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        Central Excise

        1998 (1) TMI 147 - AT - Central Excise

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        Trade connection marks on medicaments did not establish brand use; products remained classifiable as non-proprietary medicaments. Chapter Note 2(ii) to Chapter 30 covers not only registered trade marks and brand names, but also any mark, symbol, monogram, label, signature, invented ...
                      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.

                            Trade connection marks on medicaments did not establish brand use; products remained classifiable as non-proprietary medicaments.

                            Chapter Note 2(ii) to Chapter 30 covers not only registered trade marks and brand names, but also any mark, symbol, monogram, label, signature, invented word or writing used to indicate a trade connection with a person entitled to use it. The decisive question was whether the symbols on the cartons and labels actually showed such a connection. They were found to be mere markings, with no evidence of market association with the manufacturer or use as a brand or product mark, and hospital supply alone did not attract the note. The products were therefore not patent or proprietary medicaments and were correctly classifiable under sub-heading 3003.20, not 3003.10.




                            Issues: Whether the medicinal products, marked with symbols on cartons and labels, were patent or proprietary medicaments classifiable under sub-heading 3003.10, or whether they remained classifiable under sub-heading 3003.20.

                            Analysis: Chapter Note 2(ii) to Chapter 30 brings within its scope not only a registered trade mark or brand name, but also any other mark, symbol, monogram, label, signature, invented word or writing used in relation to the medicine so as to indicate a connection in the course of trade between the medicine and some person entitled to use that mark. The decisive question was whether the markings in the present case actually established such a trade connection. The markings were found to be mere symbols on cartons and labels, and the record did not show evidence that they were associated in the market with the manufacturer or used as a brand or product mark. The fact that the supplies were made for hospitals did not by itself attract the mischief of the note. In the absence of proof that the markings indicated a trade connection, the department's classification as patent or proprietary medicaments could not be sustained.

                            Conclusion: The products were not patent or proprietary medicaments and were correctly classifiable under sub-heading 3003.20, not under sub-heading 3003.10.


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                            ActsIncome Tax
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