Confusion In Health & Wellness Products Must Be Avoided: Delhi High Court Grants Permanent Injunction In Favour Of Modicare’s “WELL” Marks

The Delhi High Court recently decreed a suit filed by Modicare Limited against 4 defendants for identically copying their product names and adopting deceptively similar trade dress.

Modicare Ltd. is a part of India’s leading conglomerate K.K. Modi Group which includes ventures like 24Seven Convenience Stores. It manufactures, markets and sells various FMCG products, including food processing products, nutraceuticals and health care products.

By way of the suit, Modicare had sought protection for a series of “WELL” marks and labels, on the thrust of long and continuous use. It was averred that Modicare had adopted the “WELL” mark in 2004 and held multiple registrations in relation to it.

To establish that its products are safe for consumption, Modicare pointed out that it has obtained licenses from FSSAI. It was reported that its products bearing “WELL” marks have certifications from prominent agencies and are developed with rigorous quality control.

Modicare claimed it discovered defendants’ infringing product line on online portals in July, 2019.

The Delhi High Court had earlier granted an ex-parte ad-interim injunction in favour of Modicare’s registered label and word marks, considering especially that its ingestible products related to health and nutrition.

Despite being served, the defendants failed to enter appearance and/or file written statement. However, they were stated to have taken down listings of infringing products from online portals.

Taking cue from the Supreme Court's decisions in Cadila Health Care Ltd. v. Cadila Pharmaceuticals Ltd. (2001) and Delhi High Court's decision in Sun Pharma Laboratories Ltd. v. Ajanta Pharma Ltd (2019), the Court held that in case of nutrition and wellness products, any chance of confusion ought to be avoided.

It opined, “The settled legal position is that in the case of such pharmaceutical products, health related products and cosmetics and related wellness products a higher standard would be required to be laid down in view of the damage that such products can cause to the consumers.”

The case was deemed fit for grant of summary judgment. Accordingly, Justice Prathiba M. Singh decreed the suit.

Besides granting a permanent injunction in favour of Modicare, the Court directed taking down of defendants’ listings of infringing products and awarded actual costs to the tune of Rs.11,63,650/-.

Before parting, it was clarified that the order was not to be construed as recognizing any monopoly or exclusivity for Modicare in respect of the “WELL” mark.

Ms. Akanksha Singh, Advocate appeared for Plaintiff

Case Title: Modicare Limited v. Maa Adishakti Multi Trade Enterprises & Ors.

Citation: 2023 LiveLaw (Del) 1007

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