(1.) "LAXMAN REKHA" mythologically is the boundary which should never have been crossed. The present dispute arises from. the grievance of the respondent against the appellants for having transgressed the boundary by using LAXMAN REKHA trademark for their product over which the respondents claim exclusive rights.
(2.) The respondent filed a suit for perpetual injunction, infringement of copyright, passing off and delivery up etc. in respect of the trademark LAXMAN REKHA. It was stated in the plaint that in the year 1988 the predecessor-in-title of the respondent originally conceived and adopted trade marks KRAZY LINES and LAXMAN REKHA in respect of insecticides and pesticides preparation and, thereafter, commercial artists were engaged for developing the distinctive label consisting of these two brand names in a special and particular manner. It was further alleged in the plaint that there had been continuous and uninterrupted use of these two trademarks in respect of insecticide and pesticide preparations till the trademarks were assigned in favour of the respondent company in pursuance to an assignment deed dated 1/4/97 executed by M/s.Midas Marketing House - a proprietorship firm of Mr.Swadesh Kumar Kapoor with the respondent company represented by Mr.Swadesh Kumar Kapoor as the Managing Director. Extensive sales and promotional activities in respect of these two trademarks were claimed by the respondent and thus it was claimed that customers from all parts of the country associated and identified these two trademarks with the product of the respondent. It was further stated in the plaint that the respondent is the registered proprietor of the trade mark LAXMAN REKHA as on 18/2/91 in class V in respect of ayurvedic medicinal preparations and the packing material of both the marks is registered under the Copyright Act in 1991. It is further stated that some changes were made in the artistic work/label of LAXMAN REKHA which is now registered under the Copyright Act in 1999.
(3.) The respondent gave the sales figures for different areas from 1990-91 to 1997-98 in terms whereof the sales rose from about Rs.11.00 lacs to more than Rs.27,00,000.00 lacs. Sales promotional expenses were also given for these years to promote the product which though for the initial years was not much yet the same rose from 1995-96 when it was about Rs.1.18 lacs to approximately Rs.5.29 lacs in 1997-98. It is relevant to state that prior to this, sales promotional expenses were in the range of about Rs.10,000.00 with the exception of 1991-92 when it was almost Rs.1.00 lac.