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        Companies Law

        2013 (2) TMI 87 - HC - Companies Law

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        Copyright infringement in software cases can justify injunctions and assessed damages when unauthorised use is proved. Unrebutted ex parte evidence established that the defendants were loading and selling computers with unlicensed versions of the plaintiffs' software. The ...
                        Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
                          Provisions expressly mentioned in the judgment/order text.

                              Copyright infringement in software cases can justify injunctions and assessed damages when unauthorised use is proved.

                              Unrebutted ex parte evidence established that the defendants were loading and selling computers with unlicensed versions of the plaintiffs' software. The Court accepted that computer programmes are protected as literary works under the Copyright Act and held that unauthorised use amounted to copyright infringement. Permanent injunctive relief was therefore granted. On damages and costs, the Court followed the approach used in similar matters and awarded assessed damages instead of directing rendition of accounts. The suit was accordingly decreed in favour of the plaintiffs with injunctive relief, monetary compensation, and costs.




                              Issues: (i) Whether the plaintiffs proved infringement of copyright in their software and were entitled to a decree of permanent injunction; (ii) whether the plaintiffs were entitled to damages and costs.

                              Issue (i): Whether the plaintiffs proved infringement of copyright in their software and were entitled to a decree of permanent injunction.

                              Analysis: The plaintiffs led ex parte evidence showing that the defendants were loading and selling computers with unlicensed versions of the plaintiffs' software. The evidence remained unrebutted and was accepted as true. The Court also held that the software programmes constituted computer programmes and literary works protected under the Copyright Act and were entitled to protection in India.

                              Conclusion: The issue was decided in favour of the plaintiffs, and they were held entitled to a decree of permanent injunction.

                              Issue (ii): Whether the plaintiffs were entitled to damages and costs.

                              Analysis: In view of the proved infringement and following the approach adopted in earlier similar matters, the Court awarded damages in a fixed sum rather than directing rendition of accounts.

                              Conclusion: The issue was decided in favour of the plaintiffs, and damages of Rs. 2,00,000/- as well as costs were awarded.

                              Final Conclusion: The suit was decreed with permanent injunctive relief, monetary compensation, and costs in favour of the plaintiffs.

                              Ratio Decidendi: Unrebutted ex parte evidence proving unauthorised use of copyrighted software, coupled with statutory protection of computer programmes and literary works, justifies grant of permanent injunction and assessed damages.


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                              ActsIncome Tax
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