₹5 lakh penalty for fake Louis Vuitton, Delhi High Court pulls up trader
2 min read . Updated: 07 Feb 2023, 10:37 AM IST- The judge headed by Justice C Hari Shankar also clarified that if the defendant fails to pay the amount within a period of four weeks, he shall suffer incarceration in civil prison in Tihar Jail for a period of one week.
The Delhi High Court on 6 February directed a Sardar Bazar trader to pay ₹5 lakh to luxury brand Louis Vuitton for selling duplicate products in spite of judicial directions restraining him from doing so.
The bench headed by Justice C Hari Shankar said “Counterfeiting is a commercial evil which erodes brand value, amounts to duplicity with trusting consumer, and has serious repercussions on the fabric of the national economy."
As per Bar and Bench report, court was dealing with an application filed by the luxury brand LV under Order XXXIX Rule 2A of the Civil Procedure Code (CPC) in its already pending suit related to trademark infringement.
As per the application, the brand alleged that despite the injunction order of September 2021, Javed Ansari was selling counterfeit LV products at least till September 2022. In September 2021, Delhi HC had passed an interim order restraining several entities from manufacturing, warehousing, selling, among others, in any manner any goods bearing the registered trademarks "Louis Vuitton", "LV" logo, or any similar trademark, amounting to an infringement of the plaintiff’s registered trademarks.
Justice C Hari Shankar said ramifications of counterfeiting extend far beyond the confines of a petty counterfeiter's small shop and the court is required to send a deterrent message to those involved in such practices.
The judge also clarified that if the defendant fails to pay the amount within a period of four weeks, he shall suffer incarceration in civil prison in Tihar Jail for a period of one week.
“Counterfeiting is an extremely serious matter, the ramifications of which extend far beyond the confines of the small shop of the petty counterfeiter. It is a commercial evil, which erodes brand value, amounts to duplicity with the trusting consumer, and, in the long run, has serious repercussions on the fabric of the national economy," the court said.
“The court is, therefore, required to be economically and socially sensitised, and to send a deterrent message to others who indulge, or propose to indulge, in the practice of counterfeiting," it added.
The defendant before the court also acknowledged that he was selling LV branded belts despite the court's order, but apologised for acting in breach of its directions and said he was a paltry businessman who ran his establishment from a small rented shop. LV also argued that that while evaluating the defendant, it told the court to take he also imitates other reputed brands as well.
On this, the court said a counterfeiter is not entitled to sympathy as he knowingly practices falsehood and deception with complete impunity.
“A counterfeiter abandons, completely, any right to equitable consideration by a court functioning within the confines of the rule of law... That the defendant chose to continue with his business of selling counterfeited LV branded goods, even after having been injuncted from doing so, augments his culpability. Apologies and entreaties to the Court, after having so acted, can hardly mitigate the misdemeanour," it stated.
“I am of the opinion that the interests of justice would best be subserved if, in the present case, the defendant is directed to pay, to the plaintiff, ₹5 lakh within a period of four weeks from today, failing which the proprietor of Defendant 2, shall suffer incarceration in civil prison in Tihar Jail for a period of one week," ordered the court.
The court also noted that articles bearing the Louis Vuitton/LV brand cater to the most affluent of society and the craze for owning an article bearing the brand spews imitators to duplicate such products.
(With inputs from PTI)