Trademark Name Infringement

As per the general rule a person, party or proprietor is barred from using the trade name of registered proprietor since it amounts to infringement of trade name. In one of the cases the plaintiff carried on business of selling saris as 'Kala Niketan' and sought decree for permanent injunction restraining the defendant from dealing in saris as 'Kala Niketan'. The plaintiff plead that his business was being run under the name 'Kala Niketan' for last 20 years and a lot of amount was spent on advertisement and the business turnover was in lacs. The defendant was not able to produce much evidence in support of this defence. Thus the Delhi High court restrained the defendant from using the plaintiff's trade name and held that the disputed trade name has been distinctive and is thus likely to cause harm to the goodwill and reputation of plaintiff.