{"id":37721,"date":"2021-11-10T11:10:22","date_gmt":"2021-11-10T05:40:22","guid":{"rendered":"https:\/\/corpbiz.io\/learning\/?p=37721"},"modified":"2021-11-10T11:14:25","modified_gmt":"2021-11-10T05:44:25","slug":"ms-itc-limited-vs-nestle-india-limited","status":"publish","type":"post","link":"https:\/\/corpbiz.io\/learning\/ms-itc-limited-vs-nestle-india-limited\/","title":{"rendered":"M\/s ITC Limited vs. Nestle India Limited"},"content":{"rendered":"\n<p class=\"has-drop-cap\">Using generic words as a trademark is a complex play and these words are not protected by Trademark law. In the trademark suit between ITC Limited vs. Nestle India Limited, the court has settled the issue by declaring that nobody has absolute right over the generic expression. Also, the court, in this case, held that the word \u201cMagic\u201d and \u201cMasala\u201d are common expressions that are generally used in the food industry and therefore not entitled to get statutory protection under Trademarks Act, 1999. In this write-up, we will discuss the relevant facts and findings that came out in the case of ITC Limited vs. Nestle India Limited.<\/p>\n\n\n\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_82_2 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title ez-toc-toggle\" style=\"cursor:pointer\">Page Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 eztoc-toggle-hide-by-default' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/corpbiz.io\/learning\/ms-itc-limited-vs-nestle-india-limited\/#Background_of_the_Case-ITC_Limited_and_Nestle_India_Limited\" >Background of the Case-ITC Limited and Nestle India Limited<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/corpbiz.io\/learning\/ms-itc-limited-vs-nestle-india-limited\/#What_is_Passing_off_and_how_the_remedy_for_the_same_is_granted\" >What is Passing off, and how the remedy for the same is granted?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/corpbiz.io\/learning\/ms-itc-limited-vs-nestle-india-limited\/#Issues_found_in_the_case_of_ITC_Limited_and_Nestle_India_Limited\" >Issues found in the case of ITC Limited and Nestle India Limited-<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/corpbiz.io\/learning\/ms-itc-limited-vs-nestle-india-limited\/#Courts_Finding_in_the_case_of_ITC_Limited_Vs_Nestle_India_Private_Limited\" >Court\u2019s Finding in the case of ITC Limited Vs. Nestle India Private Limited<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/corpbiz.io\/learning\/ms-itc-limited-vs-nestle-india-limited\/#Conclusion\" >Conclusion<\/a><\/li><\/ul><\/nav><\/div>\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Background_of_the_Case-ITC_Limited_and_Nestle_India_Limited\"><\/span>Background of the Case-ITC Limited and Nestle India Limited<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>In the case of ITC Limited and Nestle India Limited, the court\nhas settled the dispute after seven years of the filing. The court, in this\ncase, stated that nobody has an absolute right over the general words or\nexpressions.&nbsp;<\/p>\n\n\n\n<p>Initially, the plaintiff company<strong>( ITC Limited<\/strong>) filed the case in the Court against the defendant company (<strong>Nestle India Limited)<\/strong> claiming the <a href=\"https:\/\/corpbiz.io\/trademark-registration\"><strong>Trademark<\/strong><\/a> infringement of its mark \u201cMagic Masala\u201d. To its merits, the ITC Limited claims prior use of the word \u201cMagic Masala\u201d. ITC claimed this word as a sub-brand since 2010 when they introduced their initial brand, \u201cSun feast Yippee! Noodles Magic masala\u201d. However, further on, Nestle Limited for selling their noodles started using the word \u201cMagical Masala\u201d in 2013.<\/p>\n\n\n\n<p>As per the plaintiff claim \u201cMagic Masala\u201d was the main feature\nof its trademark \u201cSun feast Yippie Noodles Magic Masala\u201d and the public\nassociates with the plaintiff\u2019s product with the phrase \u201cMagic Masala\u201d.\nFurther, the plaintiff company also claimed that the defendant company has\nacquired the vocally similar expression with a deceptive purpose to confuse the\nmind of the public, and therefore it amounts to&nbsp;<strong>passing-off<\/strong>. ITC also\nalleged that this expression has secured uniqueness, and a secondary meaning\nbecame relatable with the plaintiff\u2019s product.<\/p>\n\n\n\n<p>On the contrary, the defendant company claimed that the\nexpression \u201cMagical Masala\u201d is used as a general signifier and not as a\ntrademark name. Also, the term \u201c<strong>Magic\nMasala\u201d<\/strong>&nbsp;used by the company was to compliment the quality\nof the masala in the sachet. The defendant contended that the words \u201c<strong>Magic\u201d and \u201cMasala\u201d<\/strong>&nbsp;are\ngeneral expressions and cannot be subject to any trademark rights by any person\ndebarring the right of others.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_is_Passing_off_and_how_the_remedy_for_the_same_is_granted\"><\/span>What is Passing off, and how the remedy for the same is granted?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>A passing-off happens when another businessperson copies the\nessential features of a registered trademark but sells the product or process\nin his name. Passing off has a common-law remedy, and to seek this remedy the\nappellant has to go through the Classical Trinity test. The Clinical Trinity\ntest assumes that the facts mentioned below must be proven:<\/p>\n\n\n\n<ul><li><strong>Goodwill earned by the appellant,<\/strong><\/li><li><strong>Misinterpretation by the Defendant; and<\/strong><\/li><li><strong>Possibility of damage to that goodwill.<\/strong><\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Issues_found_in_the_case_of_ITC_Limited_and_Nestle_India_Limited\"><\/span>Issues found in the case of ITC Limited and Nestle India Limited-<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p><strong><em>The issues that came across in the case of ITC Limited and Nestle India Limited are as follows-<\/em><\/strong><\/p>\n\n\n\n<ul><li>Whether the expression \u201cMagic Masala\u201d used by the ITC company fits as a trademark and is apt of being monopolized to the exclusion of Nestle India Private limited?<\/li><li>Whether the case has resulted in a passing-off by the defendant by adopting the words \u201cMagical Masala\u201d for marketing its \u201c<strong><em>Maggi<\/em><\/strong><sup><a href=\"https:\/\/en.wikipedia.org\/wiki\/Maggi\"><strong><em>[1]<\/em><\/strong><\/a><\/sup> Xtra delicious Magical Masala\u201d Noodles?<\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Courts_Finding_in_the_case_of_ITC_Limited_Vs_Nestle_India_Private_Limited\"><\/span>Court\u2019s Finding in the case of ITC Limited Vs. Nestle India Private Limited<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>In the given case, the court declares that the words \u201cMagic\u201d and\n\u201cMasala\u201d are generic words used in the food business, and such selection by the\ndefendant company cannot be considered deceptive. Further, The Court referring\nto Section 9(1) (c ) of the Trademark Act stated that it is legitimate adoption\nby the Defendant company. No person can trademark the generic words, and such\nwords cannot be excluded or protected by the Courts.<\/p>\n\n\n\n<p>Furthermore, the court stated that the plaintiff had used the\nexpression \u201cMagic Masala\u201d for value addition in masala. Hence, it cannot be\nconsidered a trademark. As the word Magic is not a unique term as it is very\ngeneric in the food business. So, the case cannot be considered as a\npassing-off as there is no visible similarity between the packing of the\nnoodles sold by the two labels.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Conclusion\"><\/span>Conclusion<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Conclusively, general illustrative words or expressions cannot get registered as a trademark. The General words or expressions are adjectives that indicate recognition or praise. These expressions reflect that the product or process is finest. The Laudatory words can be registered if it possesses secondary meaning that identifies them with a specific product. In this case of ITC Limited Vs. Nestle India Private Limited, Court noted that\u00a0<strong>\u201cMagic Masala\u201d and \u201cMagical Masala\u201d\u00a0<\/strong>are expressively common words and cannot be registered as Trademark names.<\/p>\n\n\n\n<p class=\"text-left\"><b>Read our article<\/b>:<mark style=\"background: #fffd03 !important;\"><a href=\"https:\/\/corpbiz.io\/learning\/trademark-infringement-meaning-types-and-remedies\/\">Trademark Infringement: Meaning, Types and Remedies <\/a><\/mark><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Using generic words as a trademark is a complex play and these words are not protected by Trademark law. In the trademark suit between ITC Limited vs. Nestle India Limited, the court has settled the issue by declaring that nobody has absolute right over the generic expression. Also, the court, in this case, held that [&hellip;]<\/p>\n","protected":false},"author":22,"featured_media":37736,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[2],"tags":[2020],"acf":{"service_id":"18"},"authorName":"Pankaj Tyagi","authorImageUrl":"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2022\/01\/MicrosoftTeams-image-42.jpg","authorDescription":"Pankaj has a diverse experience of writing research papers, blog, and articles during his college time. Earlier, he was working as a tax consultant in a financial firm, but his interest in writing drives him to pursue a career in the writing field.","postViews":5182,"readingTime":3,"_links":{"self":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/37721"}],"collection":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/users\/22"}],"replies":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/comments?post=37721"}],"version-history":[{"count":33,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/37721\/revisions"}],"predecessor-version":[{"id":37755,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/37721\/revisions\/37755"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/media\/37736"}],"wp:attachment":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/media?parent=37721"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/categories?post=37721"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/tags?post=37721"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}