Delhi HC Allows Dabur to Sell Existing Cool King Thanda Tael Stock

• The Delhi High Court has allowed Dabur India Limited to sell its existing stock of 'Cool King Thanda Tael' until September 30 amid a trade dress dispute with Emami Limited.
• The permission is subject to several conditions, including recalling all unsold stock by September 30 and removing e-commerce listings for the product.
• Dabur has undertaken to stop selling the product through online platforms such as Amazon and BigBasket.

The existing stock will be sold only through physical shops operated by wholesalers and retailers.

The Delhi High Court has granted permission to Dabur India Limited to sell its existing stock of 'Cool King Thanda Tael' until September 30, despite a trade dress dispute with Emami Limited. The court's decision comes after a series of hearings and orders, including one on January 31 that restrained Dabur from selling the product in the disputed packaging.

The permission to sell the existing stock is subject to several conditions, including recalling all unsold stock by September 30 and removing e-commerce listings for the product. Dabur has also undertaken to stop selling the product through online platforms such as Amazon and BigBasket.

Emami Limited, which produces 'Navratna Ayurvedic Oil', had sued Dabur over the packaging used for 'Cool King Thanda Tael'. The court found that Dabur's packaging was deceptively similar to Emami’s trade dress. On May 22, a division bench upheld the single-judge order restraining Dabur from selling the product in the disputed packaging.

The dispute highlights the importance of trademark protection and the need for companies to ensure their packaging does not infringe on others' trade marks.

This ruling is significant because it sets a precedent for companies involved in trade dress disputes. It also underscores the importance of complying with court orders and conditions set by the judiciary. The decision will likely have implications for lawyers advising clients on product packaging, who must now consider the Delhi HC's ruling allowing Dabur to sell existing stock under disputed trade dress but with conditions.

Lawyers advising clients on product packaging should note the Delhi HC's ruling allowing Dabur to sell existing stock under disputed trade dress, but with conditions, including recall of unsold stock and removal of e-commerce listings.

Source: Original reporting via [Source]