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Issues Involved:
1. Parallel-imports/grey-market goods. 2. Trade Marks Act 1999: International Exhaustion Principle vs. National Exhaustion Principle. 3. Infringement and permissible use of registered trade marks. 4. Meta-tagging of websites. 5. Interim injunctions and final relief. Summary: Issue 1: Parallel-imports/grey-market goods The respondents alleged that the appellants were importing and selling Samsung printers in India without authorization, constituting trademark infringement. The appellants argued their actions were legal, claiming benefits to Indian consumers through lower prices. Issue 2: Trade Marks Act 1999: International Exhaustion Principle vs. National Exhaustion Principle The core issue was whether the Trade Marks Act 1999 embodies the International Exhaustion Principle or the National Exhaustion Principle. The learned Single Judge concluded that the Act embodies the National Exhaustion Principle. However, upon appeal, it was determined that the Act adopts the Principle of International Exhaustion of Rights, meaning goods lawfully acquired and placed in the international market can be sold in India without constituting trademark infringement. Issue 3: Infringement and permissible use of registered trade marks Section 29 and Section 30 of the Trade Marks Act 1999 were analyzed. The learned Single Judge initially found that importation without the registered proprietor's consent constituted infringement. However, upon re-evaluation, it was concluded that lawful acquisition and sale in the international market do not constitute infringement under Section 30(3), provided the goods are not impaired or their condition changed. Issue 4: Meta-tagging of websites The respondents claimed that the appellants' meta-tagging of their website to that of the respondents constituted trademark infringement. The court affirmed the injunction against meta-tagging, emphasizing that appellants must independently display product information without relying on the respondents' website. Issue 5: Interim injunctions and final relief The interim injunction restraining the appellants from importing and selling Samsung products was set aside, provided the appellants prominently display disclaimers in their showrooms indicating that the products are imported and that Samsung (Korea) does not provide warranties or after-sales services for these goods. The appellants were required to state that they personally warranty the quality and provide after-sales services. Conclusion: The appeal was partially allowed. The appellants were permitted to import and sell Samsung products in India with appropriate disclaimers, but were restrained from meta-tagging their website to that of the respondents. The court's opinion was prima facie for the purposes of interim relief and not conclusive on the merits of the case.
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