Sunday 10 February 2013

Maaza row: Bisleri in no mood to move SC; measured response by Coca-Cola

Saturday, February 09, 2013 08:00 IST 
Abhitash Singh and Ashwani Maindola

The five-year long row between two beverage majors Coca-Cola and Bisleri International over the Mazza drink trademark took a fresh turn as the Delhi High Court ordered that Bisleri could not market Maaza in India but use the brand in overseas markets.

While Bisleri is in no mood to move the Supreme Court over the issue, Coca-Cola has welcomed the dismissal of appeal by Delhi High Court on January 24, filed by Ramesh Chauhan's Bisleri International challenging the injunctions passed against it.

A spokesperson from Coca-Cola said, “The Delhi High Court decision was in our favour.” However, he refused to comment on the ruling by HC that Bisleri could use the brand name in overseas market. The decision is likely to hamper Coca-Cola's overseas operations in this segment.

However, Coca-Cola did not respond to the Intellectual Rights Infringement allegations by Bisleri.

Meanwhile, Bisleri spokesperson, in an email reply to FnB News said, “High Court order does not in anyway affect our present and future operations. We are not and have not sold Maaza in India. We have been making Maaza in the overseas market and will continue to do so. Also we can make Maaza in India for export, as per the High Court order. So there is no need to go to the Supreme Court.”

While Coca-Cola said, “Bisleri International in September 2008 issued a legal notice to our company contending that the Coca-Cola company was neither the owner nor proprietor / assignee of the trademark Maaza.”

Bisleri stated, “The Coca-Cola company had only been granted a licence to use the trademark Maaza and its formulations and claimed it had repudiated the licence and called upon the Coca-Cola company to cease manufacture/production of Maaza and stop using the trademark Maaza, including by its affiliates and franchisees to clear stocks of Maaza that may be lying with them or else threatened to cancel/revoke the trademark Maaza that was assigned to Coca-Cola and enter upon the premises where manufacture or production of Maaza was being undertaken.”

After this the Coca-Cola company promptly moved the Delhi High Court seeking injunctions against Bisleri International, Ramesh Chauhan and certain others.

"The High Court on October 15, 2008, restrained Bisleri, Ramesh Chauhan, their employees, agents and sister concerns for using the trademark Maaza and further from using or disclosing the know-how, formulations and other intellectual property used in the preparation of beverage bases and beverages sold under the Maaza trademark," said Coca-Cola in a statement issued to FnB News.

The reply added that the Delhi High Court specifically restrained Golden Agro, a company controlled by Ramesh Chauhan, from assigning rights under a certain licence granted by the Coca-Cola company to it. The court also appointed local commissioners to determine whether beverages under the trademark Maaza were being authorisedly manufactured by certain entities at the behest of the defendants.

"The Delhi High Court on October 20, 2009, rejected the various contentions of the defendants and made the interim injunction order passed on October 15, 2008, in favour of Coca-Cola absolute and further upheld the jurisdiction of the Delhi High Court to try this suit," said the statement.

Chauhan and Bisleri International challenged this October 2009 order of the Delhi High Court in the instant appeal. The court found no merit in the contentions of the appellants and dismissed the appeal, according to the statement.

When asked to comment on the issue, the Indian Beverage Association declined to say anything, adding, the companies were free to save their respective interests.


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