As per case facts, the Appellant, M/S VAJIRAM AND RAVI ISA STUDY CENTRE LLP, a coaching institute, claimed its trademark 'VAJIRAM' and its composite marks were deceptively similar to the ...
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FAO(OS) (COMM) 7/2024 Page 1 of 21
$
* IN THE HIGH COURT OF DELHI AT NEW DELHI
% Judgment Reserved on: 29.04.2026
Judgment delivered on: 26.05.2026
Judgment uploaded on: 26.05.2026
+ FAO(OS) (COMM) 7/2024 & CM APPL. 2820/2024, CM APPL.
14739/2026
M/S VAJIRAM AND RAVI ISA STUDY
CENTRE LLP ..... Appellant
versus
M/S VAJIRAO AND REDDY INSTITUTE
PVT LTD .....Respondent
Advocates who appeared in this case
For the Appellant : Mr. J. Sai Deepak Sr. Adv. with Mr.
B. Badrinath, Mr. Sumit Rajput and
Mr. Dhruv Bhardwaj, Advs.
For the Respondent : Mr. Yashraj Singh Deora, Sr. Adv.
with Mr. Sameer Abhyankar, Mr.
Rahul Kumar, Mr Aakash Thakur Mr.
Nalin Talwar, Mr. Chatinaiya Safaya
and Mr. Priyesh Mohan Srivastava,
Advs.
CORAM:
HON'BLE MR. JUSTICE V. KAMESWAR RAO
HON'BLE MS. JUSTICE MANMEET PRITAM SINGH ARORA
JUDGMENT
MANMEET PRITAM SINGH ARORA , J.
1. This is an appeal under Order 43 Rule 1 of the Code of Civil
FAO(OS) (COMM) 7/2024 Page 2 of 21
Procedure, 1908 [‘CPC’], read with Section 13(1) of the Commercial Courts
Act 2015, and Section 10 of the Delhi High Court Act, 1966, against the
order dated 14.09.2023 [‘impugned judgment’].
2. The present appeal pertains to a dispute inter-se two institutions,
‘VAJIRAM & RAVI’ and ‘VAJIRAO & REDDY’, both engaged in the
business of coaching candidates for the Indian Civil Services examination.
FACTUAL MATRIX
3. The Appellant was established by Professor P. Velayutham as a sole
proprietor under the trademark ‘VAJIRAM & RAO’. The usage of the said
mark continued till 1976, when Mr. P.S. Ravindram took over the
management of the institute and renamed it as ‘VAJIRAM & RAVI’
[‘Appellant’s mark’].
4. The Appellant holds wordmark registrations as well as device mark
registrations of ‘VAJIRAM & RAVI’ and ‘VAJIRAM & RAO’
1
.
5. The Respondent also engaged in the same business as the Appellant,
has been operating under the trademark ‘VAJIRAO & REDDY’ [‘impugned
mark’] at least since 2007. The Respondent has registration for the device
mark bearing TM no. 1859489.
6. The Appellant has no objection to the Respondent’s business of
coaching and training students; however, the Appellant has an objection to
the Respondent’s use of the trademark ‘VAJIRAO’, which is deceptively
similar to the Appellant’s trademark ‘VAIJRAM’ appearing in the name of
1
Details of the Appellant’s various registrations are set out at page 71 of the paper-book.
FAO(OS) (COMM) 7/2024 Page 3 of 21
the Appellant and is an abbreviated form of the name ‘VAJIRAM & RAO’.
7. The Appellant, being aggrieved and the prior adopter of the marks
‘VAJIRAM’, ‘VAJIRAM & RAO’ and ‘VAJIRAM & RAVI’, filed a suit
CS(COMM)43/2019 seeking an interim injunction restraining the
Respondent from using the impugned mark and passing off its impugned
mark as that of the Appellant’s mark.
8. The learned Single Judge, vide the impugned judgment dated
14.09.2023, denied interim injunction on the ground that there are notable
dissimilarities between the rival marks as a whole, and the Appellant lacked
compelling evidence to indicate the likelihood of confusion.
9. In these facts, the Appellant has filed the present appeal.
SUBMISSIONS BY THE PARTIES
Submissions by the Appellant
10. Mr. J. Sai Deepak, learned senior counsel for the Appellant, states that
the impugned mark cannot be said to be dissimilar. The Appellant’s name
was known as ‘VAJIRAO’, an abbreviation of the mark ‘VAJIRAM &
RAO’, which was popular amongst students in the 1980s and 1990s, and
hence the use of the impugned mark creates confusion in the minds of the
public.
10.1. He states that the cause of action arose in December 2018, when the
Respondent put up a hoarding opposite the institute of the Appellant whilst
advertising its institute; prior to that, the Appellant was not aware of the
Respondent.
10.2. He states that the learned Single Judge has disregarded the submission
that when the adoption of the impugned mark by the Respondent was
dishonest, the plea of delay and acquiescence is to be rejected. In this regard,
FAO(OS) (COMM) 7/2024 Page 4 of 21
he places reliance on the judgment of the Supreme Court in Midas Hygiene
Industries (P) Ltd v. Sudhir Bhatia Ltd
2
, wherein it has been categorically
held that delay in bringing the action is not sufficient to defeat the grant of
the injunction.
10.3. He states that the learned Single Judge has failed to consider that there
is phonetic, structural and visual similarity between the rival marks. He
states that the Appellant and the Respondent operate in the same industry
and that their customers are students who aspire to become civil servants.
The repeated use of the impugned mark in its study materials, domain,
advertisements, etc., creates confusion in the minds of the students who seek
admission before the beginning of the academic session.
10.4. He states that the learned Single Judge has failed to consider that the
Respondent used only the word ‘VAJIRAO’ in its domain name and not the
complete name, which evidences the dishonest intentions and deliberate
malafide action of the Respondent to ride upon the goodwill and reputation
of the Appellant’s mark.
10.5. He states that the Respondent only has rights, if any, on the device
mark and not in the words therein. He
states that it has rights only on the manner of representation of the said
device mark and has no rights in the elements therein.
Submissions by the Respondent
11. Mr. Yashraj Singh Deora, learned senior counsel for the Respondent,
2
(2004) 3 SCC 90
FAO(OS) (COMM) 7/2024 Page 5 of 21
states that the learned Single Judge, whilst dealing with the issue of the
similarity of the rival marks, has rightly held that since the present case
pertains to composite marks, the marks must be considered as a whole, and
that prima facie there is no likelihood of confusion inter se the rival marks.
The target audience of both parties comprises well-informed civil services
aspirants, who are able to distinguish the two marks, as can also be seen
from the interviews of some of the successful civil services candidates. Even
otherwise, the Appellant has failed to show that ‘VAJIRAM’ alone has
obtained enough goodwill and reputation for it to be considered a dominant
mark. In this regard, reliance is being placed upon the judgment of the
Supreme Court in Khoday Distilleries Limited v. Scotch Whisky
Association and Others
3
.
11.1. He states that the Appellant has been aware of the existence of the
Respondent at least since September 2009, if not before. The Appellant and
the Respondent have been advertising in the same magazine. The existence
of the said advertisement shows that the Appellant had constructive notice of
the impugned mark. Since the Respondent has been continuously using the
impugned mark since 2009, the Appellant has acquiesced to the
Respondent’s mark as per Section 33 of the Trademark Act, 1999.
11.2. He states that the learned Single Judge has rightly considered the
evidence provided by the Respondent to demonstrate active marketing by
both parties in the same magazines & newspapers as far back as 2009 at
least, to conclude that the Appellant had adequate notice of the
Respondent’s activities.
11.3. He states that the impugned mark is dissimilar and is easily
3
(2008) 10 SCC 723
FAO(OS) (COMM) 7/2024 Page 6 of 21
distinguishable from the various registered trademarks of the Appellant, i.e.,
‘VAJIRAM & RAO ’, ‘VAJIRAM & RAVI ’, and ‘VAJIRAM’. The
Respondent’s mark ‘VAJIRAO & REDDY INSTITUTE’ must be seen in its
entirety. Furthermore, the holistic comparison of the two marks conclusively
shows distinctiveness, both phonetically and visually. Furthermore, the
logos of both the institutes are unique from each other, which further
increases the distinctive features of the marks of both the Appellant and the
Respondent.
11.4. He states that the impugned judgment has rightly considered the facts
of the present case in light of the settled position of law to conclude that no
case for interim injunction is made out. He states that the impugned
judgment cannot be overturned merely because an alternate view is possible.
In this regard, reliance is being placed upon the judgment of the Supreme
Court in Wander Ltd. and Another v. Antox India P. Ltd.
4
COURT’S FINDINGS
12. This Court has heard the learned counsel for the parties and perused
the records.
13. The Appellant’s claims in the plaint are grounded in allegations of
passing off, dilution of its mark, and unfair competition. It seeks an interim
injunction on the grounds of passing off.
14. The Appellant is the registered proprietor of the word and device
marks ‘VAJIRAM & RAVI’ and ‘VAJIRAM & RAO’, and it also holds
registration for the word mark ‘VAJIRAM’.
So also, the Respondent’s impugned device mark ‘VAJIRAO &
REDDY INSTITUTE’ is a registered mark.
4
1999 (Supp) SCC 727 [Paragraph No. 14]
FAO(OS) (COMM) 7/2024 Page 7 of 21
15. The Respondent uses the composite mark ‘VAJIRAO & REDDY
INSTITUTE’ for its Institute. It also uses the word mark ‘VAJIRAO’, which
is a part of its device mark, on a standalone basis on its study material and as
its domain name.
16. In the suit, Appellant had sought an interim injunction restraining the
Respondent from using ‘VAJIRAO’ on a standalone basis or as a part of its
composite device mark ‘VAJIRAO & REDDY’ on the plea of its deceptive
similarity with the Appellant’s mark ‘VAJIRAM’, ‘VAJIRAM & RAVI’
and ‘VAJIRAM and RAO’.
It is undisputed by the Appellant that it has been using the composite
mark ‘VAJIRAM & RAVI INSTITUTE’ for its Institute since 1999, which
continues to be in use to date. It earlier used the composite mark ‘VAJIRAM
& RAO’ from 1976 to 1999 and not thereafter. It has demonstrated a
sporadic use of the standalone mark ‘VAJIRAM’ in its advertisements.
17. The Appellant contends that the word ‘VAJIRAO’ in the
Respondent’s mark is an abbreviation of the Appellant’s earlier mark
‘VAJIRAM & RAO’ and is therefore deceptively similar to the Appellant’s
mark and is capable of causing misrepresentation amongst the public. The
Appellant contends that the word ‘VAJIRAO’ in the Respondent’s mark is
also closely similar to the Appellant’s mark ‘VAJIRAM’.
18. The learned Single Judge has declined the interim injunction and
returned the following findings, which have been challenged in this appeal: -
i. The composite trademarks ‘VAJIRAM & RAVI’ and ‘VAJIRAO &
REDDY INSTITUTE’ have to be compared as a whole, and on this
comparison, the rival marks are distinct. The words ‘RAVI’ in case of
the Appellant and ‘REDDY’ for the Respondent, respectively, are
FAO(OS) (COMM) 7/2024 Page 8 of 21
distinct elements. In addition, the device marks include each
organisation’s logo, adding further to the distinctive element.
Furthermore, the inclusion of the word ‘INSTITUTE’ in the
Respondent’s device mark enhances the dissimilarity. The learned
Single Judge concluded that there is no immediate and obvious
connection between the two composite marks when viewed as a
whole.
The aforesaid findings have been returned based on a visual
comparison of the rival device marks as being used by the parties. For
convenience, the same is reproduced as under: -
Appellant’s Mark Respondent’s Mark
ii. In view thereof, the learned Single Judge concluded that the
Respondent’s mark ‘VAJIRAO & REDDY INSTITUTE’ was prima
facie not deceptively similar to ‘VAJIRAM & RAVI’.
iii. With respect to Respondent’s use of the word ‘VAJIRAO’ as a part of
its composite mark, the standalone use of the said word in its study
material and as its domain name, the Appellant alleged deceptive
similarity between ‘VAJIRAO’ and ‘VAJIRAM’. However, the
learned Single Judge observed that Appellant’s reliance on its mark
‘VAJIRAM’, which is also part of its composite mark ‘VAJIRAM &
RAVI’, to allege passing off due to misrepresentation is not
FAO(OS) (COMM) 7/2024 Page 9 of 21
persuasive, as the Appellant had failed to establish reputation and
goodwill in its standalone mark ‘VAJIRAM’. The learned Single
Judge observed that Appellant’s use of the mark ‘VAJIRAM’ was
almost always accompanied by its mark ‘VAJIRAM & RAVI’. The
learned Single Judge held that the Appellant would have to present
compelling evidence at trial to prove the distinctiveness of its
standalone mark ‘VAJIRAM’ as well as goodwill therein, and also
prove that the Respondent’s use of the mark ‘VAJIRAO’ is likely to
cause confusion amongst the target audience.
iv. Since both parties run coaching institutes for UPSC aspirants, the
learned Single Judge has taken into consideration the fact that the
target customers are well-informed civil service aspirants, who are
discerning, capable of distinguishing between the two institutes and
therefore unlikely to be misled by the rival marks. This opinion was
formed by the Court, after perusing the content of the interviews of
the successful UPSC aspirants published in the newspapers. The text
of newspaper interviews showed that the aspirants/students
5
knowingly referred to having attended both the institutes for
preparation of mock interviews, evidencing that they did not confuse
or associate Respondent’s institute with that of the Appellant’s
institute; and were conscious that these are distinct institutes.
v. The learned Single Judge held that the Appellant had prima facie
failed to establish any likelihood of confusion amongst the concerned
members of the public [i.e., UPSC aspirants] with respect to the
Respondent’s institute ‘VAJIRAO & REDDY’ with the Appellant’s
5
Ms. Anu Kumari and Mr. Sagar Kumar
FAO(OS) (COMM) 7/2024 Page 10 of 21
institute ‘VAJIRAM & RAVI’.
vi. With respect to honesty and adoption of the impugned mark
‘VAJIRAO & REDDY’ by the Respondent, the learned Single Judge
observed that documents on record established that the Respondent
has been using the impugned mark at least since March 2005, whereas
the suit had been filed in 2019. The Respondent established a trust by
the name ‘VAJIRAO SHIKSHAN TRUST’ and ‘VAJIRAO
DEGREE COLLEGE’ in 2013-2014, which provided evidence of
continuous use of the mark by the Respondent and therefore, at a
prima facie stage, the Court held that the adoption of the mark was not
fraudulent. However, the learned Single Judge opined that this issue
of honest adoption would require investigation at trial, where both
parties will be obligated to present evidence substantiating their
respective positions.
vii. The learned Single Judge concluded that Appellant had failed to show
that the Respondent, by using the impugned mark ‘VAJIRAO &
REDDY’, had misrepresented to the public any association with the
Appellant’s mark ‘VAJIRAM & RAVI’; to the contrary, the
documents showed that the Respondent had been using its impugned
mark openly and coextensively with the Appellant for an extended
period of time, dating back to 2005.
viii. In view of the aforesaid findings, the learned Single Judge declined to
grant an interim injunction restraining the Respondent from using the
mark ‘VAJIRAO’ or ‘VAJIRAO & REDDY’.
19. Before we decide the Appellant’s claim for an interim injunction on
the grounds of passing off on the merits, we would like to take note of the
FAO(OS) (COMM) 7/2024 Page 11 of 21
wilful conduct of the Appellant in failing to prosecute its suit by leading
evidence.
The suit was instituted on 22
nd
January, 2019. After the completion of
pleadings, issues were framed on 31
st
January, 2020. The Plaintiff filed the
evidence affidavits of its eight witness(es) on 16
th
March, 2020. Thereafter,
the Local Commissioner was appointed on 1
st
April 2022, for the recording
of evidence. However, the recording of evidence of the witnesses did not
commence due to the wilful inaction of the Appellant. Instead, the Appellant
pressed the hearing of its injunction application, which was decided by the
learned Single Judge vide impugned judgment dated 14
th
September, 2023,
declining the injunction.
20. We have been informed at this appeal’s hearing dated 29
th
April 2026,
that the Appellant has still not commenced recording of evidence. To date,
not a single witness has tendered evidence, and adjournments have been
sought by the Appellant before the Local Commissioner on one ground or
another. This conduct of the Appellant in wilfully not commencing the
recording of evidence from 2020 to 2026 is telling and shows a lack of
interest in prosecuting the suit. The learned Single Judge in the impugned
judgment has expressly noted that Appellant, at trial, has to lead relevant
evidence to show its reputation and goodwill in the standalone mark
‘VAJIRAM’, and establish likelihood of confusion amongst the target
audience due to the use of the word ‘VAJIRAO’ by the Respondent in the
impugned mark ‘VAJIRAO & REDDY’. The Appellant’s unwillingness to
lead evidence to establish reputation and goodwill leads to an inference that
the Appellant does not have any relevant evidence available to substantiate
the said facts and is therefore delaying the trial.
FAO(OS) (COMM) 7/2024 Page 12 of 21
21. It has been three years since the judgment of the learned Single Judge,
and yet the Appellant has failed to commence with the recording of evidence
in the suit. The Appellant’s unwillingness to proceed to trial would merit
dismissal of the suit for non-prosecution under Order XVII, Rules 2 and 3,
read with Order IX of CPC.
22. We shall now proceed to examine the Appellant’s claim of passing off
against the Respondent’s use of the impugned mark. It is trite law that in an
action for passing off, the plaintiff has to show goodwill associated with its
mark, misrepresentation by the defendant, likelihood of confusion amongst
the customers and consequent damages suffered by the plaintiff.
23. In this appeal, we are called upon to examine whether the
Respondent’s device mark ‘VAJIRAO & REDDY INSTITUTE’ is
deceptively similar to Appellant’s marks ‘VAJIRAM & RAVI’,
‘VAJIRAM’, as well as its earlier mark ‘VAJIRAM & RAO’.
24. In addition, we have been called upon to examine whether the
standalone word ‘VAJIRAO’ in the Respondent’s mark is deceptively
similar to Appellant’s marks, more specifically ‘VAJIRAM’, and is an
attempt to ride upon the goodwill and reputation of the Appellant’s marks.
In summary, the Appellant’s challenge is to the Respondent’s use of
the word ‘VAJIRAO’.
25. The Appellant has sought to contend that ‘VAJIRAO’ in the
Respondent’s mark is a colourable imitation of the word ‘VAJIRAM’ as it
appears in the present mark ‘VAJIRAM & RAVI’, and it is an abbreviated
form of its discontinued mark ‘VAJIRAM &
RAO/ ’.
FAO(OS) (COMM) 7/2024 Page 13 of 21
The learned Single Judge has, however, not found favour with the
said submission, as it has concluded that the Respondent uses its composite
device mark ‘VAJIRAO & REDDY INSTITUTE’ for carrying on its
business, and it is the composite mark which has to be considered as a whole
and compared to the Appellant’s composite mark ‘VAJIRAM & RAVI’ to
determine if there is any misrepresentation or likelihood of confusion.
26. The Appellant has not seriously contested the learned Single Judges’
finding that the Appellant’s device mark ‘VAJIRAM & RAVI’ is not
deceptively similar to the Respondent’s device mark ‘VAJIRAO & REDDY
INSTITUTE’, as is evident from ground no. ‘12’ of this appeal.
27. The consideration and deliberation of the learned Single Judge with
respect to the lack of similarity between the composite marks is set out at
paragraph nos. ‘7’, ‘7.1’ and ‘7.2’ of the impugned judgment, and the
Appellant has been unable to point out any error in the findings returned.
We also concur with the said findings of the learned Single Judge that the
composite marks ‘VAJIRAM & RAVI’ vis-à-vis ‘VAJIRAO & REDDY
INSTITUTE’, compared as a whole, are not deceptively similar.
28. Next, the Appellant has contended that the Respondent uses the
standalone word ‘VAJIRAO’ as a part of its domain name and on its study
material, which is deceptively similar to the Appellant’s mark ‘VAJIRAM’
and is likely to be confused by the customers as associated marks. Learned
Single Judge, however, opined that Appellant has failed to prima facie show
reputation and goodwill in the standalone mark ‘VAJIRAM’ so as to
persuade the Court to hold that the customers are likely to associate use of
the word ‘VAJIRAO’ with ‘VAJIRAM’. Learned Single Judge at paragraph
nos. ‘9’ to ‘12’ of the impugned judgment observed that the Appellant
FAO(OS) (COMM) 7/2024 Page 14 of 21
invariably uses the mark ‘VAJIRAM’ along with its composite mark
‘VAJIRAM & RAVI’ and therefore the Court was of the prima facie
opinion that the Appellant would have to at trial prove the reputation and
goodwill of the standalone mark ‘VAJIRAM’ as well as the likelihood of the
association of the said mark in the minds of the public with the word
‘VAJIRAO’.
In this appeal, the Appellant has been unable to draw our attention to
any evidence to show that the said finding of the learned Single Judge was
incorrect. The Appellant had not placed on record any sales figures or
advertisement and promotion expenditure, which would establish its
reputation and goodwill in the mark ‘VAJIRAM’ on a standalone basis.
29. This Court finds it apposite to refer to the dicta of the Supreme Court
in Brihan Karan Sugar Syndicate Private Limited v. Yashwantrao
Mohite Krushna Sahakari Sakhar Karkhana
6
, wherein the Court has
reiterated the settled position of law that in a suit for passing off, the plaintiff
[i.e., the Appellant herein] has to place on record its sales figures and
advertisement expenditure to assist the Court in assessing the reputation and
goodwill of the plaintiff’s mark.
30. Furthermore, the learned Single Judge also opined that there is no
material on record to form an opinion that the use of the word ‘VAJIRAO’
by the Respondent has caused any misrepresentation amongst the customers.
While forming an opinion that there is prima facie no
misrepresentation amongst the students by the use of impugned mark
‘VAJIRAO & REDDY’, as noted above, the learned Single Judge has
referred to interviews of successful UPSC aspirants who had studied with
6
2023 SCC OnLine SC 1163
FAO(OS) (COMM) 7/2024 Page 15 of 21
both Appellant and the Respondent’s Institute to form a prima facie view
that the target audiences recognise both the Institutes as separate entities and
do not confuse one for the other. During arguments, Appellant has been
unable to show us any material so as to persuade us to take a contrary view
on the issue of absence of misrepresentation.
In fact, considering the niche market segment that the Appellant and
the Respondent cater to and considering that these students were successful
in qualifying for UPSC, it seems improbable that the Appellant would not be
aware of these interviews, which referred to the Appellant’s institute. We
may note that in this market segment, interviews of the successful UPSC
candidates are promoted, recorded and broadcasted at the behest of the
institute(s) since it enhances the reputation of the concerned institute.
We therefore find that the reliance placed by the learned Single Judge
on these interviews was merited for forming the prima facie view on the
issue of lack of misrepresentation.
31. In addition to the aforesaid findings, the learned Single Judge has
opined that in the given facts where the Respondent is an established
Institute from at least 2007, the grant of an interim injunction in 2019 was
not desirable. The Respondent has prima facie demonstrated from the
documents on record that it has been using the impugned mark at least since
2007 and has had a registration for the device mark since 2009, with user
claim since 2007. As noted above, given the niche market segment and
overlapping geographical operations in Delhi, we concur with the learned
Single Judge’s finding that it is unconvincing that the Appellant learnt about
the Respondent’s Institute only in 2018 has merit and would require an
appreciation of the evidence led at trial. The submission of the Respondent
FAO(OS) (COMM) 7/2024 Page 16 of 21
that advertisements of both the institutes simultaneously appeared in
relevant magazines as early as September 2009, also militates against
Appellant’s submission that it learnt about the Respondent institute only in
2018.
32. The Appellant has no real explanation for the concurrent
advertisements in the relevant magazines. It sought to dismiss this fact by
relying upon the judgment of Automatic Electric Limited v. R.K. Dhawan
and Another
7
. We are not persuaded by this argument, as in the said
judgment, it was a case of a solitary concurrent advertisement, and therefore,
the Court gave the plaintiff therein the benefit of doubt. However, in the
present case, the Respondent has placed on record editions of the Civil
Service Chronicle magazine [amongst others], and the ratio of Automatic
(supra) would not be applicable. The Appellant would therefore have to
explain at trial how, despite advertising in the same magazines, it had no
knowledge of the existence of the Respondent’s Institute for the period from
at least 2007 to 2018.
33. The Appellant has also relied upon the judgment of the Supreme
Court in Midas Hygiene Industries (P) Ltd v. Sudhir Bhatia Ltd, wherein
the Court had held that mere delay in instituting a suit is not sufficient to
defeat the grant of an injunction if it prima facie appears that the adoption of
the mark by the defendant itself is dishonest.
In the considered opinion of this Court, the said judgment does not
apply to the facts of this case, as the submission of the Appellant that the
Respondent is passing off its services for the services of the Appellant has
not been established at this prima facie stage on the tests of passing off.
7
1999 SCC OnLine Del 27
FAO(OS) (COMM) 7/2024 Page 17 of 21
Appellant has failed to prima facie establish that the Respondent’s impugned
mark ‘VAJIRAO & REDDY’ is a dishonest adoption, as the Appellant has
been unable to establish its reputation and goodwill in the mark
‘VAJIRAM’, so also the Respondent itself has garnered its own reputation
and goodwill for its services, as opined by the learned Single Judge.
34. The interviews of the students, who attended both the institutes and
the concurrent advertisements from 2007 to 2018 in the relevant magazines,
show that for over a decade, no objection or concern was raised by the
Appellant, thereby allowing the Respondent to continue their business under
the impugned mark and build their own reputation and goodwill. The
inaction of the Appellant permitted the Respondent to continuously use the
mark from 2007 till 2019 without any objections or interference.
Respondent’s action of having its device mark registered in 2009 evidences
its honest intention to use the mark legitimately. The inaction of the
Appellant tilts the balance of convenience in favour of the Respondent, and
therefore, at an interim stage, denial of the injunction in these facts does not
merit interference. In this regard, this Court deems it apposite to refer to the
dicta of the Supreme Court in Toyota Jidosha Kabushiki Kaisha v. Prius
Auto Industries Limited and Others,
8
wherein the Court had held that the
plaintiff’s delay in instituting a suit cannot be permitted to prejudice the
defendant, who used its registered mark continuously and extensively during
the period that the plaintiff maintained silence. The relevant paragraph reads
as follows: -
“40. If goodwill or reputation in the particular jurisdiction (in India)
is not established by the plaintiff, no other issue really would need
any further examination to determine the extent of the plaintiff’s
8
(2018) 2 SCC 1
FAO(OS) (COMM) 7/2024 Page 18 of 21
right in the action of passing off that it had brought against the
defendants in the Delhi High Court. Consequently, even if we are to
disagree with the view of the Division Bench of the High Court in
accepting the defendant’s version of the origin of the mark ‘Prius’,
the eventual conclusion of the Division Bench will, nonetheless,
have to be sustained. We cannot help but also to observe that in the
present case the plaintiff’s delayed approach to the Courts has
remained unexplained. Such delay cannot be allowed to work to the
prejudice of the defendants who had kept on using its registered
mark to market its goods during the inordinately long period of
silence maintained by the plaintiff.”
[Emphasis Supplied]
35. We note that the Appellant has not even addressed arguments on any
alleged damage suffered by the Appellant due to the Respondent’s use of the
impugned mark, which is the third essential ingredient in the claim of
passing off.
36. In the facts of this case, the learned Single Judge has opined that the
rival composite marks are not deceptively similar and the Appellant has
been unable to prove any reputation and goodwill in the standalone use of its
mark ‘VAJIRAM’. For all these reasons, we find no ground to interfere with
the refusal of the interim injunction.
37. In any event, the scope of interference, while hearing an appeal
against the order passed by a Commercial Court, in Intellectual Property
matters, under Order XXXIX Rule 1 and 2 CPC, stands settled by the
judgment of the Supreme Court in Wander Ltd. v. Antox India (P) Ltd.
(supra). The relevant paragraph reads as follows: -
“13. On a consideration of the matter, we are afraid, the appellate
bench fell into error on two important propositions. The first is a
misdirection in regard to the very scope and nature of the appeals
before it and the limitations on the powers of the appellate court to
substitute its own discretion in an appeal preferred against a
discretionary order. The second pertains to the infirmities in the
ratiocination as to the quality of Antox's alleged user of the
FAO(OS) (COMM) 7/2024 Page 19 of 21
trademark on which the passing-off action is founded. We shall
deal with these two separately.
14. The appeals before the Division Bench were against the
exercise of discretion by the Single Judge. In such appeals, the
appellate court will not interfere with the exercise of discretion of
the court of first instance and substitute its own discretion except
where the discretion has been shown to have been exercised
arbitrarily, or capriciously or perversely or where the court had
ignored the settled principles of law regulating grant or refusal of
interlocutory injunctions. An appeal against exercise of discretion is
said to be an appeal on principle. Appellate court will not reassess
the material and seek to reach a conclusion different from the one
reached by the court below if the one reached by that court was
reasonably possible on the material. The appellate court would
normally not be justified in interfering with the exercise of
discretion under appeal solely on the ground that if it had
considered the matter at the trial stage it would have come to a
contrary conclusion. If the discretion has been exercised by the trial
court reasonably and in a judicial manner the fact that the appellate
court would have taken a different view may not justify
interference with the trial court's exercise of discretion. After
referring to these principles Gajendragadkar, J. in Printers
(Mysore) Private Ltd. v. Pothan Joseph
9
:
“... These principles are well established, but as has been
observed by Viscount Simon in Charles Osenton & Co. v.
Jhanaton
10
‘...the law as to the reversal by a court of appeal of an
order made by a judge below in the exercise of his discretion is well
established, and any difficulty that arises is due only to the
application of well settled principles in an individual case’.
The appellate judgment does not seem to defer to this
principle. ….”
[Emphasis Supplied]
38. In its recent decision in Pernod Ricard India (P) Ltd. v. Karanveer
Singh Chhabra
11
, the Supreme Court has reiterated the aforesaid principles
9
AIR 1960 SC 1156
10
1942 AC 130
11
2025 SCC OnLine SC 1701
FAO(OS) (COMM) 7/2024 Page 20 of 21
at paragraph ‘19.8’, which reads as under: -
“19.8. In Wander Ltd., this Court elaborated the principles
governing the grant or refusal of interim injunctions in trademark
infringement and passing off actions. It was underscored that
appellate courts ought to be circumspect in interfering with the
discretionary orders of lower courts in such matters. Interference is
warranted only where the discretion has been exercised arbitrarily,
capriciously, perversely, or in disregard of settled legal principles.
[Emphasis Supplied]
39. Thus, as summarized by the Division Bench of this Court in Sanjay
Gupta and Vinay Gupta v. Vineet Jain, Proprietor of Vijaypal Vineet
Kumar and Co.,
12
an appeal against an interlocutory order passed by the
Commercial Court, the Appellate Court would not substitute its subjective
view for the view adopted by the Commercial Court. It is only if the
Commercial Court errs on principle that the Court would interfere;
otherwise, factual and discretionary evidence and findings of the
Commercial Court are ordinarily immune from interference in an appeal.
40. As noted in the judgment, the Appellant/plaintiff has failed to proceed
with the trial, though issues were framed on 31
st
January, 2020. The matter
is still pending before the Local Commissioner. The state of affairs arising
from the wilful inaction of the Appellant/plaintiff in leading evidence shows
that parties file suits only to agitate the relief of an interim injunction and are
not interested in the adjudication of their final claims. This conduct of the
Appellant clearly reflects its lack of bona fides in prosecuting the suit
proceedings.
41. Accordingly, the Appellant is directed to commence recording of the
evidence of its witnesses in July 2026 and conclude the recording of
12
2026 SCC OnLine Del 1862
FAO(OS) (COMM) 7/2024 Page 21 of 21
evidence within three months thereafter. Similarly, Respondent is directed to
conclude recording of its evidence within three months of the conclusion of
the Appellant’s evidence. It is directed that in case the Appellant fails to
commence and conclude its evidence, the learned Single Judge shall pass an
appropriate order against the Appellant under Order XVII Rules 2 and 3
CPC, read with Order IX CPC, which includes dismissal of the suit for non-
prosecution.
42. In view thereof, this Court does not deem it fit to interfere with the
impugned judgment. The appeal is dismissed. Pending application[s], if any,
are disposed of.
MANMEET PRITAM SINGH ARORA , J
V. KAMESWAR RAO , J
MAY 26, 2026/mt/hp/aa
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