2008 (12) TMI 789 - HC - Companies Law

Summary

Issues involved:
The judgment addresses the issue of whether statutory authorities are governed by the principle of comity in the context of a dispute between two parties over the similarity of their product labels.

Consideration of the Principle of Comity:
The judgment recognizes the principle of comity in law, where different statutory authorities and courts are expected to respect each other's opinions unless they are contrary to law, public policy, or morality.

Dispute Over Product Labels:
The appellant claimed that the respondent's detergent wrapper was a slavish copy of their registered trademark "LIFEBUOY." The appellant's wrapper featured a mix of white and red colors, with the red color occupying approximately 1/3rd of the space. In contrast, the respondent used a wrapper with the same size, color, and proportion of red to white, under the name "LUCKYSOAP."

Outcome of Proceedings:
The appellant successfully opposed the respondent's application for trademark registration with the Registrar of Trademarks, citing potential confusion for consumers. However, the Copyright Board ruled against the appellant, stating that the labels were not substantially similar and did not infringe on the appellant's copyright.

Failure to Consider Prior Order:
The Copyright Board's decision did not acknowledge the Registrar of Trademarks' ruling, which the appellant argued was a grave error. The judgment emphasized that the Copyright Board should have given weight to the prior order u/s the principle of comity.

Correction of Factual Error:
The judgment noted a factual error in the Copyright Board's order regarding the appellant's registration under the Copyright Act. The appellant's petition u/s Section 50 of the Copyright Act was allowed, and the Copyright Board's decision was set aside.

Final Decision:
The appeal was allowed, the Copyright Board's order was overturned, and the appellant's petition was granted with a directive to expunge the copyright granted to the respondent. No costs were awarded in this matter.