Pending Insolvency Proceedings, Financial Distress Can Warrant Asset Protection Pending Arbitration: Bombay High Court

The Bombay High Court has held that the pendency of insolvency proceedings against a company does not, by itself, mean that a creditor's claim will fail. However, when considered alongside audited financial losses, negative net worth, substantial liabilities and limited assets, such proceedings can strengthen the case for securing a creditor's claim pending arbitration.“The mere pendency of such proceedings does not mean that the claim of the Petitioner will necessarily fail. But when this...

Delhi High Court Temporarily Restrains Sphinx Worldbiz From Using “SHRM PRO” Mark In Trademark Suit By SHRM

The Delhi High Court has restrained Sphinx Worldbiz Ltd and a company it controls from using the “SHRM PRO” trademark for their services, granting an ex parte ad interim injunction in a trademark infringement suit filed by the Society for Human Resource Management (SHRM). Justice Vikas Mahajan observed that the use of the mark by the two companies prima facie appeared to be non-bona fide and was causing confusion, deception and a false association among the public. The court noted that...

Commercial Court Must Decide Jurisdiction Before 'Sarkari Result' Trademark Suit Amendment: Allahabad High Court

The Allahabad High Court has ruled that a Commercial Court must decide a challenge to its subject-matter jurisdiction before considering an application to amend the plaint. Justice Rohit Ranjan Agarwal dismissed a petition filed by I Think Apps Pvt. Ltd., which owns the “Sarkari Result” trademark, challenging the Varanasi Commercial Court's decision to hear a jurisdiction application filed by Anugya Gupta and another before taking up the company's amendment plea. “An amendment seeking to...

Same-Sex Partners Must Challenge Marriage Laws, Not Income Tax Act For Gift Tax Exemption: Centre To Karnataka HC

The Centre on Friday told the Karnataka High Court that same-sex partners seeking a tax exemption on gifts exchanged between spouses must challenge the laws governing marital status, rather than the Income Tax Act. The latter, it argued, merely refers to the legal status recognised under other enactments. Additional Solicitor General K. Arvind Kamath, appearing for the Centre before Justice B.M. Shyam Prasad, made the submission while opposing a petition by Anurag Kalia and Akhilesh Godi. The...

Bombay High Court Restrains DUNE From Creating Third-Party Rights In 'SNAP', Protects VVAA's 40% IP

The Bombay High Court on 5 October restrained DUNE Collective LLP from creating third-party rights in the Hindi feature film “SNAP” that could prejudice co-producer VVAA Films Private Limited's claimed 40% intellectual property interest, pending commencement of arbitration. Justice Amit Borkar also directed DUNE to disclose records showing how it had used VVAA's funds, but declined to order specific performance of the co-production agreement or grant a blanket restraint against DUNE acting on...

Delhi High Court Restrains Chakr Innovation From Using Unlicensed SolidWorks Software On 12 Computers

The Delhi High Court on 5 October restrained Chakr Innovation Private Limited from using, installing or distributing pirated or unlicensed versions of SolidWorks design software, and from tampering with data on 12 computer systems allegedly running unauthorised copies. Justice Vikas Mahajan passed the interim injunction in a copyright infringement suit filed by Dassault Systèmes SolidWorks Corp and its Indian sister company. He observed that. “it prima facie appears that plaintiff no.1 is the...

Delhi High Court Allows Real-Time Blocking Of New F1 Italian Grand Prix Piracy Websites Sought By FanCode

The Delhi High Court has allowed Sporta Technologies Pvt. Ltd., which owns the FanCode streaming platform, to notify domain registrars, hosting entities, and internet service providers directly about newly discovered piracy websites streaming Formula One and other sporting events licensed to it. The company need not file a fresh application each time.Justice Purushaindra Kumar Kaurav passed the order on October 1, supplementing an interim injunction granted on September 10. Under the mechanism,...

Bank Guarantee Invocation Valid Even Without Specifying Recoverable Amount: Delhi High Court

On 7 October, the Delhi High Court held that a performance bank guarantee can be invoked without specifying the exact amount recoverable from a contractor, provided the invocation notice states that the guarantee is being invoked to meet recoveries due or likely to be due. Justice Manoj Jain dismissed Sanjeevni Infra Projects Limited's plea to restrain the Union of India from encashing a Rs. 1.37 crore bank guarantee issued by HDFC Bank for a Central Public Works Department (CPWD) construction...

Depositor's Apprehension Of Recovery Can't Justify Impleadment In Creditor's Writ: Madras High Court

The Madras High Court on 8 October held that a depositor's apprehension that proceedings concerning mortgaged properties may affect his eventual recovery cannot, by itself, justify his impleadment in a writ petition filed by a secured creditor. Justice K. Govindarajan Thilakavadi made the observation while dismissing K. Karunanithi's application to join a writ petition filed by Axis Bank challenging proceedings under the Tamil Nadu Protection of Interests of Depositors (in Financial...

Delhi High Court Sets Aside Glisten LLC's Patent Refusal, Says Grounds Must Be Notified Before Hearing

The Delhi High Court on 1 October set aside the Patent Office's refusal of an application filed by US company Glisten LLC for a gemstone coating invention and remanded the matter for fresh consideration. Justice Purushaindra Kumar Kaurav observed that a “refusal founded on a ground not put to the applicant before the hearing cannot be sustained”. Glisten filed a patent application in India in 2020 titled “Gemstone Coating and Methods of Making and Using the Same”. The First Examination Report...

Madras High Court Constitutes 3-Member Arbitral Tribunal In L&T's ₹74.36 Cr. Rajkot Smart City Dispute

On 8 October, the Madras High Court constituted a three-member arbitral tribunal to resolve a Rs. 74.36 crore dispute between Larsen & Toubro and sub-contractor Radhe Krishna Infrastructure over the Rajkot Smart City project. Chief Justice Sushrut Arvind Dharmadhikari held that determining whether a later work order superseded earlier contractual terms falls within the domain of the arbitral tribunal under Section 16 of the Arbitration and Conciliation Act, 1996. The Bench observed: ...

Supreme Court Dismisses PIL Seeking Probe Into Overseas Funds Flowing Into Indian Equities, Adani Deals

The Supreme Court on Friday dismissed a Public Interest Litigation (PIL) filed by former journalist Ketan Tirodkar seeking an investigation into alleged overseas fund flows into the Indian equity market, including transactions involving Adani Group entities.A Bench of Chief Justice Surya Kant and Justices Joymalya Bagchi and V. Mohana at the outset, questioned why the petitioner had approached the Supreme Court directly instead of pursuing the remedy available before the Bombay High Court,...