Delhi HC Grants Protection To IndiaMART In Trademark Infringement Case

The Delhi High Court (HC) has granted an ex-parte injunction in favour of B2B marketplace IndiaMART in a trademark infringement case.

A bench led by Justice Pratibha Singh restrained the defendant Sameer Samim Khan from using the mark ‘INDIAMART’ till the next date of hearing. The court has next listed the matter for hearing on September 27. 

“Petitioner (IndiaMART) has made out a prima facie case for ex-parte ad interim injunction. If the activities of (the) defendant are not nipped in the bud, irreparable injury would be caused not only to the company, but also to (the) public at large that may be deceived by the fraudulent activities of (the) defendant,” observed the HC.

Noting that Khan indulged in fraudulent activity, the court said that he showcased himself as an IndiaMART representative and collected money from various individuals on the pretext of offering jobs.

“It is clear to the Court that the defendant is completely passing off and indulging in fraudulent activity by showcasing himself as the plaintiff’s representative and collecting various sums of money by allegedly offering job opportunities. The website leaves no doubt in the mind of the Court that the entire business of Defendant No.1 is malafide, dishonest and illegal and also contrary to law,” the HC said.

In its plea, IndiaMART had sought a permanent injunction requesting protection against a website which was ‘deceptively similar’ to its site. 

The B2B major also alleged that Khan illegally used its trademark for the purposes of deceiving and duping the general public by misrepresenting himself as the company’s representative. IndiaMART alleged that Khan duped multiple gullible people, offering them ‘Work From Home’ jobs after payment of an application fees of INR 899 and INR 1,199. 

Meanwhile, the HC also directed relevant authorities to take down the illegal website and to freeze the bank account that held the proceeds of the alleged crime. 

While Google has been directed to file an affidavit with regards to two email ids involved in the case, other companies such as web hosting platform GoDaddy and telecom company Jio have been told to furnish all requisite documents in the case, including KYC details and name of the domain registrar. 

It has also ordered Raman Lamba, assistant commissioner of the Intelligence Fusion and Strategic Operations (IFSO) unit of the Special Cell of Delhi Police, to conduct a probe and file a status report in the matter by the next date of hearing. 

There has been a surge in the prosecution of trademark related crimes in the country in recent times. Earlier this year, the Delhi HC permanently restrained a Bengaluru-based cakery from using Facebook-related names for its products and services. 

In May this year, the Delhi HC ordered Booking.com and Google to stop using the MakeMyTrip name and all the trademarks associated with it for Google Ads till the next hearing.

The B2B marketplace adopted its trademark ‘IndiaMART’ back in 1996 and also registered its domain name the same year. 

As per its latest financial report, IndiaMART reported a 47% year-on-year (YoY) decline in its consolidated net profit in the first quarter of the financial year 2022-23 to INR 47 Cr.