Brand name on transport cartons does not bar small scale exemption when goods themselves are not marketed under that mark.

Pasting identifying slips bearing the principal manufacturer's name on old and used cartons carrying textured yarn was not treated as use of another person's brand name for denying small scale exemption under Notification No. 1/93. The yarn was manufactured on job work basis, the slips were used only to identify consignments and prevent mixing, and the goods were not marketed by the appellants as branded goods; they were cleared to the brand owner for further dyeing and packing. Use of a mark on the carton, without use on the goods themselves, did not disqualify the exemption.

---

---

Issues: Whether pasting slips bearing the principal manufacturer's brand name on old and used cartons containing textured yarn amounted to use of another person's brand name so as to deny the benefit of small scale exemption under Notification No. 1/93.

Analysis: The appellants manufactured textured yarn on job work basis and the record showed no finding that they had any plant or machinery for dyeing yarn. The recovered slips were found to be used for identifying the yarn and preventing mixing with other consignments, and the cartons were old and used. The goods were not being marketed by the appellants as branded goods; they were being cleared to the brand owner for further dyeing and packing. On these facts, the use of slips on cartons for identification could not be treated as use of the brand name of another person on the goods. The reasoning was consistent with the principle that use of a mark on the cover or carton, without use on the goods themselves, does not amount to disqualifying use of another's brand name.

Conclusion: The appellants were not disentitled to the benefit of Notification No. 1/93, and the allegation of use of another person's brand name failed.

Final Conclusion: The impugned order was set aside and the appeals were allowed with consequential relief.

Ratio Decidendi: Pasting an identifying slip or brand reference on an old carton used for transport or segregation, where the goods are not marketed under that mark and the mark is not used on the goods themselves, does not amount to use of another person's brand name for denying small scale exemption.

---