contract law, commercial dispute, business
0  10 Aug, 1994
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J. R. Kapoor Vs. M/S Micronix India

  Supreme Court Of India Civil Appeal /2253/1994
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Case Background

As per case facts, the appellant, J.R. Kapoor, previously a partner in M/s. Micronix India (the respondent), continued to manufacture and sell similar electrical and electronic products under the trade ...

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Document Text Version

http://JUDIS.NIC.IN SUPREME COURT OF INDIA Page 1 of 3

CASE NO.:

Appeal (civil) 2253 of 1994

PETITIONER:

J.R. KAPOOR

RESPONDENT:

MICRONlX INDIA

DATE OF JUDGMENT: 10/08/1994

BENCH:

P.B. SAWANT & S.C. AGRAWAL

JUDGMENT:

JUDGMENT

1994 SUPPL. (2) SCR 567

The Judgment of the Court was delivered by

SAWANT, J. This appeal is directed against an interim order of the High

Court by which the appellant is injuncted from using the trade mark

'MICROTEL, the logo 'M' arid the carton for manufacturing and selling his

products which consist of electrical and electronic apparatus, instruments,

TV boosters and TV tuners.

2. We have heard the learned Counsel on both sides. We also examined the

trade marks and logos as well as the cartons used by both the parties for

selling their respective products. We also examined the relevant

authorities oh the subject, cited by the learned counsel.

3. The undisputed facts are that both the respondent-plaintiff as well as

the appellant - defendant manufacture and sell various electrical and

electronic goods, cable TV, aerial boosters, solid state boosters etc. The

appellant was one of the partners of the firm. viz., M/s. Micronix India

along with the respondent- plaintiff. The firm was manufacturing and

selling the said electrical arid electronic products, apparatus and

instruments etc. since 21st September, 1977, The said firm had a registered

trade mark, viz., 'MICRONIX' and logo TM' 'I' being shown in the well of

'M' and both letters being in black and white. The trade mark also in black

and white colours. The partnership was dissolved on I4th February, 1992 by

a consent order filed in Suit No. 494 of 1991 instituted in the Court of

Sub-Judge, Delhi. Under the terms of the compromise the said trade mark was

allotted to the respondent-plaintiff. Thereafter, the appellant-defendant

started his own business of manufacturing more or less the same products,

in the name and style-of M/s.. Microtelmatix with the trade name

'MICROTEL'. He took simple M as his logo with the letter and back-ground

designed completely differently. Both the logo 'M' and the trade name

'MICROTEL' were in- colour, viz., blue and red respectively.

4. The respondent-plaintiff thereafter filed the present suit and sought

for injunction against the use of the trade name 'MICROTEL; the logo 'M'

and the Packing. carton. The learned. Single Judge granted the injunction

and the Division Bench dismissed summarily the appeal filed against the

same. Hence the present appeal by' special leave.

5. At this stage, we are concerned only with the question as to whether the

High Court was right in exercising us jurisdiction in granting interim

injunction restraining the appellant from using his trade name, logo and

the carton. Therefore, the finding recorded and the observations made

herein have to be confined to the present proceedings. The suit is still

pending and final conclusions will have to be arrived at after perusal of

the evidence produce by both sides.

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There are two things which impress Us. Firstly, the appellant is not

manufacturing any one product such as the boosters, which has been mainly

taken into consideration by the High Court. He is producing various

electrical and electronic apparatus in many of which micro-chip technology

is used. Even the boosters which he manufactures and sells are of two

types, viz, transistorised boosters and Integrated Circuit boosters whereas

the respondent- plaintiff manufacturers aerial boosters only of the first

type. Thus micro-chip technology being the base of many of the products,

the word 'micro' has much relevance in describing the products. Further,

the word 'micro' being descriptive of the micro technology used for

production of many electronic goods which dairy come to the market, no one

Can claim monopoly over the use of the said word. Anyone producing any

product with the use of micro chip technology would be justified in using

the said word as a prefix to his trade name. What is further, those who are

familiar with the use of electronic goods know fully well and are not only

likely to be misguided or confused merely by, the prefix 'micro' in the

trade name. Once, therefore, it is held that tie word 'micro' is a common

or general name descriptive of the products which are sold or of the

technology by which the products are manufactured, and the users of such

products are, therefore, not likely to be misguided or confused by the said

word, the only question which has to be prima facie decided at this stage

is whether the words 'tel and 'nix' in the trade names of the appellant and

the respondent are deceptive for the buyers and users and are likely to

misguide or confuse them in purchasing one for the other. According to us,

phonetically the words being totally dissimilar are not going to create any

such confusion in the mind of the users. Secondly, even the visual

impression of the said two trade names is indifferent. In the first

instance, the respondent's trade name 'MICRONIX' is in black and white in

slimmer letters and they are ensconces in designs of elongated triangles

both above and below the said name. On the other hand, the appellant's

trade name 'MICROTEL' is in thick bold letters in red colour without any

design around. As regards the logo, the respondent's logo consists of the

word 'M' in a slim letter with T sporting a dot on it and drawn in the well

of 'M', Below the letter 'M' in small letters is written .the word

'MICRONIX' and all these letters and words are written in white in a black

square in north-south direction. As against this, the appellant's logo is

one letter, viz,. 'M' which is drawn in bold broad letter with its left leg

slimmer than all other parts which are in thick broad brush. The letter has

also white lines drawn across it which is in blue colour. There is no other

letter nor is it set against any background. We are, therefore- unable to

see how the visual effect of both the logos will be the same oh the mind of

the buyers. This being the case, we are of the view that there is not even

the remotest chance of the buyers and users being misguided Or Confused by

the two trade names and logos. Same is the case with the carton which

merely reproduces both trade names and the logos.

The learned counsel for the respondent-plaintiff contended that on the

carton the same address, viz, "New Delhi-110020", has been given by the

appellant. We are unable to understand how anybody can claim monopoly in

the said address. He also tried to show us that there was a similarity in

the words and letters in the two cartons inasmuch as the respondent-

plaintiffs carton mentioned the words "MODEL TB-212 (in-door type)" while

the appellant has also mentioned the words "MODEL MT-212 (Indoor Unit)".

Hence, he submitted that there was a resemblance to the extent of the word

"MODEL" and the figure "212".On a perusal, we do not find any such

resemblance between the two descriptions. He then submitted that whereas

the respondent-plaintiff had mentioned the words "Best for Colour Black and

White TVs & FM Radio" with a black rectangular background of the word

'White' before the words "TVs and FM Radios", the appellant has also

mentioned words "For Colour/Black & White TVs. and FM Radios". Again, we do

not find that the manner in which the said words are written by both the

parties on their respective Cartons are likely to misguide or confuse the

buyers. This is apart from the fact that whereas the respondent-plaintiff's

carton is in black and white the appellant's carton is fully in colour.

http://JUDIS.NIC.IN SUPREME COURT OF INDIA Page 3 of 3

6. Hence we allow the appeal and set aside the impugned order of the High

Court. It is made clear that the observations made above are only for

deciding whether the appellant should be restrained from using the trade

mark, the logo and the carton, at this interim stage." The High Court will

not be precluded from coming to a different conclusion at the final hearing

on perusing the entire evidence before it. The costs will be the costs in

the cause.

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