Mere Invoices Can't Establish Jurisdiction: Himachal Pradesh High Court Denies Interim Relief In Patent Dispute

The Himachal Pradesh High Court has ruled that merely producing invoices is not enough to establish territorial jurisdiction in a patent infringement dispute, refusing interim relief to SML Limited in its suit over agrochemical product ZeekaSulf.

“Mere production of invoices, as detailed hereinabove, would not be sufficient to conclude territorial jurisdiction of this Court to entertain the instant application,” Justice Sandeep Sharma observed.

The court noted that four alleged purchases of ZeekaSulf from a retailer in Theog appeared to have been arranged to establish its jurisdiction. There was no material to show that the manufacturer had supplied the product to the retailer in Himachal Pradesh.

SML had sought an interim injunction against the sale of ZeekaSulf, alleging that it infringed Indian Patent No. 282092, granted for an agricultural composition. The company launched its own product, TECHNO Z, in August 2018.

It argued that ZeekaSulf's composition and granule characteristics fell within the scope of its patent claims. SML also relied on an expert affidavit in support of its allegation.

The manufacturer challenged the court's jurisdiction, contending that it had neither supplied ZeekaSulf to the retailer nor authorised the retailer to sell it in Himachal Pradesh. It argued that the invoices did not establish a link between the manufacturer and sales in the state.

SML also relied on a No Objection Certificate issued by the Directorate of Agriculture, Gandhinagar, on June 21, 2021, which it claimed permitted sales in Himachal Pradesh. The court observed that the certificate did not establish that ZeekaSulf had actually been sold in the state.

The court also referred to the Fertiliser (Control) Order, 1985, which requires those intending to sell fertilisers to submit the prescribed intimation and certificate of source to the relevant authority. No material showed that the manufacturer had issued such a certificate to the retailer or supplied the product to it.

Although ZeekaSulf was listed on the manufacturer's website, SML had not produced evidence of a transaction or delivery in Himachal Pradesh. The court held that the online listing alone was insufficient to establish jurisdiction.

The court dismissed SML's application for an interim injunction, clarifying that it had not examined whether ZeekaSulf infringed the patent. Its observations were confined to the interim application and did not constitute a finding on the merits of the suit.

The matter is listed for admission and denial of documents before the Registrar (Judicial) on January 6, 2027.