Trade Marks Act, 1999

Section 27
Counterfeit products being manufactured by defendants. Commission also appointed.
HELD the operators such as the defendants frequently change their place of business and do not keep any account books of such surreptitious activities. No purpose would be served directing the defendants to render accounts. However following the principle laid down in Microsoft Corporation v. Yogesh Papat, 2005 (30) PTC 245 (Del) holding that the plaintiff would be-entitled to damages for the reason that it would be futile to direct the defendants to render accounts for the reason of the defendants carrying on business surreptitiously and in Time Incorporated v. Lokesh Srivastava, 2005 (30) PTC 3 (Del) holding that where infringement is found, punitive damages should follow to discourage such law breakers, damages in the sum of Rs. 5 lac are awarded to the plaintiffs and against the defendants. The defendants having indulged in an action of infringement, passing off cannot avoid liability in damages merely for the reason of remaining ex-parte. Accordingly, besides the relief of permanent injunction, a decree for damages in the sum of Rs. 5 lac is also passed in favour of the plaintiffs and against the defendants.