Passing off and ad interim injunction: distinctive trade name use created a clear likelihood of confusion and temporary relief was justified.

A passing off claim can support ad interim injunction where the plaintiff shows a distinctive business name, protectable goodwill, likelihood of deception, and probable injury. At the interlocutory stage, proof of fraud or actual damage is not required; the court applies the settled tests of prima facie case, balance of convenience, and irreparable injury. Use of the distinctive word "Muktajivan" by competitors in the same line of colour lab and studio services created a clear risk of confusion and diversion of customers, and proximity within the same city did not remove that risk. The plaintiff was entitled to temporary relief, and refusal of injunction was unsustainable.

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Issues: Whether the plaintiff made out a prima facie case for grant of ad interim injunction in a passing off action restraining the defendants from using the word Muktajivan in their trade name for colour lab and studio services.

Analysis: A business name may acquire protectable goodwill and a proprietary value when it becomes distinctive of the plaintiff's services. In a passing off action, the plaintiff need not prove fraud or actual damage at the interlocutory stage; it is enough to show reputation, likelihood of deception, and likelihood of injury. The fact that the defendants had commenced or were about to commence business, or that the competing businesses were located a few kilometres apart within the same city, did not negate the risk of confusion or diversion of customers. The distinctive element in the plaintiff's trade name was the word Muktajivan, and the defendants' adoption of that word in the same line of business created a clear likelihood of passing off. The settled principles governing temporary injunctions, namely prima facie case, balance of convenience, and irreparable injury, were satisfied.

Conclusion: The plaintiff was entitled to ad interim injunction and the refusal by the courts below was unsustainable.

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