Incurring commercial loss due to injunction: Britannia to High Court

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New Delhi | Published: September 9, 2016 5:31:56 PM

Britannia Industries Ltd, which has been restrained from using the packaging of its 'Nutri Choice Digestive Zero' biscuits in its present form, today told Delhi High Court that they were incurring "commercial loss".

Britannia Industries Ltd, which has been restrained from using the packaging of its ‘Nutri Choice Digestive Zero’ biscuits in its present form, today told Delhi High Court that they were incurring “commercial loss” due to the injunction granted by a single judge.

The counsel appearing for Britannia, which has challenged the September 6 order of the single judge, told a bench of justices B D Ahmed and Ashutosh Kumar that their business was getting affected because of the order as manufacturing of this product has been stopped.

A single judge bench had restrained Britannia from using the wrapper of its ‘Nutri Choice Digestive Zero’ biscuits in its present form, saying it was “deceptively similar” to packaging of ITC’s Sunfeast ‘Farmlite Digestive All Good’ biscuits.

During the hearing, senior lawyers C A Sundaram and Sudhir Chandra, who appeared for Britannia, submitted that the order was “erroneous” as the single judge had not considered the fact that their packaging was different from that of ITC.

However, senior advocates Rajiv Nayar, Sandeep Sethi and Pratibha M Singh, representing ITC, countered the submissions claiming that they have “adopted” their packaging and even lines on the packs were “replicated” by them.

Britannia, while refuting the allegations, had countered ITC’s submissions, saying it did not need to adopt anyone’s packaging, being the market leader.

The bench, which has fixed the matter for final disposal on September 15, said “You will win or lose on the quality of your product and not on its get-up or packaging.”

At the fag end of the hearing when Sundaram urged the court to grant a stay on the operation of the single judge order, the division bench refrained itself from giving any interim order and said it would dispose of the matter on the next date of hearing.

The single judge had granted four weeks to Britannia to phase out the existing stocks of ‘Nutri Choice Zero Digestive’ biscuits with the present packaging.

The order had come on a plea filed by ITC Ltd seeking to restrain Britannia from violating its rights in packaging/ trade dress of ‘Sunfeast Farmlite Digestive-All Good’ biscuits by allegedly using a deceptively and confusingly similar trade dress for ‘Nutri Choice Digestive Zero’ biscuits.

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