DELHI HIGH COURT DECLINED INTERIM RELIEF TO 'KHADI'N TRADEMARK INFRINGEMENT SUIT; GOODWILL ACQUIRED AFTER 'TERMINUS AD QUEM' INCONSEQUENTIAL

The Delhi High Court in the case Khadi And Village Industries Commission v. Girdhar Industries And Anr observed and has refused to pass the interlocutory injunction order against two entities from using ‘Girdhar Khadi’ and ‘BR Khadi’ marks in a trademark suit filed by Khadi and Village Industries Commission.

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The bench of Justice C Hari in the case observed and has directed the two manufacturers to maintain accounts of the manufacture, stock and sales of their products bearing the two marks and file accounts with the court every three months, pending disposal of the suit.

The bench of Justice Shankar clarified while passing an order dated December 26 during the winter vacations that the judgment shall take effect only on January 03, when the court will reopen.

The court in the case observed that there was no prima facie basis to hold that the registration of

‘Girdhar Khadi’ mark by Girdhar Industries, the defendant manufacturing soap bars and detergent powder, was invalid. Adding to it, the court stated that no case of passing off could prima facie lie against the said defendant either.

The court stated that there being no prima facie evidence, on record, of the plaintiff ’s mark KHADI having acquired