The Delhi High Court has refused to grant interim injunction in a trademark passing off dispute between More Than Water Pvt. Ltd. and Nesco Ltd., after finding serious inconsistencies in the plaintiff’s evidence and failure to establish prima facie goodwill.
Justice Tushar Rao Gedela expressed doubts over key invoices relied upon by the plaintiff, noting anomalies such as identical invoice numbers across different dates and unexplained rounding-off figures. The Court held that these discrepancies cast doubt on the veracity of the documents and declined to rely on them at this stage.
The Court further observed that the plaintiff’s subsequent invoices reflected minimal sales and did not substantiate the claimed turnover of over ₹39 lakh. Crucially, there was no consistent documentary evidence showing substantial sales under the marks “Water Box” or “More Than Water Box,” nor sufficient proof of promotion or advertisement prior to 2024.
Reiterating that goodwill is the foundational requirement in a passing off action, the Court held that the plaintiff had failed to prima facie establish the same. It also noted that even the defendant’s material did not conclusively demonstrate goodwill, leading the Court to deny injunctive relief to either side at this stage.
In an equitable arrangement, the Court directed both parties to continue operating under their respective marks but restricted them to their existing territorial markets, Gujarat for the plaintiff and Maharashtra for the defendant pending trial.
Appearances:
For the Plaintiff : Mr. Chander M. Lall, Senior Advocate with Mr. Anirudh Bhatia, Advocate.
For the Defendant : Mr. J. Sai Deepak, Senior Advocate with Mr. Naqeeb Nawab, Ms. Sanandika Pratap Singh, Mr. Sidhi Pramodh Rayadu and Ms. Purnima Vashistha, Advocates
