 10 December 1998 in Class 11 in respect of,
inter alia, electrical fans and parts thereof.
7.6.5 Thus, the appellant, as a holder of a registered trademark
specifically in respect of the aforenoted categories of electrical goods,
was entitled to protect the registered trademark from infringement by
others, who attempted to use any identical or deceptively similar
trademark for identical or similar goods or services. The learned
Commercial Court is clearly in error in holding against the appellant
on the ground that the respondent is not using the DIAMOND mark
for fans. Section 29(2)(a) and (b) of the Trade Marks Act includes,
within the ambit of “infringement”, use, by another person, of an
unregistered mark, which is likely to cause confusion or lead to a
presumption of association with the appellant, of a similar mark,
covering identical or similar goods. Within the ambit of the
expression “similar” would be encompassed all goods which are allied
or cognate to the goods or services in respect of which the asserted
mark is used. There is, therefore, no requirement of the rival marks
being used in respect of the same goods or services, as the learned
Commercial Court incorrectly presumes.
RFA(COMM) 166/2025 Page 20 of 30
7.6.6 Fans are electrical goods. Fans, and other electrical goods such
as switches and electrical fittings, are often manufactured by the same
manufacturer. They are, therefore, clearly similar, within the meaning
of Section 29(2)(a) and (b), to the electrical goods in respect of which
the appellant’s DIAMOND mark is registered, and in respect of which
it uses the said mark. As such, the mere fact that the appellant was
manufacturing electrical switches and LED lights, whereas the
respondent was manufacturing fans, could not be cited as a ground to
hold against the appellant on merits, in so far as his claim of
infringement against the respondents was concerned.
7.6.7 From the facts, it is clear that the appellant has both priority of
user and priority of registration over the respondent, in so far as the
mark DIAMOND is concerned. The appellant has a word mark
registration of the mark DIAMOND w.e.f. 28 August 1984 in respect
of electrical switches, plugs, sockets, accessories and parts thereof. It
also holds a registration of the word mark DIAMOND in Class 11 in
respect of electrical fans and parts thereof. The respondent does not
own any registered trademark. Without any registration in its favour,
the respondent has been using the mark DIAMOND GOLD in respect
of fans since July and December, 2022.
7.6.8 Clearly, the marks DIAMOND and DIAMOND GOLD are
deceptively similar to each other and, to a person of average
intelligence and imperfect recollection, there is every likelihood of
confusion, or of his presuming an association between the marks, as a
consequence of the similarity between the marks and the fact that both
RFA(COMM) 166/2025 Page 21 of 30
are used for electrical goods and appliances.
7.6.9 Ergo, a case of infringement, within the meaning of Section
29(2) of the Trade Marks Act is clearly made out, justifying
injunction.
7.7 Re. Section 34
7.7.1 The reliance, by the learned Commercial Court, on Section 34
of the Trade Marks Act, which has really nothing to do with the
controversy, is also completely misplaced.
7.7.2 Section 34 is a proscriptive provision, which acts as an
exception to a right to claim relief against infringement even where
the plaintiff’s mark is registered and the defendant’s is not. The
Section provides that the proprietor of a registered trademark cannot
restrain the use, by a person, of an identical or deceptively similar
trademark, where such latter person has priority both of registration
and of user over the person seeking injunction.
7.7.3 We are completely at a loss to understand how the learned
Commercial Court has read Section 34 of the Trade Marks Act as
requiring that the goods in respect of which infringement is alleged
have to be produced/manufactured continuously, or that casual
manufacture would not justify a claim for infringement. Nothing of
the kind is to be found in Section 34 of the Act.
RFA(COMM) 166/2025 Page 22 of 30
7.7.4 This finding is, therefore, clearly vitiated by non-application of
mind.
7.8 Thus, the two lone grounds on which the learned Commercial
Court has held against the appellant on merits cannot sustain.
8. Re. proprietorial right of the appellant over the asserted
DIAMOND trade mark
8.1 The third ground on which the learned Commercial Court has
non-suited the appellant is contained in the following single sentence
in the impugned order:
“Furthermore, the Plaintiff had also failed to adduce any evidence
to the effect of assignment of trademark by Smt. Lalita Gupta in
their favour as no assignment deeds as alleged in Para 5 and 6 of
the Plaint were either placed or proved on record.”
8.2 Adverting to this finding of the learned Commercial Court, Mr.
Bansal has taken us through the following paragraphs of the impugned
order, and the recital of facts contained therein:
“It was stated that Plaintiff through its predecessor was engaged in
the business of electrical goods and accessories since the year
1975. Plaintiff's predecessor had adopted and had started using the
trademark and trade name "DIAMOND" in relation to their said
goods and business in the year 1975 itself.
It was stated that Mrs. Lalita Gupta W/o Mr. R. D. Gupta and
thereafter her son Mr. Rajesh Gupta and daughter-in-law Ms. Priti
Gupta were the predecessors of the Plaintiff. Mrs. Lalita Gupta had
started her proprietorship business under the name and style of
"Diamond Products (India)" and had adopted and started using the
trademark "DIAMOND" in relation to her said goods and business
and her husband Mr. R. D. Gupta was stated to have been
RFA(COMM) 166/2025 Page 23 of 30
managing the affairs of the said business and thereafter, name of
her business changed to "New Diamond Electricals".
It was stated that Mrs. Lalita Gupta had carried on her said
business till the year 1995 and thereafter her business was taken
over by Ms. Priti Gupta. In the meantime, in the year 1984, Mr.
Rajesh Gupta had started his sole proprietorship business of
electrical goods and electrical accessories under the name and style
of "Diamond Enterprises", however, initially, he was permissive
user of the trademark DIAMOND and vide Assignment Deed dated
19.10.2001, the said trademark DIAMOND was assigned in his
favour.
It was stated further that Ms. Priti Gupta and Mr. Rajesh Gupta, for
the better management and expansion of the business had
incorporated the Plaintiff Company and Trademark "DIAMOND"
was also assigned in favour of the Plaintiff Company vide Deed of
Assignment Dated 19.07.2018. Ms. Priti Gupta and Mr. Rajesh
Gupta were stated to be the Directors of the Plaintiff Company.
It was stated that Plaintiff was the owner and proprietor of the
trademark DIAMOND and had started using the aforesaid
trademark as word mark in artistic logo/label form and in order to
get statutory protection, he got the said trademark registered in its
favour under the provisions of Trade Marks Act, 1999.”
8.3 Thus, in the plaint, as filed by the plaintiff, the precise case set
up was that the trade mark DIAMOND was adopted and user thereof
commenced, by Lalita Gupta, the predecessor of the appellant, in
relation to electrical goods, in 1975. Ms. Lalita Gupta continued the
business till 1995, in which year the business was taken over by Ms.
Priti Gupta, the wife of Mr. Rajesh Gupta. During this period, in 1984,
Rajesh Gupta commenced his sole proprietorship under the name
“Diamond Enterprises”. Vide assignment deed dated 19 October 2001,
Lalita Gupta assigned the trade mark DIAMOND in favour of Mr.
Rajesh Gupta. Further, by assignment deed dated 19 July 2018, Rajesh
Gupta assigned the trade mark DIAMOND in favour of the appellant
Diamond Modular Pvt Ltd.
RFA(COMM) 166/2025 Page 24 of 30
8.4 Having noted these observations as contained in the plaint, filed
by the appellant, the learned Commercial Court observes that the
appellant had “failed to adduce any evidence to the effect of
assignment of trade mark by Smt. Lalita Gupta in their favour as no
assignment deeds as alleged in paras 5 and 6 of the plaint were either
placed or proved on record.” Thus, the learned Commercial Court has
held that the appellant had failed to prove its proprietorial rights over
the registered trade mark DIAMOND as the assignment deeds dated
19 October 2001, whereby the trade mark was assigned by Ms. Lalita
Gupta to Mr. Rajesh Gupta, and 19 July 2018, whereby the trade mark
was assigned by Mr. Rajesh Gupta to the appellant, had not been
placed on record.
8.5 Mr. Rishi Bansal candidly acknowledges the fact that the
aforesaid assignment deeds had not been placed on record. He,
however, has drawn our attention to a Legal Proceedings Certificate
11
dated 12 March 2021 issued by the office of the Registrar of Trade
Marks. This certificate notes the fact that the word mark DIAMOND
stood registered in favour of the appellant Diamond Modular Pvt. Ltd.
The date of the certificate is 13 February 1998 and the registration is
effective from 28 August 1984, being the date when the application
for registration was filed before the Registrar.
8.6 The registration is for the word mark DIAMOND in Class 9
covering “electric switches, plugs, sockets, accessories and parts there
of included in Class 9”. At the foot of the LPC is to be found the
11
“LPC” hereinafter
RFA(COMM) 166/2025 Page 25 of 30
following history data:
“HISTORY DATA:
LALITA GUPTA RZ -283/47A, WEST BLOCK, VISHNU
GARDEN, NEW DELHI -110018 REGISTRATION RENEWED
FOR A PERIOD OF 10 YEARS FROM 28TH AUGUST, 2005
ADVERTISED IN JOURNAL NO 1334.
PURSUANT TO A REQUEST ON FORM TM -24 DATED 23RD
OCTOBER, 2001 AND ORDER THEREON DATED 1ST
DECEMBER, 2003 RAJESH GUPTA TRADING AS M/S
DIAMOND ENTERPRISES RZ -283/57, WEST BLOCK,
VISHNU GARDEN, NEW DELHI -110018, IS/ARE
REGISTERED AS SUBSEQUENT PROPRIETOR (S) OF THIS
MARK AS FROM 19TH OCTOBER, 2001 BY VIRTUE OF
ASSIGNMENT DEED DATED 19TH OCTOBER, 2001 & AN
AFFIDAVIT OF LALITA GUPTA DATED 19TH OCTOBER,
2001 & SHRI RAJESH GUPTA DATED 19TH OCTOBER, 2001.
REGISTRATION RENEWED FOR A PERIOD OF 10 YEARS
FROM 28/08/2015 ADVERTISED IN JOURNAL NO 1714
PURSUANT TO A REQUEST ON FORM TM -P DATED
19/07/2018 AND ORDER THEREON DATED 17/12/2019
DIAMOND MODULAR PRIVATE LIMITED HAS BEEN
BROUGHT ON RECORD AS SUBSEQUENT PROPRIETOR IN
RESPECT OF THE SAID REGISTERED TRADE MARK by
virtue of assignment deed dated 19/07/2018 and affidavit dated
19/07/2018
FURSUANT TO A REQUEST ON FORM TM -P DATED
19/07/2018 AND ORDER THEREON DATED 17/12/2019 THE
ADDRESS FOR SERVICE IS ALTERED TO SINGH & SINGH
LAW FIRM LLP, C-139, DEFENCE COLONY, NEW DELHI-
110024, TM@SINGH ANDSINGH.COM ”
8.7 The aforesaid LPC remained undisputed, as the respondent did
not choose to file any written statement. As Mr. Rishi Bansal correctly
points out, under Section 31(1)
12
of the Trade Marks Act, the
12
31. Registration to be prima facie evidence of validity.— (1) In all legal proceedings relating to a
trade mark registered under this Act (including applications under Section 57), the original registration of the
trade mark and of all subsequent assignments and transmissions of the trade mark shall be prima
facie evidence of the validity thereof.
RFA(COMM) 166/2025 Page 26 of 30
registration of a trade mark is prima facie proof of its validity.
Inasmuch as no evidence to the contrary was led by the respondent,
who did not even choose to file any written statement, Mr. Bansal
submits that the history data as contained in the LPC was itself
sufficient to prove the aspect of proprietorial right of the appellant for
the asserted trade mark DIAMOND.
8.8 Having perused the aforesaid documents, we are inclined to
agree with Mr. Bansal. The LPC dated 12 March 2021, as issued by
the office of Registrar of Trade Marks clearly sets out the chain of
transfer of titular rights over the trade marks from Ms. Lalita Gupta to
Mr. Rajesh Gupta and thereafter from Mr. Rajesh Gupta to the
appellant Diamond Modular Pvt Ltd. The LPC was exhibited as PW-
1/11. In affidavit of evidence tendered by PW-1, the LPC stands
specifically exhibited as Ex PW-1/11. The verification, with which
the affidavit concludes, reads:
“Verification
I the above-named deponent do hereby verify that the some
contents of my above affidavit are on the basis of my personal
knowledge and records of the plaintiff fir and the legal points are
on the basis of the advice by my legal counsel and are believed to
be true and correct to my information, knowledge and belief.
Signed and verified at New Delhi on this day 22 day of May 2024.
Sd/- Piyush Gupta
Deponent”
8.9 The aforesaid evidence tendered by PW-1 by way of affidavit
went unrebutted as the respondent did not enter appearance or chose
or to lead evidence or cross examine PW-1.
RFA(COMM) 166/2025 Page 27 of 30
8.10 In that view of the matter, we are of the view of the learned
Commercial Court was in error in disbelieving the titular or
proprietorial right of the appellant over the asserted trade mark
DIAMOND.
9. Competence of Piyush Gupta to depose as PW-1
9.1 The next, and last, ground on which the learned Commercial
Court has held against the appellant is that Mr. Piyush Gupta, who had
testified as PW-1, was not competent to do so, as the facts of the case
were within the exclusive knowledge and domain of Mr. Rajesh
Gupta, who was the signatory to the plaint. The authorisation in
favour of Mr. Piyush Gupta, it is noted, was executed only on 5 July
2024. The learned Commercial Court has, therefore, expressed
surprise as to how Mr. Piyush Gupta could have deposed about the
facts which took place from 1975 onwards. The findings of the
learned Commercial Court in this regard read thus:
“Last but not least, AR of the Plaintiff, who had placed on record
the Board Resolution as well as SPA Ex. PWl/28 has failed to
explain as to how he had acquired the knowledge about the facts,
which were exclusively within the knowledge and domain of Sh.
Rajesh Gupta, who is signatory to the Plaint, especially when the
authorization in his favour was executed only on 05.07.2024, and
not on any date or occasion prior to that. It is also surprising as to
how he could have deposed about the events and facts, which had
taken place since the year 1975 onwards till the date of his
deposition.
*****
In view of my aforesaid discussion, I have no hesitation in holding
RFA(COMM) 166/2025 Page 28 of 30
that Plaintiff has miserably failed to substantiate its allegation as
levelled against the defendants entitling it to a decree of injunction
as prayed as the witness examined by it was not a competent
witness to depose about the facts, which were actually within the
exclusive knowledge and domain of Plaintiff alone.”
9.2 To support this finding, the learned Commercial Court has
placed reliance on the judgment of the Supreme Court in Janki
Vashdeo Bhojwani v lndusind Bank Ltd
13
9.3 Mr Bansal submits that the appellant was a juristic entity and
had, therefore, necessarily to be represented by a natural person.
Janki Vashdeo Bhojwani, as Mr. Bansal correctly points out, is a case
in which one natural person had given a power of attorney in respect
of another natural person to represent him in the proceedings. The
Supreme Court had held this to be impermissible.
9.4 In the present case, the power of attorney has been issued in
favour of the appellant-company Diamond Modular Pvt Ltd by Mr.
Piyush Gupta. Moreover, as Mr. Piyush Gupta has himself stated in
his affidavit in evidence and in the verification accompanying the said
affidavit, he has based his assertions in the affidavit on the basis of the
documents which were available. As such, his competence to depose
with respect to the facts in controversy cannot be discountenanced.
Mr. Bansal correctly submits that, in that view of the matter, it could
not be said that Mr. Piyush Gupta was an incompetent witness and
that, therefore, his testimony had to be disregarded.
13
(2005) 2 SCC 217
RFA(COMM) 166/2025 Page 29 of 30
9.5 Moreover, we have our reservations as to whether the learned
Commercial Court could have returned such a finding, especially
when the testimony of Mr. Piyush Gupta went uncontested in
evidence. It goes without saying that the Court cannot seek to make
out, in favour of a party, a case which the party has itself not chosen to
make out.
The Sequitur
10. We, therefore, are unable to sustain any of the grounds on
which the learned Commercial Court has held against the appellant.
11. Following our finding that there was deceptive similarity
between the asserted mark DIAMOND and the respondent’s mark
DIAMOND GOLD which was used for goods which were either
identical or at the very least similar, the appellant was clearly entitled
to a decree of injunction.
12. As such, there shall be a decree of permanent injunction
restraining the respondent as well as all others acting on behalf of the
respondent from using the mark DIAMOND GOLD or any other mark
which may be identical or deceptively similar to the registered word
mark DIAMOND, registered in favour of the appellant for any other
electrical goods or other goods which may be allied or cognate to the
goods in respect of which the mark DIAMOND stands registered in
favour of the appellant, including electric fans.
RFA(COMM) 166/2025 Page 30 of 30
13. The impugned order/judgment is accordingly quashed and set
aside.
14. CS (Comm) 444/2023 filed by the appellant before the learned
Commercial Court shall stand decreed in the aforesaid terms.
15. The Registry is directed to draw up a decree sheet accordingly.
16. The appeal is accordingly allowed.
17. Inasmuch the respondent has remained unrepresented, we
refrain from awarding any damages or costs.
C. HARI SHANKAR, J.
AJAY DIGPAUL, J.
MAY 5, 2025/dsn/an
Click here to check corrigendum, if any
Legal Notes
Add a Note....