Delhi High Court
Fees Paid By Law Firm Remfry & Sagar To Use Name & Goodwill Of Founder Is Business Expense, Deductible U/S 37 Of Income Tax Act: Delhi HC
The Delhi High Court has held that the fees paid by IPR law firm Remfry & Sagar to acquire the goodwill vested in a company run by the family members of its deceased founder, is a business expense deductible under Section 37 of the Income Tax Act.A division bench of Justices Yashwant Varma and Ravinder Dudeja observed, “the primary, nay, sole purpose for incurring expenditure towards license fee was to use the words “Remfry & Sagar” and derive benefit of the goodwill attached to it. The...
'Composer Can't Assign Rights Of Movie Song' : Delhi High Court Rejects Ilaiyarajaa's Copyright Claim For 'En Iniya Pon Nilave' Song
In a copyright infringement suit filed by Saregama India Limited against Vels Film International Limited concerning the song 'Iniya Pon Nilave', the Delhi High Court has ruled that Saregama is the owner of the song. However, the Court allowed Vels Film to use the song in its film 'Aghathiyaa', following Saregama's acceptance of a license fee of Rs.30 lakh from Vels Film.Justice Mini Pushkarna further observed that the music composer of the original song Ilaiyaraja had no right to assign the...
Foreign Nationals Coming To India Not Required To Declare Personal Gold Jewellery To Customs: Delhi High Court
The Delhi High Court has held that foreign nationals coming to India need not declare to the Customs Department their gold jewellery which they are carrying for bonafide personal use.A division bench of Justices Prathiba M. Singh and Dharmesh Sharma further held that the Customs Department must make a distinction between 'jewellery' and 'personal jewellery', while seizing items for violation of the Baggage Rules, 2016 which are framed under the Customs Act, 1962.Thus in the facts and...
Co-Owner Of Property Not Receiving Income From It Not Liable To Pay Tax On Income From Such Property: Delhi High Court
The Delhi High Court has held that where a property is held jointly but only one co-owner reaps the benefit of income from such property, the other co-owner cannot be held liable to pay tax merely by virtue of co-ownership.A division bench of Justices Yashwant Varma and Harish Vaidyanathan Shankar observed, “the [Income Tax] Act fails to raise any presumption in law, of income necessarily arising or being liable to be assessed in the hands of an individual merely because it be a signatory to an...
'No Unnecessary Reporting On Parties' Submissions': Delhi High Court In ANI's Copyright Infringement Suit Against OpenAI
The Delhi High Court on Tuesday indicated that there will be no “unnecessary reporting” by media on the submission filed by parties involved in the copyright infringement suit filed by news agency Asian News International (ANI) against OpenAI Inc, which founded ChatGPT.ANI has accused OpenAI of unauthorisedly using its original news content.The development ensued after Senior Advocate Amit Sibal appearing for OpenAI today brought the attention of the Court to various news reports based on the...
Appointment Of Arbitrator In International Commercial Arbitration By HC Does Not Vitiate Award: Delhi High Court
The Delhi High Court Bench of Justice C. Hari Shankar has held that the appointment of the Arbitrator in an International Commercial Arbitration (“ICA”) by the Chief Justice of the High Court, does not vitiate the impugned award. The bench held that the objection to the appointment of the arbitrator should have been raised during the arbitration proceedings. Since the parties failed to do so, they were deemed to have waived their right to object. Brief Facts of the case: Cross...
Time Spent To Defend Reassessment Notice Issued Without Following Procedure Doesn't Extend Limitation For Revenue When Issuing Fresh Notice: Delhi HC
The Delhi High Court has held that if the Revenue issues a reassessment notice to an assessee under Section 148 of the Income Tax Act, 1961 without following due procedure, it cannot later issue fresh reassessment notice beyond the prescribed period, claiming that time spent on earlier litigation is to be excluded for the purposes of computing limitation.A division bench of Acting Chief Justice Vibhu Bakhru and Justice Tushar Rao Gedela observed, “Notice issued under Section 148 of the Act in...
Moratorium U/S 14 Of IBC Doesn't Exempt Promoter From Complying With Mandatory Pre-Deposit Required U/S 43(5) Of RERA: Delhi High Court
The Delhi High Court bench comprising Justice Navin Chawla and Justice Shalinder Kaur has held that the moratorium imposed under Section 14 of the Insolvency and Bankruptcy Code, 2016 (IBC), does not exempt a promoter from complying with the mandatory pre-deposit requirement under Section 43(5) of the Real Estate (Regulation & Development) Act, 2016 (RERA). It was observed that the moratorium applied only to the particular project under insolvency proceedings and not to other...
When Counter-Claim Is Related To Primary Dispute, It Can Be Filed Before Tribunal U/S 23 Of Arbitration Act: Delhi High Court
The Delhi High Court bench of Justice Manoj Jain has held that while any counter-claim may relate to a different cause of action, it can still stem from a primary dispute between the parties. Thus, the court held that the governing factor would be to see whether it has any connection with the original dispute or is isolated and separable. For all purposes, the court observed that the counter-claim in this case was, directly or indirectly, related to the primary dispute between the parties...
[Arbitration Act] Application U/S 34 Without Award Copy Or Vakalatnama Is Merely A 'Stack Of Papers' Filed To Save Limitation: Delhi HC
The Delhi High Court Bench of Justice Subramonium Prasad has held that a petition under Section 34 of the Arbitration Act, filed without the award itself, would not be a valid filing. Justice Prasad stated that without the Award, the challenge would become meaningless because unless the award is perused by the court, it cannot adjudicate upon the appropriateness and correctness of the award. An application under Section 34 of the Act, filed without an award and admittedly without a...
Rates Charged By Power Distribution Companies, State Board For Electricity Can Be Considered To Determine Its Market: Delhi HC
The Delhi High Court has held that the rate at which power is supplied by the State Electricity Board (SEB) or the Power Distribution Companies is an appropriate metric for determining the market price of electricity.A division bench of Acting Chief Justice Vibhu Bakhru and Justice Swarana Kanta Sharma further held that the rate at which electricity is sold on the Indian Energy Exchange (IEX) platform is not a 'comparable' and should not be considered to determine the market value of the power...
Once Court Orders Release Of Bank Guarantee Furnished By Trader, Customs Dept Can't Hold Back Compliance And Direct Adjustment In Demand Order: Delhi HC
The Delhi High Court has made it clear that once a court of law directs the Customs Department to release the bank guarantee furnished by a trader, the Department cannot turn around and say that the amount will be adjusted towards the final demand order.A division bench of Justices Prathiba M. Singh and Dharmesh Sharma were dealing with the writ petition moved by a firm importing gold jewellery. The firm had availed the benefit of an exemption Notification, which it claimed granted the benefit...