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Issues: (i) whether the competing trade marks were deceptively similar so as to justify interim injunction in a passing off and infringement action concerning a medicinal product; (ii) whether the suit deserved stay or continuation of injunction under Section 124 of the Trade Marks Act, 1999 when rectification proceedings were pending or contemplated.
Issue (i): whether the competing trade marks were deceptively similar so as to justify interim injunction in a passing off and infringement action concerning a medicinal product.
Analysis: The rival marks were compared as a whole, but the common prefix derived from the drug molecule was treated as generic and publici juris. In the field of medicinal products, the governing test is strict because confusion may affect health, yet the marks must still be likely to deceive or confuse an ordinary purchaser. The competing marks differed in their suffixes and overall structure, were not phonetically or visually similar, and the products were prescription drugs with additional distinguishing features including packaging and price.
Conclusion: The marks were not deceptively similar, and refusal of temporary injunction was justified.
Issue (ii): whether the suit deserved stay or continuation of injunction under Section 124 of the Trade Marks Act, 1999 when rectification proceedings were pending or contemplated.
Analysis: A stay under Section 124 is not automatic merely because rectification is sought. The statutory scheme requires the relevant rectification proceeding to be pending in the manner contemplated by the section and, where necessary, a prima facie showing of invalidity. Filing or pendency of a rectification request did not, by itself, suspend the registered proprietor's rights or compel continuation of the ad interim order.
Conclusion: The suit was not liable to be stayed, and the earlier injunction was not required to be continued.
Final Conclusion: The appellate court found no infirmity in the refusal of interim relief and upheld the approach that the respondent's registration and use could not be restrained on the facts shown.
Ratio Decidendi: In pharmaceutical trademark disputes, interim relief will be denied where the rival marks, taken as a whole, are not likely to cause confusion, especially when the common element is generic or publici juris and the statutory requirements for staying proceedings on rectification are not satisfied.