SAREGAMA INDIA LTD Vs. PUNEET PRAKASH MEHRA

JUDGEMENT

(1.) The controversy which is the subject matter of these seven appeals centre around the alleged copyrights claimed by the three heirs of late Mr. Prakash Mehra on the one hand, Anandji Virji Shah and heirs of Kalyanji Shah of the second part and the heirs of the Prakash Mehra who was the producer of the film called LAWAARIS, Anandji and heirs of Kalyanji who are the composers of songs of the second part and the SAREGAMA India Ltd. (formerly Gramophone Company India Ltd.) also is the third party claiming copyright of the same song and claiming through them Nadiadwala Grandsons Entertainment Ltd., producer of the film called HOUSEFULL. Eros International Media Pvt. Ltd., distributor of the said film and Super Cassettes Industries Ltd. which has made cassettes of the songs in the said film HOUSEFULL. By the consent of the learned counsel for the parties, the applications for interim order/stay injunction in all the seven appeals filed by different parties were heard together and are being disposed of by this common judgment. The facts leading to filing of these appeals, are broadly stated as under.

(2.) M/s. Prakash Mehra Productions (hereinafter referred to as Prakash Mehra) had produced a film called LAWAARIS. There is no dispute about the fact that the film was made in the year 1981-82 by Prakash Mehra. By the agreement dated 18th July, 1981 between the Gramophone Company India Ltd. (now SAREGAMA India Ltd. with effect from 3rd November, 2000) and Prakash Mehra, a proprietary concern of the Prakash Mehra, the rights in the literary, dramatic and musical and artistic work and the soundtrack and recording of the songs of the film LAWAARIS were transferred by Prakash Mehra in favour of the Gramophone Company India Ltd. Since there is serious controversy about the scope and ambit of the rights transferred under the said agreement, reference to a terms of the said agreement will be made hereinafter by agreement dated 11th November, 2010. Gramophone Company India Ltd. (now SAREGAMA India Ltd.) had entered into such an agreement with producers of a number of films at the relevant time. The agreement in question was for the films made by Prakash Mehra during the period of one year commencing from 14th April, 1981. There is no dispute of the fact that LAWAARIS was produced by Prakash Mehra during the said period covered by the agreement. Thereafter, by agreement dated 11th February, 2010, SAREGAMA India Ltd. assigned the rights under the said agreement in respect of the song "Apni Toh Jaise Taise"? from the film LAWAARIS in favour of Nadiadwala Grandsons Entertainment Ltd. (hereinafter referred to as Nadiadwala) who have produced a film called HOUSEFULL. The said film HOUSEFULL has a song called "Aap Ka Kya Hoga " Dhanno). The said song is allegedly based on the song "Apni Toh Jaise Taise"? of the film LAWAARIS. After making the film, Nadiadwala Grandsons Entertainment Ltd. assigned the distributorship rights under the film to Eros International Media Pvt. Ltd. (hereinafter referred to as Eros) Nadiadwala also transferred the rights of the recording cassettes and mobile recording etc. in favour of the Super Cassettes Industries Ltd (hereinafter referred to as Super Cassettes).

(3.) Under the said agreement, SAREGAMA India Ltd. granted rights to Nadiadwala and Super Cassettes the licence to record and synchronize the works meaning and including the lyrics and music of the song "Apni Toh Jaise Taise"? from the film LAWAARIS into use/exploit the recreated sound recording and to use the same by physical as well as nonphysical means, modes or including mobile digital platforms and to make any sound recordings embodying the recreated sound recording embodying the said works either alone or together with any other sound recording etc. and also to exploit the new film HOUSEFULL contending the said recreated sound recording or any part thereof by any means into commercially exploited, exhibited the same including VCP, DVD, television, internet etc. By letter dated 4th March, 2010, Prakash Mehra Productions through the heirs of Prakash Mehra alleging that Nadiadwala has purchased an item number for his movie HOUSEFULL of their song "Apni Toh Jaise Taise"? from movie LAWAARIS, but Nadiadwala has not approached Prakash Mehra for any permission regarding this song. It was also stated in the said letter that if Nadiadwala had taken any permission from SAREGAMA India Ltd., Mehras would like to know under which clause the permission was given as indicated in the agreement copy. Mehras also requested for pending royalty statements. SAREGAMA India Ltd. sent the reply dated 16th March, 2010 to the Mehras requesting for copies of four documents such as a succession certificate/Will of Prakash Mehra to enable SAREGAMA India Ltd. to look into the matter. Mehras sent their letter dated 20th March, 2010 informing SAREGAMA India Ltd. that Prakash Mehra expired on 17th May, 2009 and thereafter also Mehras had received cheques in December, 2009 and February, 2010 in the name of M/s. Prakash Mehra Productions. Mehras again invited the attention of the SAREGAMA India Ltd. to the queries of the letter dated 4th March, 2010. SAREGAMA India Ltd. reiterated the reply of the letter dated 20th March, 2010 whereupon Mehras sent their legal notice dated 31st March, 2010 to SAREGAMA India Ltd., Nadiadwala, Eros and Super Cassettes alleging infringement of their copyright in the song "Apni Toh Jaise Taise"? from the film LAWAARIS and in respect of the literary and musical work of the sound recording. The Mehras called upon the above four parties to cease and desist from exploiting the work that is the lyrics of the song "Apni Toh Jaise Taise"? and sound recording in any manner whatsoever including exploiting the same in the meaning of the film HOUSEFULL. The Mehras also called upon the parties to deliver all infringed copies incorporating the literary work and sound recording to the Mehras. On 6th April, 2010, Mehras also called upon the above four parties to offer inspection of the documents of the contract under which the above four parties acquire rights relating to the said song. SAREGAMA India Ltd. gave their reply dated 12th April, 2010 to the above notices contending that they had acquired the rights by virtue of the valid assignment executed by Prakash Mehra in favour of SAREGAMA India Ltd. and claimed ownership rights of copyright in respect of literary work which was claimed by Mehras.