Company’s reputation and goodwill protected

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Holding that “no one can be permitted to encroach upon the reputation and goodwill of other parties” the Supreme Court recently struck down an appeal by an incense stick maker who used the same mark as that of a reputed newspaper.

In TV Venugopal v Ushodaya Enterprises Ltd & Anr, the Supreme Court held that allowing the incense stick maker to trade under the “Eenadu” mark would “definitely create confusion in the minds of consumers” in the state of Andhra Pradesh where the Eenadu newspaper is sold.

The appellant, Venugopal, is the sole proprietor of a firm that makes and deals in incense sticks, or agarbathis. He began his business in 1988 and markets the incense sticks in the name and style of Ashika Incense in Karnataka. However, in Andhra Pradesh, which is home to the Eenadu newspaper, Venugopal adopted the mark “Ashika’s Eenadu” when he began selling the incense sticks there in 1995.

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The update of court judgments is compiled by Bhasin & Co, Advocates, a corporate law firm based in New Delhi. The authors can be contacted at lbhasin@bhasinco.in or lbhasin@gmail.com. Readers should not act on the basis of this information without seeking professional legal advice.

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