The present matter relates to an infringement suit initiated by a leading Japanese steel production company (“Plaintiff”) against the Defendants (based out of India) who had misrepresented to another steel company based in in Saudi Arabia that the carbon pipes sold to them had originated from the Plaintiffs. The Defendants had further while selling these carbon pipes also provided them with forged and fabricated certificates bearing the Plaintiff’s trademarks / logos thereby misleading them to believe that the said carbon pipes had originated from the Plaintiff.
While deciding the present matter, the Court held as follows:
“While the parties are willing to settle the matter here, I am of the view that an example must be made of the present Defendants, to deter such entities / persons from conducting such fraudulent activities. They must know that the Courts are no longer willing to let such activities slide by and shall deal with the same with an iron hand. This would have been a fit case to order an enquiry by the State Machinery into the affairs of the Defendants, however, considering the fact that the Defendants have disclosed their operations in detail, I am inclined to give one final opportunity to the Defendants to mend their ways. Though no amount of costs can justify the acts of the Defendants, I think costs of Rs. 5,00,00,000/- [Rupees Five Crores Only (approx. USD 725,000/-)] shall certainly act as a deterrent factor not only to these Defendants but also to the other unscrupulous parties/entities. The Defendants are therefore directed to jointly and / or severally pay Rs. 5,00,00,000/- (Rupees Five Crores Only) towards costs, which costs shall be donated to “Tata Memorial Hospital” before 23rd April, 2019.”
Contributor to present post is Abhilasha.
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