Bombay HC Grants Interim Relief to Burger King in Trademark Suit against Pune Restaurant

Sahyaja MS (Bar and Bench) 26 August 2024

Investor Interest

The Bombay High Court on Monday granted an interim stay on a July 16 order of a Pune court which had dismissed a trademark infringement suit filed by fast food giant Burger King against a local burger joint with the same name (Burger King Corporation v. Anahita Irani and Another).

A Bench of Justices AS Chandurkar and Rajesh Patil said that the interim stay will operate till the next date of hearing, on 6th September. On this date, the Court will hear Burger King's stay application.

When the matter was taken up today, counsel for Burger King told the Court that there was an injunction order by the trial court in the company's favour since January 28, 2012. Counsel for the Pune-based burger joint submitted that it has already started using the trademark 'Burger King' pursuant to the July 16 decision.

After perusing the order of injunction, the Court was of the view that there has to be a hearing on the plea for stay. When the counsel for the Pune-based burger joint objected to the maintainability of the appeal preferred by the US corporation, the Court said,

"...if you don't agree to the appeal, we can give a date. Meanwhile the ad interim relief may continue (in favor of the appellant)," the Court orally remarked while granting interim relief to the US corporation.

Advocates Avesh Kayser and Hiren Kamod appeared for the US-based corporation.

Advocates Abhijit Sarwate appeared for the Pune joint on caveat.

Burger King had filed a suit against Anahita and Shapoor Irani, owners of Pune's Burger King joints in Camp and Koregaon Park.

The US corporation, which, had just entered the Indian market in 2014, learned that a restaurant with the same name had been serving locals since 2008. It thus filed a suit claiming that the use its name by the Pune joint was causing irreparable harm to its brand reputation.

The corporation sought a permanent injunction from the court to restrain the Pune-based restaurant from using the 'Burger King' moniker.

On 16 July 2024, Pune Court Judge Sunil Vedpathak decided in favour of the Pune restaurant. He ruled that while the international conglomerate had not operated under the name in India for almost 30 years, the Pune restaurant had regularly supplied its customers under the 'Burger King' brand, making its use of the name legitimate and authentic.

"With respect to relief of perpetual injunction is concerned, admittedly the plaintiff has started to provide services through restaurant under its trademark Burger King in India particularly in the year 2014 whereas since 1991-92 defendants are using the trademark Burger King to provide restaurant services. Even the plaintiff has not placed on record the registration certificate about registration of its trademark in India under class 42 prior to 1991-92. Admittedly plaintiff has registered its trade mark Burger King under class 42 pertaining to restaurant services is of 06.10.2006. So, considering the fact that defendants are prior user of trademark in question, I am of the opinion that the plaintiff has no cause of action to seek relief of perpetual injunction," the Court had ruled.

The Court was of the view that the Pune establishment has been conducting their business for long with the said name without interruption.

Therefore, they are the honest and prior users of the name, it added.

Courtesy: Bar & Bench

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