LAWS(SC)-2001-8-4

VOCCO LABORATORIES Vs. ART COMMERCIAL ADVERTISING PRIVATE LIMITED

Decided On August 13, 2001
VICCO LABORATORIES Appellant
V/S
ART COMMERCIA ADVERTISING PRIVATE LIMITED Respondents

JUDGEMENT

(1.) A suit was filed in S.C. Suit No. 493 of 1986 in the Bombay City Civil Court, Bombay by Vicco Laboratories, appellant herein, manufacturers of ayurvedic pharmaceutical products against defendants Nos. 1 to 4, respondents herein, for a declaration that the title and format of the suit serial "Yeh Jo Hai Zindagi" exclusively belonged to them and respondents Nos. 1 to 4 have no right thereto and for permanent injunction restraining the said respondents from making use of the title or episodes belonging to the petitioners or any episodes hereafter made.

(2.) A number of averments germane to this case as set out in the plaint are set-out hereunder. The petitioners carried on business as manufacturers of ayurvedic pharmaceuticals products,which were sold under the brand name of "Vicco" and have acquired substantial reputation in the market. The 1st respondents are an advertising agency and have been the advertising agents in respect of the products manufactured by the petitioners as aforesaid for number of years. The 2nd respondent is a Director and/or partner of the 1st respondent and has mainly dealt with the petitioners on behalf of the 1st respondent. Respondents Nos. 3 and 4 are proprietary concerns of respondent No. 2. The 5th respondent is the Union of India and has been joined as the authority concerning Television in India in the name and style of Doordarshan, which is a television media.

(3.) The petitioner had employed the respondents Nos. 1 and 4 as their advertising agents through the petitioners' sister concern "M/s. Modern Advertising Agency" and "Uta Advertising Agency" and were dealing with the respondent No. 1 mainly through the petitioners Managing Director, G. K. Pendharkar. In 1984, Doordarshan in order to popularize sponsored serial, undertook the production of a serial by the name "HUMLOG". The petitioners are also pioneers in making use of Doordarshan for advertising their products through the agency of the 1st respondent, approached the 1st respondent to act as their agents for the purpose of producting a serial would be shown as petitioners' sponsored programme. The petitioners agreed to pay the entire costs of the said production to the said advertising agency and requested to look into the matter, employed various persons on behalf of the petitioners and prepare a suitable serial for them. Pursuant to the said arrangement, the respondents Nos. 1 to 4 as the agents of the petitioners prepared at the costs and expenses of the petitioners, a serial entitled "Yeh Jo Hai Zindagi". The petitioners claimed that as a result of the employment of the respondents Nos. 1 to 4 and the finances paid by them the petitioners are the owners of the said serial "Yeh Jo Hai Zindagi" and the title thereof. The first and second respondents under the arrangement produced about 60 episodes and the petitioners have spent a crore of rupees for the products and telecast of the said episodes and have also spent large sums of money on advertising to popularize the said programme. "Yeh Jo Hai Zindagi" had gained popularity and had become one of the most exclusive and popular serial. The petitioners claimed that the exclusive right to use the title thereof belonged to them and the 2nd espisode of "Yeh Jo Hai Zindagi" was telecast without the name of the petitioners being mentioned as sponsors nor was their advertisement shown. This was due to the negligence of the respondents Nos. 1 to 4. But the respondent recovered the cost of production from the petitioners. Further the said respondents had been recovering the cost of production well in advance of the serial episode being actually produced. The petitioners claimed that they were the real producers and owners of the said serial "Yeh Jo Hai Zindagi" and the petitioners to the knowledge of the respondents have entered into an agreement assigning the video rights in the said serial to one M/s. Esquire Distributing and Servicing Pvt. Ltd. on 1-1-1985. The petitioners though not required to do so, made an ex gratia payment to respondents Nos. 1 to 4 of a portion of the royalty received by them from the said M/s. Esquire Distributing and Servicing Pvt. Ltd. 1st and 2nd respondent had by their letter dated 14-12-1984 confirmed that the petitioners have all T. V. and video rights of the sponsored programme in Hindi "Yeh Jo Hai Zindagi" and vest with the petitioners.