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Supreme Court of India

CRYOGAS EQUIPMENT PRIVATE LIMITEDversusINOX INDIA LIMITED AND OTHERS

Citation
2025 INSC 483
Decided
15 April 2025
Disposal
Dismissed

Holding

The Supreme Court upheld the High Court’s rejection of the Order VII Rule 11 application and articulated a two‑pronged test to distinguish artistic works from designs for the purposes of sections 15(2) of the Copyright Act and 2(d) of the Designs Act.

Summary

The dispute arose when Inox India Ltd filed a trademark suit alleging that Cryogas Equipment Pvt Ltd and LNG Express infringed its proprietary engineering drawings and related literary works used in cryogenic semi‑trailers. LNG Express moved an application under Order VII Rule 11 of the CPC, arguing that the drawings were ‘designs’ under the Designs Act and therefore not protectable under the Copyright Act because of section 15(2). The Commercial Court initially dismissed the suit, but the High Court set aside that order, holding that a detailed inquiry into whether the drawings are artistic works or designs is required and that the plaint discloses a cause of action. The Supreme Court affirmed the High Court’s view, clarifying a two‑pronged test – first to determine if the work is an artistic work or a design, and second, if not an artistic work, to apply the functional‑utility test to decide design protection. It held that the Commercial Court cannot dismiss the suit at the preliminary stage and directed a full trial to resolve the IP issues. The appeals were dismissed, and the Commercial Court was ordered to proceed with the interim injunction application and trial within specified time‑frames.

Issues considered

  • What are the parameters for determining whether a work or an article falls within the limitation set out in section 15(2) of the Copyright Act, thereby classifying it as a ‘design’ under section 2(d) of the Designs Act?
  • Whether the High Court erred in setting aside the order of the Commercial Court and thus rejecting the application under Order VII Rule 11 of the CPC?

Legislation cited

Headnote

Issue for Consideration i) What are the parameters for determining whether a work or an article falls within the limitation set out in s.15(2) of the Copyright Act, thereby classifying it as a ‘design’ u/s.2(d) of the Designs Act; ii) Whether the High Court erred in setting the Commercial Court and thus rejecting the application u/Or.VII, R.11 of the CPC. Headnotes† Copyright Act, 1957 – s.15(2) – Designs Act, 2000 – s.2(d) – What are the parameters for determining whether a work or an article falls within the limitation set out in

Subjects

Section 15(2) of Copyright ActSection 2(d) of Designs ActDesignArtistic workFunctional utilityOrder VII Rule 11Civil Procedure CodeIndustrial designIntellectual propertyProprietary Engineering DrawingsTrialPrima facie inquiryMixed question of law and fact

Judgment

                  [2025] 4 S.C.R. 765 : 2025 INSC 483

                 Cryogas Equipment Private Limited
                                  v.
                    Inox India Limited and Others
                       (Civil Appeal No. 5174 of 2025)
                                  15 April 2025
    [Surya Kant* and Nongmeikapam Kotiswar Singh, JJ.]


                            Issue for Consideration
       i) What are the parameters for determining whether a work or an
       article falls within the limitation set out in s.15(2) of the Copyright
       Act, thereby classifying it as a ‘design’ u/s.2(d) of the Designs
       Act; ii) Whether the High Court erred in setting aside the order of
       the Commercial Court and thus rejecting the application u/Or.VII,
       R.11 of the CPC.

                                   Headnotes†
       Copyright Act, 1957 – s.15(2) – Designs Act, 2000 – s.2(d) –
       What are the parameters for determining whether a work or
       an article falls within the limitation set out in s.15(2) of the
       Copyright Act, thereby classifying it as a ‘design’ u/s.2(d) of
       the Designs Act:
       Held: The original artistic work, which initially enjoys copyright
       protection, does not lose the same merely because a ‘design’
       derived from it has been industrially applied to create a product –
       While the expression ‘artistic work’ has a broad spectrum, ‘design’ is
       restricted to specific features such as shape, configuration, pattern,
       ornamentation, or composition of lines or colours, applied to an
       article through an industrial process, resulting in a finished product
       that appeals to the eye – These visually appealing features, when
       applied industrially, define a ‘design’ under the Designs Act – The
       inquiry cannot be concluded merely by assuming that what does
       not qualify as an ‘artistic work’, within the meaning of the Copyright
       Act, would automatically receive protection under the Designs
       Act – While protection under the Designs Act is not as enduring
       as that under the Copyright Act, it is not granted by default and
       requires specific criteria to be met – In this regard, courts in India
       and globally consistently apply the test of ‘functional utility’ to

* Author
766                                                                [2025] 4 S.C.R.

                             Supreme Court Reports


       determine whether a work qualifies for protection under the Designs
       Act – This Court has formulated a two-pronged approach in order
       to crack open the conundrum caused by s.15(2) of the Copyright
       Act so as to ascertain whether a work is qualified to be protected
       by the Designs Act – This test shall consider: (i) whether the work
       in question is purely an ‘artistic work’ entitled to protection under the
       Copyright Act or whether it is a ‘design’ derived from such original
       artistic work and subjected to an industrial process based upon
       the language in s.15(2) of the Copyright Act; (ii) if such a work
       does not qualify for copyright protection, then the test of ‘functional
       utility’ will have to be applied so as to determine its dominant
       purpose, and then ascertain whether it would qualify for design
       protection under the Design Act – The courts, while applying this
       test, ought to undertake a case specific inquiry guided by statutory
       provisions, judicial precedents, and comparative jurisprudence.
       [Paras 58, 59, 60, 61]

       Copyright Act, 1957 – Designs Act, 2000 – Code of Civil
       Procedure, 1908 – Respondent no.1 filed a trademark suit
       before the Commercial Court against the appellants – Appellant
       moved its application u/Or. VII, R.11 of CPC, seeking rejection
       of the suit on the ground that it was not maintainable u/s.15(2)
       of the Copyright Act – It was contended that the Proprietary
       Engineering Drawings, for which respondent no.1 claimed
       copyright protection, fell within the definition of ‘design’
       u/s.2(d) of the Designs Act, 2000 – Commercial Court allowed
       the said application and rejected respondent no.1’s plaint –
       High Court remanded the matter to Commercial Court for
       fresh consideration – The Commercial Court reconsidered the
       application and allowed the application u/Or.VII, R.11 of the CPC
       and rejected the plaint – Respondent no.1 again approached
       the High Court challenging the order of the Commercial
       Court – The High Court by the impugned judgment set aside
       the Commercial Court’s orders – Whether the High Court erred
       in setting aside the order of the Commercial Court and thus
       rejecting the application u/Or.VII, R.11 of the CPC:
       Held: The core dispute revolves around whether the ‘Proprietary
       Engineering Drawings’ qualify as drawings u/s.2(c) of the Copyright
       Act or whether they fall within the definition of a ‘design’ u/s.2(d)
       of the Designs Act, necessitating a detailed examination – This
       Court is in complete agreement with the reasoning of the High
       Court that the question as to whether the original artistic work
[2025] 4 S.C.R.                                                            767

  Cryogas Equipment Private Limited v. Inox India Limited and Others


     would fall within the meaning of ‘design’ under the Designs Act
     cannot be answered while deciding an application u/Or.VII, R.11
     of the CPC – This stage would involve only a prima facie inquiry
     as to the disclosure of cause of action in the plaint – The question
     pertaining to ascertaining the true nature of the ‘Proprietary
     Engineering Drawings’ involves a mixed question of law and fact
     and could not have been decided by the Commercial Court at a
     preliminary stage based upon such a casual appraisal of the plaint
     averments – This Court, therefore concur with the High Court that
     this case warrants a trial given the triable issues involved – The
     plaintiff before the Commercial Court, i.e., respondent no.1, was
     erroneously non-suited due to incorrect assumptions made by
     the Commercial Court which misread the plaint, misapplied legal
     principles and overlooked the distinction between ‘artistic work’
     and ‘design’ – In light of the discussion on relevant precedents
     and legal positions, and the clear test outlined, the Commercial
     Court is directed to consider the issue afresh and conduct trial by
     adopting an Occam’s Razor approach to ascertain the true nature
     of the ‘Proprietary Engineering Drawings’. [Paras 66(b), 67, 68, 69]

                              Case Law Cited
     Shri Mukund Bhavan Trust and Others v. Shrimant Chhatrapati
     Udayan Raje Pratapsinh Bhonsle, 2024 SCC OnLine SC 3844;
     Bharat Glass Tube Ltd. v. Gopal Glass Works Ltd. [2008] 7 SCR
     397 : (2008) 10 SCC 657 – referred to.
     Microfibres Inc. v. Girdhar, 2006 SCC OnLine Del 60; Dart
     Industries Inc. and Another v. Techno Plast and Others, 2007
     SCC OnLine Del 892; Mattel, Inc. v. Jayant Agarwalla, 2008 SCC
     Online Del 1059; Microfibres Inc. v. Girdhar and Co., 2009 SCC
     OnLine Del 1647; Pranda Jewelry Pvt. Ltd. v. Aarya 24 KT, 2015
     SCC OnLine Bom 958; Fun World and Resorts (India) Pvt. Ltd. v.
     Nimil KK, 2020 SCC OnLine Ker 219; Smithkline Beecham Plc. v.
     Hindustan Lever Ltd., 1999 SCC OnLine Del 965; Tractors and
     Farm Equipment Ltd. v. Standard Combines Pvt. Ltd, 2012 SCC
     OnLine Mad 5470; Mohan Lal v. Sona Paint and Hardwares,
     2013 SCC OnLine Del 1980; Whirlpool of India Ltd. v. Videocon
     Industries Ltd., 2014 SCC OnLine Bom 565; Standard Corporation
     India Ltd. v. Tractors and Farm Equipment Ltd., 2014 SCC OnLine
     Mad 850; Photoquip India Ltd. v. Delhi Photo Store, 2014 SCC
     OnLine Bom 1088; TTK Prestige Ltd. v. KCM Appliances Pvt.
     Ltd., 2023 SCC OnLine Del 2129 – referred to.
768                                                               [2025] 4 S.C.R.

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       Amp v. Utilux [1972] RPC 103; Interlego A.G v. Tyco Industries
       Inc and Others [1988] UKPC 3; Mazer v. Stein, 347 U.S. 201, 74
       S. Ct. 460, 98 L. Ed. 630 (1954); Esquire Inc v. Ringer, 591 F.2d
       796 (D.C. Cir. 1978); Kieselstein-Cord v. Accessories by Pearl,
       Inc., 632 F.2d 989 (2d Cir. 1980); Carol Barnhart Inc. v. Economy
       Cover Corp., 773 F.2d 411 (2d Cir.1985); Brandir International,
       Inc. v. Cascade Pacific Lumber Co., 834 F.2d 1142 (2d Cir.1987);
       Pivot Point Int’l, Inc. v. Charlene Prods., Inc., 372 F.3d 913 (7th
       Cir. 2004); Galiano v. Harrah’s Operating Co., 416 F.3d 411, 419
       (5th Cir. 2005); Star Athletica, L. L. C. v. Varsity Brands, Inc., 137
       S. Ct. 1002, 197 L. Ed. 2d 354 (2017) – referred to.

                         Books and Periodicals Cited
       Paris Convention for the Protection of Industrial Property, 1883
       (Paris Convention); Berne Convention for the Protection of Literary
       and Artistic Works, 1886 (Berne Convention); Agreement on Trade
       Related Aspects of Intellectual Property Rights, 1995 (TRIPS).

                                   List of Acts
       Copyright Act, 1957; Designs Act, 2000; Trade and Merchandise
       Marks Act, 1958; English Registered Designs Act, 1949; Penal
       Code, 1860.

                                List of Keywords
       Section 15(2) of Copyright Act, 1957; Section 2(d) of Design
       Act, 2000; Design; Rejection of plaint; Order VII, Rule 11;
       Copyright protection; Artistic work; Shape; Configuration; Pattern;
       Ornamentation; Composition of lines or colours; Test of ‘functional
       utility’; Industrial process; Case specific inquiry guided by statutory
       provisions, judicial precedents, and comparative jurisprudence;
       Proprietary Engineering Drawings; Detailed examination; Mixed
       question of law and fact; Triable issues.

                               Case Arising From
       CIVIL APPELLATE JURISDICTION: Civil Appeal No. 5174 of 2025
       From the Judgment and Order dated 22.10.2024 of the High Court
       of Gujarat at Ahmedabad in AFO No. 119 of 2024
       With
       Civil Appeal No. 5175 of 2025
[2025] 4 S.C.R.                                                             769

     Cryogas Equipment Private Limited v. Inox India Limited and Others


                           Appearances for Parties
        Advs. for the Appellant:
        Shyam Divan, Sr. Adv., Rahul Chitnis, Sudipto Sircar, Hersh Desai,
        Ms. Shwetal Shepal, Aditya Khanna, Samrat Mehta, Chander
        Shekhar Ashri.
        Advs. for the Respondents:
        Chander M Lall, J Sai Deepak, Sr. Advs., Smriti Yadav, Nirupam
        Lodha, Dhiren Karania, Kshitij Parashar, Gautam Wadhwa,
        Ms. Annanya Mehan, R Abhishek, For M/S. Khaitan & Co..

                   Judgment / Order of the Supreme Court

                                   Judgment

        Surya Kant, J.

        Leave granted.
2.      The captioned appeals arise from a common judgement dated
        22.10.2024 delivered by the High Court of Gujarat at Ahmedabad
        (High Court) in a dispute between the parties primarily concerning
        an alleged copyright infringement, whereby the 4th Additional District
        Judge at Vadodara’s (Commercial Court) order dated 03.05.2024
        allowing an application under Order VII Rule 11 of the Code of
        Civil Procedure, 1908 (CPC) was set aside, and the Suit filed by
        Respondent No. 2 was restored to its original number (Impugned
        Judgement).
3.      The parties to the appeal are, inter alia embroiled in a dispute
        concerning the purported infringement of intellectual property
        (IP) rights in relation to the designing and manufacturing of the
        internal parts of Cryogenic Storage Tanks and Distribution Systems
        which are mounted on Trailers and Semi-Trailers, to effectively
        transport industrial gases, liquified natural gas (LNG) and such
        like substances.

        A.   Facts
4.      That being so, given the shared sequence of events underlying these
        two appeals, this presents an appropriate juncture for a detailed
        examination of the factual matrix.
770                                                             [2025] 4 S.C.R.

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       4.1. The dispute between the parties arose when Respondent No.
            1 in these appeals, Inox India Limited (Inox), filed Trademark
            Suit No. 3/2019 (Suit) before the Commercial Court against the
            Appellants, i.e. Cryogas Equipment Private Limited (Cryogas)
            and LNG Express India Private Limited (LNG Express), on
            24.09.2018. Inox primarily alleged that Cryogas, LNG Express,
            and others had infringed two distinct types of copyright: (i) the
            drawings of LNG Semi-trailers developed by Inox (Proprietary
            Engineering Drawings); and (ii) the details, processes,
            descriptions and narrations written by Inox employees in creating
            the Proprietary Engineering Drawings (Literary Works). These
            IPs were supposedly developed by Inox to meet the specific
            requirements for storing and transporting sophisticated LNG
            Semi-trailers suitable for Indian roads.
       4.2. In this Suit, Inox sought relief in terms of: (i) a declaration
            that Cryogas, LNG Express and others have infringed Inox’s
            Proprietary Engineering Drawings, IP and Literary Works; (ii)
            a permanent injunction restraining Cryogas, LNG Express
            and the other associated parties from using or reproducing
            any drawings or works similar to that of Inox’s Proprietary
            Engineering Drawings or Literary Works; (iii) a permanent
            injunction against the use of any IP or know-how associated with
            manufacturing the impugned products; (iv) an order directing
            Cryogas, LNG Express and others to surrender all infringing
            materials for destruction, including drawings, trailers, labels
            and other items using the Proprietary Engineering Drawings;
            and (v) an award of damages amounting to Rs. 2 Crores for
            copyright infringement.
       4.3. In addition, Inox filed an application under Order XXXIX Rules
            1 and 2 of the CPC, seeking an ad interim injunction to restrain
            Cryogas, LNG Express, and others from infringing its IP rights
            and confidential information during the pendency of the Suit.
       4.4. In response thereto, LNG Express moved its application under
            Order VII Rule 11 of the CPC, seeking rejection of the Suit on
            the ground that it was not maintainable under Section 15(2) of
            the Copyright Act, 1957 (Copyright Act). It primarily contended
            that the Proprietary Engineering Drawings, for which Inox
            claimed copyright protection, fell within the definition of a ‘design’
[2025] 4 S.C.R.                                                          771

  Cryogas Equipment Private Limited v. Inox India Limited and Others


           under Section 2(d) of the Designs Act, 2000 (Designs Act). It
           argued that Inox had lost copyrights for the said drawings by
           failing to register them under the Designs Act. Furthermore,
           LNG Express asserted that copyright does not subsist in any
           design that is registered or capable of being registered under
           the Designs Act once it has been reproduced more than fifty
           times by an industrial process, either by the copyright owner or
           any authorised licensee. Specifically, it contested Inox’s claim of
           generating revenue amounting to Rupees 122 crores, arguing
           that such proceeds could only have been realised through the
           sale of Cryogenic Semi-trailers manufactured by an industrial
           process and using the Proprietary Engineering Drawings in
           excess of the stipulated threshold of fifty reproductions. In this
           context, LNG Express assailed that protection could not be
           sought under the Copyright Act by virtue of Section 15(2), and
           the Suit thus falls at the threshold.
     4.5. The Commercial Court, on 01.04.2022, allowed the application
          filed by LNG Express under Order VII Rule 11 of the CPC,
          consequently rejecting Inox’s plaint and its application for
          interim injunction. Inox filed two appeals before the High
          Court challenging the orders of the Commercial Court. On
          13.03.2024, the High Court, through a common order set aside
          the Commercial Court’s order, holding that it erred in allowing
          the application under Order VII Rule 11 of the CPC, which
          had led to the rejection of both the plaint and the prayer for
          interim injunction. The High Court remanded the matter to the
          Commercial Court for fresh consideration, restoring the Suit to
          its original number and directing it to adjudicate the pending
          applications concurrently while issuing separate orders for each.
     4.6. Subsequently, on 03.05.2024, in compliance with the High
          Court’s directions, the Commercial Court reconsidered the
          aforementioned applications. By way of separate orders, it
          allowed LNG Express’ application under Order VII Rule 11 of the
          CPC, resulting in the rejection of the plaint, and consequently
          dismissed Inox’s application for ad interim injunction.
     4.7. Inox once again approached the High Court, challenging the
          Commercial Court’s orders dated 03.05.2024 through separate
          appeals. The High Court, in turn, vide the Impugned Judgment,
772                                                          [2025] 4 S.C.R.

                           Supreme Court Reports


             set aside the Commercial Court’s orders based on the following
             rationale and has issued: (i) The Commercial Court erred in
             law by presuming that the Proprietary Engineering Drawings
             qualified as a ‘design’ under Section 2(d) of the Designs Act
             and stood utilised to manufacture a product more than fifty
             times through an industrial process, thereby excluding it from
             protection under the Copyright Act; (ii) LNG Express’ application
             under Order VII, Rule 11 of the CPC was rejected, and the
             Suit was restored to its original number; (iii) Inox’s interim
             injunction application under Order XXXIX Rules 1 and 2 of the
             CPC was reinstated; and (iv) The restored interim injunction
             application was directed to be decided by the Commercial Court
             on its merits independently and as expeditiously as possible,
             preferably within eight weeks.
       4.8. Hence, the instant appeals. We may clarify at this stage that
            after reserving our judgment on 29.01.2025 and pending the
            present proceedings, the Commercial Court was permitted
            to proceed with hearing the parties on the interim application
            in accordance with the High Court’s directions. However, the
            passing of the final order was directed to remain in abeyance.

       B.    Contentions on behalf of the Appellants
5.     Mr. Shyam Divan, learned Senior Counsel appearing for Cryogas
       and LNG Express, vehemently argued that the High Court erred
       in setting aside the Commercial Court’s order dated 03.05.2024,
       which had allowed their application under Order VII Rule 11 of
       the CPC. In support of his contentions, he advanced the following
       submissions:
       (a)   Inox filed the Suit seeking protection of the Proprietary
             Engineering Drawings under the Copyright Act, alleging that
             Cryogas and LNG Express had infringed its IP rights in both the
             artistic elements of the drawings and the literary components
             detailing the processes and descriptions therein. Inox further
             sought to restrain Cryogas and LNG Express from converting
             the two-dimensional industrial drawings of cryogenic Semi-
             trailers into three-dimensional representations. However, these
             pleas ought to be outrightly rejected as they have been raised
             as an afterthought to circumvent the applicability of Section
[2025] 4 S.C.R.                                                         773

  Cryogas Equipment Private Limited v. Inox India Limited and Others


           15(2) of the Copyright Act. Admittedly, Semi-trailers can only
           be manufactured through an industrial and mechanical process.
     (b)   LNG and Cryogenic Semi-trailers worldwide are designed in
           accordance with international standard-setting bodies such as
           the American Society of Mechanical Engineers (ASME) and the
           Pressure Equipment Directive (PED). Given that these trailers
           are used for transporting cryogenic liquids, their design must
           comply with country-specific regulations, while international
           standards prescribe detailed guidelines on design parameters,
           material selection, and internal components. Accordingly, all
           relevant stakeholders, including the parties herein, adhere to
           PED stipulations and the guidelines issued by the Ministry of
           Road Transport and Highways of India.
     (c)   The Suit is barred under Section 15(2) of the Copyright Act,
           as the Proprietary Engineering Drawings, for which Inox claims
           copyright infringement, are capable of being registered under
           the Designs Act. The copyright protection for such drawings
           would cease to subsist in view of Section 15(2) of the Copyright
           Act once Semi-trailers are reproduced or manufactured more
           than fifty times through an industrial process.
     (d)   The right to protect IP in terms of the Proprietary Engineering
           Drawings would, however, be available to Inox under the
           Designs Act, provided the said drawings were registered
           under it. Furthermore, ‘Semi-trailers’ or ‘Road Vehicle Trailers’
           manufactured by Inox fall within the classification under Schedule
           III of the Designs Act, specifically Class 12-10. Consequently,
           to claim an IP infringement, Inox should have registered the
           Proprietary Engineering Drawings under the Designs Act.
     (e)   The objective of the Copyright Act is to protect artistic works
           such as paintings, sculptures, and other forms of creative
           expression for extended periods. In contrast, the Designs Act
           is intended to safeguard industrial designs for a limited duration
           to facilitate commercial exploitation. The Legislature’s intent
           was thus to provide protection for industrial designs, such as
           the Proprietary Engineering Drawings, under the Designs Act
           rather than the Copyright Act, so as to ensure that such works
           are regulated within the appropriate legal framework.
774                                                            [2025] 4 S.C.R.

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       (f)   Inox has failed to disclose in its plaint before the Commercial
             Court the number of Semi-trailers it has produced through an
             industrial process. Instead, it has engaged in strategic drafting
             by selectively revealing that it has generated revenue of Rupees
             122 crores, seemingly to circumvent the legal effect of Section
             15(2) of the Copyright Act. However, such revenue can be
             reasonably inferred to result from the production of more than
             fifty Semi-trailers, thereby triggering the bar under Section 15(2)
             of the Copyright Act. Inox cannot rely on evasive drafting to
             create a misleading impression of a valid cause of action. These
             contentions were buttressed by relying on the ratio laid down in
             decisions such as Shri Mukund Bhavan Trust and others v.
             Shrimant Chhatrapati Udayan Raje Pratapsinh Bhonsle.1
       (g)   Inox has erroneously asserted that the Proprietary Engineering
             Drawings are not capable of registration as ‘designs’ under
             Section 2(d) of the Designs Act on the ground that the products
             manufactured using these drawings lack visual appeal, as they
             pertain to the inner vessel of the Semi-trailer, which remains
             concealed. This claim ought to be rejected, as the drawings fall
             within the category of designs capable of registration under the
             Designs Act but have not been registered. Moreover, it is incorrect
             to suggest that the Semi-trailers lack visual appeal, given that the
             drawings also encompass the external shape and components
             of a Semi-trailer. In any case, the question of visual appeal is
             inherently subjective and cannot be a determinative factor for
             considering an application under Order VII Rule 11 of the CPC.
       (h)   The scope of inquiry before the Commercial Court in the Suit
             is limited to determining whether the Proprietary Engineering
             Drawings are capable of registration under the Designs Act
             and, if they have not been so registered, whether they lose
             the protection of the Copyright Act once applied to articles
             through an industrial process. The question of such drawings
             being subject to the limitations imposed by Section 15(2) of
             the Copyright Act is a pure question of law, which should be
             decided based on a prima facie appraisal of the averments in
             the plaint, without the necessity of adducing further evidence.


1   (2024) SCC OnLine SC 3844.
[2025] 4 S.C.R.                                                               775

     Cryogas Equipment Private Limited v. Inox India Limited and Others


        (i)   Lastly, Inox’s assertion that the plaint also pertains to the
              alleged theft of confidential information and trade secrets by
              Respondent Nos. 3 and 4, ought to be rejected at the threshold.
              The plaint contains no specific prayers regarding such claims,
              and any alleged breach of this nature arising from a common
              law right would be actionable before a civil court rather than a
              Commercial Court, which inter alia may only adjudicate matters
              related to IP rights. Moreover, a perusal of the plaint reveals that
              the Suit has been filed for copyright infringement under Section
              62(2) of the Copyright Act, which falls within the jurisdiction of
              the Commercial Court.

        C.    Contentions on behalf of Respondent No. 1
6.      Mr. Chander M. Lall and Mr. J. Sai Deepak, Learned Senior Counsels
        representing Inox, refuted the claims put forth by Cryogas and LNG
        Express and instead adduced the following submissions:
        (a)   The Suit pertains to two distinct categories of copyright: the
              Proprietary Engineering Drawings and the Literary Work.
              Consequently, the reliefs sought in the Suit are also distinct
              in nature. As a result, each IP claim should be assessed
              independently, with due consideration given to its unique
              characteristics and legal implications.
        (b)   Industrial drawings, such as the Proprietary Engineering
              Drawings, fall within the definition of ‘artistic works’ under Section
              2(c) of the Copyright Act. An artistic work can be denied copyright
              protection by invoking Section 15(2) of the Copyright Act only
              if such work is either registered or capable of being registered
              under the Designs Act. Moreover, the Proprietary Engineering
              Drawings pertain to the internal components of a cryogenic
              container and are excluded by the exception under Section
              2 of the Designs Act, which states that a registrable design
              ‘does not include any mode or principle of construction or
              anything which is in substance a mere mechanical device’.
              Furthermore, these drawings lack visual appeal, a necessary
              criterion for a ‘design’ under the Designs Act. Accordingly,
              Section 15(2) of the Copyright Act is inapplicable, and the
              Proprietary Engineering Drawings cannot be deemed capable
              of registration under the Designs Act.
776                                                            [2025] 4 S.C.R.

                           Supreme Court Reports


       (c)   The Literary Work in question is not subject to the bar under
             Section 15(2) of the Copyright Act. The Commercial Court erred
             in concluding that the Literary Work, including details, processes,
             and descriptions, is merely a reference to the Proprietary
             Engineering Drawings and the information contained therein.
             Such an interpretation incorrectly assumes that all the rights
             asserted in the plaint are intrinsically linked to the Proprietary
             Engineering Drawings. This approach is inconsistent with
             fundamental principles of copyright law, which recognise that
             each category of copyright protection is distinct and must be
             assessed independently.
       (d)   The infringement arising from the theft of confidential information
             constitutes a distinct legal issue and is not subject to the
             limitations imposed by Section 15(2) of the Copyright Act.
             Courts have consistently recognised that confidential information
             is a separate legal concept possessing independent value,
             warranting protection under common law principles. Accordingly,
             the misappropriation of confidential information should be
             assessed on its own merits.
       (e)   The issues concerning the three IPs in question are distinct and
             separate, a fact that the Commercial Court failed to appreciate
             while allowing LNG Express’ application under Order VII Rule
             11 of the CPC. The Commercial Court proceeded under the
             erroneous assumption that an ‘original artistic work’ automatically
             loses protection under the Copyright Act once it is applied to
             an article through an industrial process. The Commercial Court
             further failed to consider the true meaning and scope of ‘design’
             under the Designs Act. That apart, the claims concerning the
             infringement of the Literary Work and the theft of confidential
             information fall outside the purview of Order VII Rule 11 of the
             CPC and could not have been summarily rejected.
       (f)   The determination of whether the original artistic work qualifies
             as a ‘design capable of being registered’ under the Designs Act
             cannot be made while deciding an application under Order VII
             Rule 11 of the CPC. At this stage, the jurisdiction of the court is
             limited to conducting a prima facie inquiry to ascertain whether
             or not the plaint discloses a cause of action. The issue at hand
             involves a mixed question of law and fact and thus requires
[2025] 4 S.C.R.                                                              777

     Cryogas Equipment Private Limited v. Inox India Limited and Others


              a full trial wherein both parties can present evidence before a
              conclusive finding can be drawn.
        (g)   Inox, in its Suit, has also sought an injunction restraining Cryogas,
              LNG Express, and others from converting the two-dimensional
              Proprietary Engineering Drawings into three-dimensional objects.
              The Local Commissioner’s Report dated 26.09.2018 provides
              substantive evidence in this regard, revealing that several files
              containing Inox’s proprietary materials—including inspection
              reports, general test plans, shop weld plans, quality control
              programs, and drawing design calculations—were found at the
              premises of LNG Express and Cryogas. These documents pertain
              to the quality control processes of Inox’s proprietary materials and
              products, further substantiating the claim of unauthorised use.

        D.    Issues
7.      Having perused the factual matrix and on consideration of the
        rival contentions advanced by the parties, it is patently clear that
        the singular issue which invites our analysis, revolves around
        the maintainability of the application under Order VII Rule 11 of
        the CPC. However, given the abstruse nature of the underlying
        dispute, stemming from a fundamental dissonance in the parties’
        interpretations of the applicability of the Designs Act, we deem it
        appropriate to adjudicate and analyse the following issues:
        i.    What are the parameters for determining whether a work or an
              article falls within the limitation set out in Section 15(2) of the
              Copyright Act, thereby classifying it as a ‘design’ under Section
              2(d) of the Designs Act?
        ii.   Whether the High Court erred in setting aside the order of the
              Commercial Court and thus rejecting the application under
              Order VII Rule 11 of the CPC?

        E.    Analysis

        E.1 Issue No. 1: The parameters for determining whether a work
        or an article falls within the limitation set out in Section 15(2)
        of the Copyright Act
8.      We may clarify at the very outset that the discussion herein would
        be limited to determining the distinction between a ‘design’ under
778                                                          [2025] 4 S.C.R.

                          Supreme Court Reports


       the Designs Act and an ‘artistic work’ that might warrant copyright
       protection. To be precise, we are not, either expressly or implicitly,
       addressing the merits of the case. This examination has been
       prompted by the intrinsic disagreement posited by the parties in
       terms of the applicability of the Designs Act. Such a divergence in
       interpretation brings to light an interesting juxtaposition and perhaps
       a grey area which has not been seemingly addressed by this Court in
       the past. In this context, we find it appropriate to bridge this gap by
       conducting a conclusive analysis through a two-pronged approach:
       (i) examining the current IP statutory framework in India; and (ii)
       evaluating the criteria considered and tests adopted across various
       jurisdictions. Finally, based on these two aspects, we seek to set out
       (iii) the definitive factors to be considered to ascertain whether an
       article ought to be conferred protection under the Copyright Act or the
       Designs Act within the confines of Section 15(2) of the Copyright Act.

       E.1.1. The current IP statutory framework
9.     IP rights are fundamentally aimed at excluding or preventing others
       from possessing, using, or alienating the protected IP, thereby
       enabling the owner to benefit from the product of their intellect.
       In India, IP rights encompass a broad spectrum of intangible
       properties, including Patents, Trademarks, Copyrights, Designs, and
       Geographical Indications, each governed and protected by distinct
       Statutes. These legislations enable creators or inventors to earn
       recognition and receive financial benefits from their innovations in a
       manner which balances them with public interest. However, for the
       purposes of the present analysis, our examination will be confined
       to the intersection between the Copyright Act and the Designs Act.
10. In India, copyright is governed by the Copyright Act, 1957, which was
    enacted to safeguard the rights of copyright owners, including for
    commercial exploitation and to encourage the creation of innovative
    works. Copyright is a statutory and negative right, preventing
    unauthorised copying of copyrighted material. Under Section 14 of
    the Act, copyright owners are granted a bundle of exclusive rights,
    including the right to reproduce, issue copies, perform in public, and
    create translations and adaptations.
11. The term ‘copyright’ has been defined under Section 14 of the
    Copyright Act to mean “the exclusive right subject to the provisions
    of the Act, to do or authorise the doing of any of the following acts
[2025] 4 S.C.R.                                                            779

  Cryogas Equipment Private Limited v. Inox India Limited and Others


     in respect of a work or any substantial part thereof, namely…”
     It espouses the protection of works in terms of: (i) literary, dramatic
     or musical work, not being a computer programme; (ii) a computer
     programme; (iii) an artistic work; (iv) a cinematograph film; and
     (v) a sound recording. To put it in more clear terms, the language
     employed in the provision reads as follows:
           “14. Meaning of Copyright—For the purposes of this
           Act, “copyright” means the exclusive right subject to the
           provisions of this Act, to do or authorise the doing of any
           of the following acts in respect of a work or any substantial
           part thereof, namely:—
           (a) in the case of a literary, dramatic or musical work, not
           being a computer programme,—
           (i) to reproduce the work in any material form including the
           storing of it in any medium by electronic means;
           (ii) to issue copies of the work to the public not being
           copies already in circulation;
           (iii) to perform the work in public, or communicate it to
           the public;
           (iv) to make any cinematograph film or sound recording
           in respect of the work;
           (v) to make any translation of the work;
           (vi) to make any adaptation of the work;
           (vii) to do, in relation to a translation or an adaptation of
           the work, any of the acts specified in relation to the work
           in sub-clauses (i) to (vi);
           (b) in the case of a computer programme,—
           (i) to do any of the acts specified in Clause (a);
           (ii) to sell or give on commercial rental or offer for sale or
           for commercial rental any copy of the computer programme:
           Provided that such commercial rental does not apply in
           respect of computer programmes where the programme
           itself is not the essential object of the rental.
           (c) in the case of an artistic work,—
           (i) to reproduce the work in any material form including—
           (A) the storing of it in any medium by electronic or other
           means; or
780                                                           [2025] 4 S.C.R.

                         Supreme Court Reports


          (B) depiction in three-dimensions of a two-dimensional
          work; or
          (C) depiction in two-dimensions of a three-dimensional work;
          (ii) to communicate the work to the public;
          (iii) to issue copies of the work to the public not being
          copies already in circulation;
          (iv) to include the work in any cinematograph film;
          (v) to make any adaptation of the work;
          (vi) to do in relation to adaptation of the work any of the acts
          specified in relation to the work in sub-clauses (i) to (iv);
          (d) in the case of a cinematograph film,—
          (i) to make a copy of the film, including— (A) a photograph
          of any image forming part thereof; or (B) storing of it in
          any medium by electronic or other means;
          (ii) to sell or give on commercial rental or offer for sale or
          for such rental, any copy of the film;
          (iii) to communicate the film to the public;
          (e) in the case of a sound recording,—
          (i) to make any other sound recording embodying it
          including storing of it in any medium by electronic or other
          means;
          (ii) to sell or give on commercial rental or offer for sale or
          for such rental, any copy of the sound recording;
          (iii) to communicate the sound recording to the public.”
12. The enactment of the Designs Act in 2000, established a distinct
    protection regime for designs in India. The Designs Act seeks to
    minimise overlap with the Copyright Act by defining the term ‘design’
    under Section 2(d) as “only the features of shape, configuration,
    pattern, ornament or composition of lines or colours applied
    to any article whether in two dimensional or three dimensional
    or in both forms, by any industrial process or means, whether
    manual, mechanical or chemical, separate or combined, which
    in the finished article appeal to and are judged solely by the
    eye but does not include any mode or principle of construction
    or anything which is in substance a mere mechanical device,
    and does not include any trade mark as defined in clause (v) of
    sub-section (1) of section 2 of the Trade and Merchandise Marks
    Act, 1958 (43 of 1958) or property mark as defined in section
    479 of the Indian Penal Code (45 of 1860) or any artistic work
[2025] 4 S.C.R.                                                          781

  Cryogas Equipment Private Limited v. Inox India Limited and Others


     as defined in clause (c) of section 2 of the Copyright Act, 1957
     (14 of 1957).” This aspect of IP thus focuses on the utility of work,
     as well as its visual appeal and aesthetic, making it an important
     factor in determining consumer preference or commercial viability.
13. It must be borne in mind that Section 2(d) of the Design Act,
    reproduced above, expressly bars the inclusion of ‘artistic works’
    encapsulated under Section 2(c) of the Copyright Act. To further
    illuminate, the expression ‘artistic work’ has been defined in the
    Copyright Act which reads as follows:
           “2. Interpretation.— In this Act, unless the context
           otherwise requires—
           ….
           (c) “artistic work” means,—
           (i) a painting, a sculpture, a drawing (including a diagram,
           map, chart or plan), an engraving or a photograph, whether
           or not any such work possesses artistic quality;
           (ii) a work of architecture; and
           (iii) any other work of artistic craftsmanship;”
14. Despite the clear language employed in these provisions, a small
    vantage point of intersection exists wherein a ‘design’ shares
    commonalities with ‘artistic works’ such as paintings or drawings, that
    may be accorded copyright protection. This similitude is aptly illustrated
    in the Venn Diagram below. We may, however, hasten to caveat that
    this is only an illustrative image and is not exhaustive in nature.
782                                                        [2025] 4 S.C.R.

                         Supreme Court Reports


15. This penumbra seems to have been synopsized and, to some extent,
    amplified in Section 15(2) of the Copyright Act. We say so, for the
    reason that the provision itself enumerates that “copyright in any
    design, which is capable of being registered under the Designs
    Act, 2000 but which has not been so registered, shall cease as
    soon as any article to which the design has been applied has been
    reproduced more than fifty times by an industrial process by the
    owner of the copyright or, with his licence, by any other person.”
16. We must also bear in mind that Section 15(1) of the Copyright
    Act explicitly states that a ‘copyright’ shall not subsist in a ‘design’
    protected under the Designs Act. This provision thus establishes
    that once a ‘design’ is registered, any copyright protection ceases
    to exist. Whereas, as already recapitulated, Section 15(2) of the
    Copyright Act clarifies that any design which is capable of being
    registered under the Designs Act, if not registered, then the copyright
    protection in such design would terminate once that design is applied
    to any article and reproduced in excess of 50 times by an industrial
    process, either by the owner or a licensee.
17. The lines perhaps seem blurred owing to the inherent overlap between
    copyrightable artistic works and designs. To put it more simply, there
    may be some designs that could be entitled to copyright protection,
    and conversely, there can be certain artistic works which lose their
    copyright protection when industrially applied. This perplexity is
    further augmented on account of there being an express interdiction
    on designs from seeking any long-term copyright protection.

       E.1.2. Parameters adopted across various jurisdictions
18. To resolve this legal conundrum, it is essential to establish clear
    parameters distinguishing works eligible for protection under the
    Designs Act versus the Copyright Act. In this vein, we turn to
    established jurisprudence and comparative legal frameworks, and
    have thus examined: (i) the approach adopted by Courts in India;
    (ii) the factors employed by courts in the United States of America
    (US); and (iii) broader international principles that provide guidance
    on the interplay between copyright and design protection.
19. By synthesising these perspectives, we aim to formulate a definitive
    test that will provide clarity on the scope of protection afforded under
    the respective Statutes.
[2025] 4 S.C.R.                                                            783

    Cryogas Equipment Private Limited v. Inox India Limited and Others


       E.1.2.1 Approach adopted by Courts in India
20. The test applied by various High Courts in India to resolve the
    intersection between the Copyright Act and the Designs Act can be
    categorised into two distinct approaches:
       i.    Interpretation of Section 15(2) of the Copyright Act: This involves
             pulling back the curtains on the overlaps or intersections
             between the two Statutes and ascertaining whether an article
             would qualify protection under the Copyright Act for being an
             ‘original artistic work’ or whether it would earn protection under
             the Designs Act.
       ii.   Examination of the ‘Functional Utility’ of the Article: This
             requires an assessment as to whether the article serves a
             functional purpose beyond mere artistic expression. If the
             primary characteristic of the work is its functional utility rather
             than aesthetic appeal, it would not qualify to seek protection
             under the Designs Act.

       E.1.2.1.1 Interpreting Section 15(2) of the Copyright Act
21. It has already been explained in paragraphs 16 and 17 of this
    judgement, that a ‘design’ defined under Section 2(d) of the Designs
    Act cannot be afforded protection by the Copyright Act under the guise
    of it being an ‘artistic work’. While there obviously seems to be a narrow
    intersection between ‘artistic works’ and ‘designs’, particularly in the
    case of paintings, sculptures or drawings, Section 15(2) attempts to
    obfuscate these overlaps and create a marked distinction so as to
    prevent any unintended disconcertment. The crux of the issue thus
    lies in correctly classifying an article as either a ‘design’ under the
    Designs Act or an ‘artistic work’ under the Copyright Act.
22. This interface between the two legislations was addressed extensively
    by the Delhi High Court in Microfibres Inc v. Girdhar,2 where the
    dispute concerned the copyright infringement in the manufacture and
    sale of certain patterns of upholstery fabric by the defendant therein.
    The plaintiff, an American company, claimed exclusive rights to the
    drawings applied on the fabric, stating that they had sought copyright
    registration for the same and sought damages from the defendant.


2    2006 SCC OnLine Del 60.
784                                                          [2025] 4 S.C.R.

                               Supreme Court Reports


23. The Delhi High Court denied the plaintiff any protection under the
    Copyright Act. It based its decision on the following definitive factors:
    (i) the plaintiff’s work is not a piece of art in itself in the form of a
    painting, despite there being labour and innovativeness applied to
    put a particular ‘configuration’ in place. This configuration comprises
    of motifs and designs, which by themselves are not original; (ii) The
    object of such an arrangement was to put them to industrial use and
    does not have any utility or independent existence of itself; (iii) Fabric
    designs on textile goods have been classified as proper subject matter
    of design protection by inclusion under Class 5 of the Design Rules,
    2001; (iv) Legislative intent is also to be kept in mind, which is to
    protect the creator of the work for a certain period for commercial
    exploitation. Protection under the Copyright Act is for the lifetime of
    the author and an additional period of sixty years, which is not so
    in the case of the Designs Act, where the period is much lesser; (v)
    ‘Artistic work’ defined under Section 2(c) of the Copyright Act has
    been excluded from the definition of ‘design’ under Section 2(d) of
    the Designs Act to exclude for instance, works such as the painting
    of M.F. Hussain; (vi) It is apparent that it is the Designs Act which
    would give protection to the plaintiff in this case and not the Copyright
    Act, as the work in question cannot be labelled as an ‘artistic work’.
24. The Delhi High Court followed and affirmed the ratio in Microfibres
    I (supra) in subsequent judgements, such as in Dart Industries Inc
    and another v. Techno Plast and others,3 where the controversy
    concerned the plaintiffs, who were manufactures of ‘Tupperware’
    products, alleging that the defendants had infringed their copyright
    and design rights by producing strikingly similar products. The High
    Court held that no copyright protection would subsist once a design
    had been registered under the Design Act. That was a case concerning
    product drawings meant to create the ultimate product design, for
    which the copyright claim in the said drawings was rejected.
25. The High Court in this context further enunciated as follows:
            “44. No doubt, the plaintiff has tried to argue that for
            creating the same designs, the defendant would have
            applied the technique of ‘reverse engineering’ inasmuch
            as striking resemblance to the Tupperware Products could


3   2007 SCC OnLine Del 892.
[2025] 4 S.C.R.                                                          785

  Cryogas Equipment Private Limited v. Inox India Limited and Others


           have been achieved by the defendants by circumventing
           the tedious and lengthy process used for manufacture of
           the Tupperware Products by using computer techniques
           possibly by 2D or 3D scanning. This is a matter which
           would require evidence. May be on the basis of evidence
           led ultimately plaintiff is successful in showing that there
           is a copyright in the product drawings and the defendants
           have copied the said drawings thereby violating the
           copyright rights in creating their own products striking
           similar to the Tupperware Products. However, prima
           facie, it seems that once the drawings are made for
           creating the ultimate product design, the copyright
           in the said drawings cannot be claimed under the
           Copyright Act. May be this is the reason that Section
           15 of the Copyright Act provides that once a design
           is registered under the Designs Act, copyright therein
           shall not subsist. Such a copyright in any design
           ceases even when any article to which the design
           has been applied has been reproduced more than 50
           times by an industrial process by the owner of the
           copyright. The underlying message is that copyright
           in an industrial design is governed by the Designs Act,
           2000. If a design is registered under that Act it is not
           legible for protection under the Copyright Act. In such
           cases after the design is registered under the Designs Act,
           the protection given is not copyright protection but a true
           monopoly based on statute inasmuch as such designs were
           never protected by the common law. Exception may be in
           those cases where copyright had come into existence
           in respect of artistic drawings and subsequently
           those drawings were used as models or patterns to
           be multiplied by any industrial process. There, if the
           drawings became capable of registration as a design it
           would not result in copyright being fortified [See Warner
           Brothers v. Roadrunner, 1988 FSR 292]. However, if the
           intended industrial use of the work was contemporaneous
           with its coming into existence, Section 15 of the Copyright
           Act would apply. I may hasten to clarify that it is not
           suggested that if any design is registered, copyright under
           no circumstance exist in the drawings. Section 15 lays
786                                                         [2025] 4 S.C.R.

                                Supreme Court Reports


            down that on registration of a design under the Designs
            Act, the copyright shall not subsist in that design and not
            in the drawings. Therefore, it is possible that when the
            moulded plastic article of novel shape is made from a
            working drawing, as in the instant case, the drawing may
            qualify as an original work entitled to copyright protection
            and, at the same time, a registered design for the shape
            of the article would be protected under the Designs Act.
            If an unauthorised copy is made of the article, it may
            constitute an indirect copy of the drawing and therefore
            may infringe the copyright.”
                                                   [Emphasis supplied]

26. Similarly, in Mattel, Inc v. Jayant Agarwalla,4 the plaintiff Mattel
    alleged that the defendant had infringed their copyright by copying
    the design of their board game and creating an electronic game
    called ‘Scrabulous’. Mattel further argued that all versions of their
    game, since 1932, qualified as ‘artistic works’ under Section 2(c) of
    the Copyright Act and were protected in India under the International
    Copyright Order, 1991. On the contrary, the defendant contended
    that Mattel’s game board, being a three-dimensional article, could
    not be protected under the Copyright Act and ought to have been
    registered as a design under the Designs Act. A Learned Single Judge
    of the High Court, having duly considered the competing claims and
    relying on Microfibres I (supra), declined ad interim injunction to
    the plaintiff on the basis that its board game had been reproduced
    more than fifty times, along with its alphabetical tile pieces, without
    any registration having taken place under the Designs Act.
27. Meanwhile, Microfibres I (supra), which was being relied on in
    several such decisions, was appealed before a Division Bench of
    the Delhi High Court vide Microfibres Inc v. Girdhar and Co,5
    contending that the subject works qualified as original ‘artistic
    works’ within Section 2(c) of the Copyright Act and that no artificial
    distinction between works which are pure artistic works and those
    which are not could be drawn. In particular, the appellant questioned



4   2008 SCC Online Del 1059.
5   2009 SCC OnLine Del 1647.
[2025] 4 S.C.R.                                                         787

  Cryogas Equipment Private Limited v. Inox India Limited and Others


     the finding of the Single Judge that the artistic work in question did
     not have the ability to stand by itself as a piece of art and had no
     independent existence.
28. The Division Bench of the High Court, having considered these
    contentions, dismissed the appeal and summarised its conclusions
    as follows:
           “46. We thus summarise our findings as follows:—
           a. The definition of ‘artistic work’ has a very wide
           connotation as it is not circumscribed by any limitation of
           the work possessing any artistic quality. Even an abstract
           work, such as a few lines or curves arbitrarily drawn would
           qualify as an artistic work. It may be two-dimensional or
           three-dimensional. The artistic work may or may not have
           visual appeal.
           b. The rights to which a holder of an original artistic
           work is entitled are enumerated in Section 14(c) of the
           Copyright Act.
           c. It is the exclusive right of the holder of a Copyright
           in an original artistic work to reproduce the work in any
           material form. For example, a drawing of an imaginary
           futuristic automobile, which is an original artistic work,
           may be reproduced in three-dimensional material form
           using an element, such as a metal sheet.
           d. The design protection in case of registered works
           under the Designs Act cannot be extended to include
           the copyright protection to the works which were
           industrially produced.
           e. A perusal of the Copyright Act and the Designs Act
           and indeed the Preamble and the Statement of Objects
           and Reasons of the Designs Act makes it clear that the
           legislative intent was to grant a higher protection to pure
           original artistic works such as paintings, sculptures
           etc and lesser protection to design activity which is
           commercial in nature. The legislative intent is, thus,
           clear that the protection accorded to a work which
           is commercial in nature is lesser than and not to be
           equated with the protection granted to a work of pure art.
788                                                       [2025] 4 S.C.R.

                       Supreme Court Reports


         f. The original paintings/artistic works which may be
         used to industrially produce the designed article would
         continue to fall within the meaning of the artistic work
         defined under Section 2(c) of the Copyright Act, 1957
         and would be entitled to the full period of copyright
         protection as evident from the definition of the design
         under Section 2(d) of the Designs Act. However, the
         intention of producing the artistic work is not relevant.
         g. This is precisely why the Legislature not only limited
         the protection by mandating that the copyright shall cease
         under the Copyright Act in a registered design but in
         addition, also deprived copyright protection to designs
         capable of being registered under the Designs Act, but
         not so registered, as soon as the concerned design
         had been applied more than 50 times by industrial
         process by the owner of the copyright or his licensee.
         h. In the original work of art, copyright would exist and the
         author/holder would continue enjoying the longer protection
         granted under the Copyright Act in respect of the original
         artistic work per se.
         i. If the design is registered under the Designs Act,
         the Design would lose its copyright protection under
         the Copyright Act. If it is a design registrable under
         the Designs Act but has not so been registered, the
         Design would continue to enjoy copyright protection
         under the Act so long as the threshold limit of its
         application on an article by an industrial process for
         more than 50 times is reached. But once that limit is
         crossed, it would lose its copyright protection under the
         Copyright Act. This interpretation would harmonise the
         Copyright and the Designs Act in accordance with the
         legislative intent.
         47. Thus, we find no merit in this appeal and the same is
         dismissed but with no order as to costs.”
                                                [Emphasis supplied]

29. The Delhi High Court’s view in Microfibres II (supra) has found
    favour with other High Courts, also, such as the Bombay High Court
[2025] 4 S.C.R.                                                             789

    Cryogas Equipment Private Limited v. Inox India Limited and Others


       in Pranda Jewelry Pvt. Ltd. v. Aarya 24 KT,6 and the Kerala High
       Court in Fun World and Resorts (India) Pvt. Ltd. v. Nimil KK.7

       E.1.2.1.2 The aspect of Functional Utility
30. In order to fully appreciate the scope of ‘functional utility’, it is
    imperative first to have a complete grasp on the objects and purpose
    of the Designs Act. In this regard, we may usefully refer to a decision
    of this Court in Bharat Glass Tube Ltd. v. Gopal Glass Works Ltd.,
    which laid down as follows:8
             “26. In fact, the sole purpose of this Act is protection
             of the intellectual property right of the original design
             for a period of ten years or whatever further period
             extendable. The object behind this enactment is to
             benefit the person for his research and labour put in
             by him to evolve the new and original design. This is
             the sole aim of enacting this Act. It has also laid down
             that if design is not new or original or published previously
             then such design should not be registered. It further lays
             down that if it has been disclosed to the public anywhere
             in India or in any other country by publication in tangible
             form or by use or in any other way prior to the filing date,
             or where applicable, the priority date of the application for
             registration then such design will not be registered or if
             it is found that it is not significantly distinguishable from
             known designs or combination of known designs, then
             such designs shall not be registered. It also provides that
             registration can be cancelled under Section 19 of the Act
             if proper application is filed before the competent authority
             i.e. the Controller that the design has been previously
             registered in India or published in India or in any other
             country prior to the date of registration, or that the design
             is not a new or original design or that the design is not
             registerable under this Act or that it is not a design as
             defined in Clause (d) of Section 2. The Controller after



6    2015 SCC OnLine Bom 958.
7    2020 SCC OnLine Ker 219.
8    (2008) 10 SCC 657.
790                                                          [2025] 4 S.C.R.

                          Supreme Court Reports


            hearing both the parties if satisfied that the design is not
            new or original or that it has already been registered
            or if it is not registerable, cancel such registration and
            aggrieved against that order, appeal shall lie to the High
            Court. These prohibitions have been engrafted so as
            to protect the original person who has designed a new
            one by virtue of his own efforts by researching for a long
            time. The new and original design when registered
            is for a period of ten years. Such original design
            which is new and which has not been available in the
            country or has not been previously registered or has
            not been published in India or in any other country
            prior to the date of registration shall be protected
            for a period of ten years. therefore, it is in the nature
            of protection of the intellectual property right. This
            was the purpose as is evident from the statement of
            objects and reasons and from various provisions of
            the Act. In this background, we have to examine whether
            the design which was registered on the application filed
            by the respondent herein can be cancelled or not on the
            basis of the application filed by the appellant…”
                                                  [Emphasis supplied]

31. This Court further acknowledged that the term ‘design’ had been
    extensively interpreted by English Courts, considering that the
    expression was pari materia with the definition consecrated in the
    Indian context. This alignment is particularly relevant as English
    jurisprudence has long employed the ‘functional utility’ test to ascertain
    whether a work would be entitled to protection under English law,
    especially under the English Registered Designs Act, 1949—a test
    subsequently adopted by some of the High Courts in India.
32. The question of ‘functional utility’ in the context of design was first
    addressed by the House of Lords in Amp v. Utilux, wherein the
    dispute between the parties involved the infringement of designs
    relating to a single electrical terminal and to a number of terminals
    joined together in line.9 The controversy therein pertained to whether


9   [1972] RPC 103.
[2025] 4 S.C.R.                                                           791

     Cryogas Equipment Private Limited v. Inox India Limited and Others


        the features or the shape of the terminals were solely dictated by
        function or if they appealed to the eye. Lord Reid (for himself and
        Lord Donovan) opined that:
              “There must be a blend of industrial efficiency with
              visual appeal. If the shape is not there to appeal to
              the eye but solely to make the article work then this
              provision excludes it from the statutory protection.
              I would add to avoid misunderstanding that no doubt in
              the great majority of cases which the Act will protect the
              designer had visual appeal in mind when composing his
              design. But it could well be that a designer who only
              thought of practical efficiency in fact has produced
              a design which does appeal to the eye. He would not
              be denied protection because that was not his object
              when he composed the design.”
                                                   [Emphasis supplied]

33. This decision was the first to draw a distinction in designs between
    ‘features’ and ‘shapes’ that were construed to be ‘aesthetically
    appealing’ to the eye of the consumer, in comparison to features
    that existed merely for ‘purely functional purposes’. This demarcation
    based upon functional utility was further relied upon by the Judicial
    Committee of the Privy Council while interpreting the English
    Registered Designs Act, 1949, in Interlego A.G v. Tyco Industries
    Inc and others.10 This line of distinction on the basis of features
    being eye-appealing or merely due to functional utility, as developed
    by English courts, has been subsequently employed by some of the
    High courts in India.
34. The Delhi High Court first addressed the issue of functional utility in
    Smithkline Beecham Plc. v. Hindustan Lever Ltd,11 where the plaintiff
    sought a declaration of ownership over toothbrush designs to prevent
    the defendants from infringing upon them. The Single Judge examined
    whether the ‘S’-shaped design of the toothbrush was primarily functional
    or aesthetic. Applying the functional utility test, the court determined



10    [1988] UKPC 3.
11    1999 SCC OnLine Del 965.
792                                                                             [2025] 4 S.C.R.

                                 Supreme Court Reports


       that while the design offered some aesthetic appeal to consumers, its
       primary purpose was functional. As a result, the High Court ruled in
       favour of the defendant and denied design protection to the plaintiff.
35. The Madras High Court thereafter applied the functional utility test
    in Tractors and Farm Equipment Ltd. v. Standard Combines
    Pvt. Ltd.,12 following the precedent set in Smithkline (supra). The
    case involved allegations of infringement and passing off relating to
    certain tractor models, parts, and fittings. In reviewing whether the
    Trial Court was correct in rejecting the plaint, the High Court held
    that serious questions remained regarding whether the specific parts
    or shapes were functional or aesthetic. Additionally, it needed to be
    determined whether the original drawings warranted protection under
    the Designs Act or the Copyright Act. Consequently, the Madras High
    Court ruled that the plaint could not be rejected at the threshold.
    This decision by the Single Judge thereafter came to be reaffirmed
    by a Division Bench of the Madras High Court in 2014.13
36. The Smithkline (supra) decision itself was reaffirmed by a Full Bench
    of the Delhi High Court in Mohan Lal v. Sona Paint and Hardwares.14
    This case involved a dispute over the infringement of novel and
    distinguishable mirror frames and addressed the broader legal question
    of whether a passing off action could be combined with a claim under
    the Designs Act, although not relevant to the present discussion.
37. The Bombay High Court also commented on the standard of the
    functional utility test in Whirlpool of India Ltd. v. Videocon Industries
    Ltd.,15 wherein it has put forth that the ‘conundrum of functionality
    may be resolved by taking note of the fact that it would make no
    impact on the article’s functionality, if the function could be performed
    by the use of another shape as well’.
38. Interestingly, the Bombay High Court, in Photoquip India Ltd. v.
    Delhi Photo Store,16 appears to have adopted a conjunctive approach
    by interpreting Section 15(2) of the Copyright Act alongside the test
    of functional utility. While adjudicating the plaintiff’s claim for an


12   2012 SCC OnLine Mad 5470.
13   Standard Corporation India Ltd. v. Tractors and Farm Equipment Ltd, 2014 SCC OnLine Mad 850.
14   2013 SCC OnLine Del 1980.
15   2014 SCC OnLine Bom 565.
16   2014 SCC OnLine Bom 1088.
[2025] 4 S.C.R.                                                                 793

     Cryogas Equipment Private Limited v. Inox India Limited and Others


        injunction to restrain the defendant from infringing its copyright in
        artistic works, a Learned Single Judge succinctly held that:
              “29. What is that to which Section 15(2) refers? It speaks
              only of a ‘design’, and not an ‘artistic work’. It has no
              application to the latter, but only to the former. Section
              2(d) of the Designs Act makes this plain, for it excludes
              from the definition of design all ‘artistic works’.
              Therefore, the Defendants’ argument must necessarily be
              that the Plaintiff’s drawings are not artistic works at all, but
              are designs. Following the Interlego decision, Mrs. Justice
              Dalvi held in Indiana Gratings that to be registrable under
              the Designs Act (even if not actually registered), the shape
              or configuration of the whole article is to be considered, for
              it is this of which a commercial monopoly is sought. The
              design and the article must, of necessity, be taken as
              a whole. If there is a part of it that is functional, that
              stands excluded from the definition of a design. The
              exclusionary intent extends only to that which has
              no appeal but describes or portrays purely functional
              features. If it does, it is not a ‘design’. It may then enjoy
              copyright as an ‘artistic work’. This inclusion under the
              Copyright Act is not to be confused, as regrettably Mr.
              Grover does, with the question of ‘visual appeal’ for the
              purposes of the Designs Act. As in Indiana Gratings, the
              present Plaintiff’s drawings are skilled diagrams that do not
              reflect any finished products, let alone a finished product of
              any ‘visual’ or aesthetic appeal. They only serve a functional
              purpose. They are not, therefore, designs.”
                                                       [Emphasis supplied]

39. No decision of any other High Court or this Court expressing a
    discordant view has been cited before us. We thus safely proceed on
    the premise that the test of functional utility is integral to determining
    whether an article or work qualifies for protection under the Designs
    Act and its continued relevance, as recently held by the Delhi High
    Court in TTK Prestige Ltd. v. KCM Appliances Pvt. Ltd.17


17    2023 SCC OnLine Del 2129.
794                                                                      [2025] 4 S.C.R.

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       E.1.2.2 Factors employed by courts in the US
40. The analysis of ‘functional utility’ for determining eligibility for design
    protection closely parallels the ‘conceptual separability’ standard
    established by American Courts. Under this standard, courts assess
    whether the artistic aspect of an article can be distinguished from
    its utilitarian or functional component. This approach aligns with
    the tests applied by Indian High Courts, which exclude functional
    or utilitarian subject matter from protection under the Designs Act.
41. While American jurisprudence does not treat the distinction between
    artistic works and designs in the same manner as Indian law, there
    are notable similarities in the parameters used to separate the
    functional aspects of a work from its artistic or aesthetic features
    and thus conclusively determine whether a work is entitled statutory
    protection. One of the first such cases employing an approach of
    separating artistic expression from a utilitarian article was Mazer v.
    Stein.18 The US Supreme Court in that dispute examined the validity
    of copyrights granted to the respondents for statuettes of male and
    female dancing figures made of semivitreous china. The Court ruled
    that while the copyright owners could not prevent others from using
    statuettes of human figures in table lamps, they could prohibit direct
    copying of their specific copyrighted statuettes.
42. Though the court in Mazer (supra) did not explicitly use the term
    ‘conceptual separability’, but that was seemingly the foundation
    to bifurcate an artistic expression from a utilitarian article. In fact,
    the position of law developed in Mazer (supra) was subsequently
    incorporated by the US Congress in the Copyright Act, 1976, which
    postulated that:
              “Pictorial, graphic, and sculptural works” include two-
              dimensional and three-dimensional works of fine, graphic,
              and applied art, photographs, prints and art reproductions,
              maps, globes, charts, diagrams, models, and technical
              drawings, including architectural plans. Such works shall
              include works of artistic craftsmanship insofar as their
              form but not their mechanical or utilitarian aspects
              are concerned; the design of a useful article, as defined


18   Mazer v. Stein, 347 U.S. 201, 74 S. Ct. 460, 98 L. Ed. 630 (1954).
[2025] 4 S.C.R.                                                                              795

     Cryogas Equipment Private Limited v. Inox India Limited and Others


                in this section, shall be considered a pictorial, graphic, or
                sculptural work only if, and only to the extent that, such
                design incorporates pictorial, graphic, or sculptural features
                that can be identified separately from, and are capable
                of existing independently of, the utilitarian aspects of the
                article.”
                “A “useful article” is an article having an intrinsic
                utilitarian function that is not merely to portray the
                appearance of the article or to convey information.
                An article that is normally a part of a useful article is
                considered a “useful article”.”
                                                                        [Emphasis supplied]

43. With the insertion of the notion of ‘conceptual separability’ into the
    statutory framework, a phase of continuous evolution was undergone
    to define the scope and extent of this concept. For instance, in Esquire
    Inc v. Ringer,19 the Court of Appeals for the District of Columbia
    Circuit assessed the House Report of the 1976 Act and enumerated
    that ‘the overall design or configuration of a utilitarian object, even
    if it is determined by aesthetic as well as functional considerations,
    is not eligible for copyright’.
44. Thereafter, while adjudicating Kieselstein-Cord v. Accessories by
    Peral Inc,20 the Court of Appeals for the Second Circuit qualified that
    the test of ‘conceptual separability’ is not a brightline rule but involves
    a degree of subjectivity. It introduced a primary-subsidiary approach,
    surmising that the test of ‘conceptual separability’ would be satisfied if
    the artistic features of a design are ‘primary’ to its subsidiary utilitarian
    function. However, in Carol Barnhart Inc. v. Economy Cover Corp,
    the Second Circuit further held that ‘conceptual separability’ would
    be met if the artistic features of the design were not essential to the
    article’s utilitarian function.21
45. During this time, Circuit Courts relied on the works of scholars and
    academicians to conclusively put forth that considering the dominant
    characteristic of industrial design is the non-aesthetic and utilitarian


19    Esquire, Inc. v. Ringer, 591 F.2d 796 (D.C. Cir. 1978).
20    Kieselstein-Cord v. Accessories by Pearl, Inc., 632 F.2d 989 (2d Cir. 1980).
21    Carol Barnhart Inc. v. Economy Cover Corp., 773 F.2d 411 (2d Cir.1985).
796                                                                                     [2025] 4 S.C.R.

                                    Supreme Court Reports


       concerns, copyrightability ultimately should depend on the extent to
       which the work reflects artistic expression uninhibited by functional
       considerations.22 It was also laid down that a direct assessment
       needs to be conducted in this regard to exclude the general realm of
       industrial design while preserving the exclusive rights in ‘applied art’.
46. Having said that, the Fifth Circuit sought to adopt a unique
    approach and followed the ‘Likelihood of Marketability Approach’
    wherein conceptual separability would exist if there is a substantial
    likelihood that even if the article had no utilitarian use, it would still
    be marketable to some significant segment of the community merely
    owing to its aesthetic qualities.23 It thus seems that there was a time
    when multiple tests were applied by American Courts to determine
    the copyrightability of useful articles.
47. The US Supreme Court, resolved these inconsistencies finally in 2017,
    vide Star Athletica LLC v. Varsity Brands Inc,24 by establishing
    a clear test for the protection of features incorporated into the
    design of a useful article. It held that to be eligible for copyright
    protection, the feature would have to: (i) be perceived as a two or
    three-dimensional work of art separate from the useful article; and
    (ii) it would qualify as a protectable pictorial, graphic or sculptural
    work, either on its own or fixed in some other tangible medium or
    expression, if it were imagined separately from the useful article
    into which it is incorporated. In laying down these parameters, Star
    Athletica (supra) also abandoned the distinction created between
    ‘physical’ and ‘conceptual separability’, which had been adopted by
    some courts based on the copyright framework’s legislative history.
    The US Supreme Court thus axiomatically reconciled the various
    inconsistencies in interpretation and established a uniform standard
    for analysing ‘conceptual separability’.

       E.1.2.3 Broader International Principles
48. In our effort to definitively address the overlap between ‘design’ and
    ‘artistic works’, we have already explored their treatment by the courts



22   Brandir International, Inc. v. Cascade Pacific Lumber Co., 834 F.2d 1142 (2d Cir.1987); Pivot Point Int’l,
     Inc. v. Charlene Prods., Inc., 372 F.3d 913 (7th Cir. 2004).
23   Galiano v. Harrah’s Operating Co., 416 F.3d 411, 419 (5th Cir. 2005).
24   Star Athletica, L. L. C. v. Varsity Brands, Inc., 137 S. Ct. 1002, 197 L. Ed. 2d 354 (2017).
[2025] 4 S.C.R.                                                                                       797

     Cryogas Equipment Private Limited v. Inox India Limited and Others


        in India, as well as in the US. As an apotheosis to this sojourn, we
        also deem it essential to explore broader international principles and
        frameworks that regulate these aspects.
49. Public international law has played a crucial role in setting and
    enforcing minimum standards for IP rights among States. The earliest
    multilateral agreement in this regard was the Paris Convention for
    the Protection of Industrial Property, 1883 (Paris Convention).25
    However, while Article 5quinquies of the Paris Convention requires
    Members to establish a standard of protection for industrial designs,
    it does not explicitly provide any guidance in terms of harmonizing
    design protection with the copyright regime.
50. Subsequently, the Berne Convention for the Protection of Literary
    and Artistic Works, 1886 (Berne Convention), was established to
    set legal principles for the protection of ‘literary and artistic works’;
    across multiple jurisdictions.26 While industrial designs are mentioned
    within this broad classification, the Berne Convention primarily allows
    States to develop sui generis protection for such designs through
    their domestic laws. Notably, it does not elaborate on the overlap
    between design protection and copyright, leaving the matter largely
    to municipal legislation.
51. The most major development in the realm of multilateral treaties
    on IP rights, however, came with the adoption of the Agreement on
    Trade Related Aspects of Intellectual Property Rights, 1995 (TRIPS).27
    In comparison to the Paris Convention or the Berne Convention,
    TRIPS discusses ‘industrial designs’ in a far more comprehensive
    manner. Articles 25 and 26 of the TRIPS recognise that Members
    may employ the test of ‘functional utility’ to exclude designs that
    are built on technical or fundamental consideration and require a
    minimum protection duration of 10 years, a provision which is also
    reflected in the Designs Act in India.



25    Paris Convention for the Protection of Industrial Property of March 20, 1883, as revised at Brussels on
      December 14, 1900, at Washington on June 2, 1911, at The Hague on November 6, 1925, at London on
      June 2, 1934, at Lisbon on October 31, 1958, and at Stockholm on July 14 1967.
26    Berne Convention for the Protection of Literary and Artistic Works of September 9, 1886, completed at
      Paris on May 4, 1896, revised at Berlin on November 13, 1908, completed at Berne on March 20, 1914,
      revised at Rome on June 2, 1928, revised at Brussels on June 26, 1948, and revised at Stockholm on
      July 14, 1967 (with Protocol regarding developing countries).
27    TRIPS, 1869 U.N.T.S. 299 33 I.L.M. 1197.
798                                                        [2025] 4 S.C.R.

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52. The relevant provisions of TRIPS have been highlighted as follows:
         “Article 25 – Requirements for Protection:
         1. Members shall provide for the protection of
         independently created industrial designs that are new
         or original. Members may provide that designs are not
         new or original if they do not significantly differ from
         known designs or combinations of known design features.
         Members may provide that such protection shall not
         extend to designs dictated essentially by technical
         or functional considerations.
         2. Each Member shall ensure that requirements for securing
         protection for textile designs, in particular in regard to any
         cost, examination or publication, do not unreasonably
         impair the opportunity to seek and obtain such protection.
         Members shall be free to meet this obligation through
         industrial design law or through copyright law.
         Article 26 – Protection:
         1. The owner of a protected industrial design shall have
         the right to prevent third parties not having the owner’s
         consent from making, selling or importing articles bearing
         or embodying a design which is a copy, or substantially
         a copy, of the protected design, when such acts are
         undertaken for commercial purposes.
         2. Members may provide limited exceptions to the
         protection of industrial designs, provided that such
         exceptions do not unreasonably conflict with the
         normal exploitation of protected industrial designs and
         do not unreasonably prejudice the legitimate interests
         of the owner of the protected design, taking account
         of the legitimate interests of third parties.
         3. The duration of protection available shall amount
         to at least 10 years.”
                                                [Emphasis supplied]

53. In summation, while international treaties such as the Paris
    Convention, the Berne Convention, and TRIPS have played a pivotal
[2025] 4 S.C.R.                                                         799

  Cryogas Equipment Private Limited v. Inox India Limited and Others


     role in shaping IP protections, they do not pointedly address a unified
     framework for resolving the overlap between ‘design’ and ‘copyright’
     protection. Instead, they allow individual jurisdictions to formulate
     their own approaches. TRIPS, in particular, acknowledges the role
     of ‘functional utility’ in distinguishing protectable designs, thereby
     reinforcing the necessity of a nuanced approach at the domestic level.
     Consequently, the harmonisation of design and copyright protection
     remains largely a matter of national legislative policy.

     E.1.3. The final piece of the puzzle – the approach to be adopted
54. Having traversed the stratagem adopted across various jurisdictions
    and the key considerations that influence them, we see light at the
    end of the tunnel and deem it pertinent to outline our own definitive
    parameters that align with our existing IP right framework.
55. The expression ‘artistic work’ under Section 2(c) of the Copyright Act
    has a very wide connotation and may also include abstract work(s)
    comprising a few lines or curves arbitrarily drawn, which could be
    either two or three-dimensional. It may be clarified that such a work
    may or may not have any visual appeal. Further, the holder of such
    an artistic work is entitled to draw protection under Section 14(c) of
    the Copyright Act, including the exclusive right to reproduce such work
    in any material form. Such a reproduction may also involve depicting
    a three-dimension work of a two-dimensional work or vice versa.
56. However, if such reproduction is done by employing an industrial
    process, which may be manual, mechanical or chemical, and which
    results in a finished article that may appeal to the eye, then ‘the
    features of shape, configuration, pattern, ornament or composition of
    lines or colours applied to the article by such an industrial process’,
    constitutes ‘design’ within the meaning of Section 2(d) of the Designs
    Act.
57. It thus seems that the intent of producing an original artistic work is
    not determinative of its protection under the Copyright or Designs
    Regime. Rather, the legislative intent is to harmonise the two Statutes
    so that while an ‘artistic work’ qualifies for copyright protection, its
    commercial or industrial application—i.e., the ‘design’ derived from
    the original work for industrial production—is subject to the limitations
    set out in Section 15(2) of the Copyright Act. Such a design gets
    protected only if it is registered under the Designs Act.
800                                                         [2025] 4 S.C.R.

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58. To further simplify, the original artistic work, which initially enjoys
    copyright protection, does not lose the same merely because a
    ‘design’ derived from it has been industrially applied to create a
    product. While the expression ‘artistic work’ has a broad spectrum,
    ‘design’ is restricted to specific features such as shape, configuration,
    pattern, ornamentation, or composition of lines or colours, applied
    to an article through an industrial process, resulting in a finished
    product that appeals to the eye. These visually appealing features,
    when applied industrially, define a ‘design’ under the Designs Act.
59. Our analysis further reveals that the inquiry cannot be concluded
    merely by assuming that what does not qualify as an ‘artistic work’,
    within the meaning of the Copyright Act, would automatically receive
    protection under the Designs Act. While protection under the Designs
    Act is not as enduring as that under the Copyright Act, it is not
    granted by default and requires specific criteria to be met. In this
    regard, courts in India and globally consistently apply the test of
    ‘functional utility’ to determine whether a work qualifies for protection
    under the Designs Act.
60. It would therefore be appropriate to espouse the approach already
    undertaken by the courts in India, as it not only emulates the best
    practices employed by US courts and the principles enshrined in
    International Conventions but it also gives due consideration to
    contemporaneous laws and legislations. We have thus formulated
    a two-pronged approach in order to crack open the conundrum
    caused by Section 15(2) of the Copyright Act so as to ascertain
    whether a work is qualified to be protected by the Designs Act.
    This test shall consider: (i) whether the work in question is purely
    an ‘artistic work’ entitled to protection under the Copyright Act or
    whether it is a ‘design’ derived from such original artistic work
    and subjected to an industrial process based upon the language
    in Section 15(2) of the Copyright Act; (ii) if such a work does not
    qualify for copyright protection, then the test of ‘functional utility’
    will have to be applied so as to determine its dominant purpose,
    and then ascertain whether it would qualify for design protection
    under the Design Act.
61. The courts, while applying this test, ought to undertake a case-
    specific inquiry guided by statutory provisions, judicial precedents,
[2025] 4 S.C.R.                                                      801

  Cryogas Equipment Private Limited v. Inox India Limited and Others


     and comparative jurisprudence. It must be kept in mind that the
     overarching objective is to ensure that rights granted under either
     regime serve their intended purpose without unduly encroaching upon
     the domain of the other. With this approach, we have attempted to
     clarify the treatment of works at the intersection of ‘copyright’ and
     ‘design’ law(s), thereby ensuring coherence and consistency in the
     application of IP rights in India.
62. We hasten to add that this Court has undertaken the task of clarifying
    the perceived complexities arising from Section 15(2) of the Copyright
    Act. In this context, we appreciate the efforts of High Courts across
    the country in adopting best practices that align with our socio-legal
    framework. Our analysis and examination have hopefully resolved
    this legal issue to prevent any further ambiguity in the future.

     E.2 Issue No. 2: The High Court’s rejection of the application
     under Order VII Rule 11 of the CPC
63. Adverting to the case at hand, the primary contention between the
    parties lies in whether or not the High Court erred in setting aside
    the Commercial Court’s order, whereby it allowed the application
    preferred by LNG Express under Order VII Rule 11 of the CPC.
64. The Commercial Court allowed LNG Express’s application on the
    ground that the ‘Proprietary Engineering Drawings’ qualified as a
    ‘design’ under Section 2(d) of the Designs Act, and therefore, no
    suit for copyright infringement could be maintained in favour of Inox.
65. However, the High Court, having disagreed with the finding of the
    Commercial Court, initially remanded the matter for reconsideration.
    When the Commercial Court reiterated its earlier conclusion, the
    High Court again intervened and rejected LNG Express’s application,
    with a direction to the Commercial Court to consider Inox’s plea for
    an interim injunction under Order XXXIX Rules 1 and 2 of the CPC.
66. This prolonged oscillation between the High Court and the Commercial
    Court has brought the parties before us. On a deeper analysis of the
    Impugned Judgement, we find that the High Court has substantiated
    its conclusions with the following broad reasons:
     (a)   Section 15(1) of the Copyright Act applies when a design is
           registered under the Designs Act, thereby implicitly barring
802                                                             [2025] 4 S.C.R.

                            Supreme Court Reports


             any claim for copyright protection. However, Section 15(2) of
             the Copyright Act requires an inquiry to determine whether the
             drawing in question falls within the scope of the Designs Act.
             This necessary inquiry implies that a suit cannot be dismissed
             outrightly under Clause (d) of Order VII Rule 11 of the CPC
             solely based on a reading of the averments in the plaint.
       (b)   The core dispute revolves around whether the ‘Proprietary
             Engineering Drawings’ qualify as drawings under Section 2(c)
             of the Copyright Act or whether they fall within the definition of
             a ‘design’ under Section 2(d) of the Designs Act, necessitating
             a detailed examination.
       (c)   The Division Bench of the Delhi High Court in Microfibres II
             (supra), has laid down that the term ‘artistic work’ has a broad
             scope and may exist independently or as a precursor to a design.
             Additionally, a design derived from an artistic work may enjoy
             copyright protection, which ceases once it is industrially applied
             beyond the threshold set in Section 15(2) of the Copyright Act.
             Given these intricate distinctions, a more detailed analysis is
             warranted, and such determinations cannot be made at the
             very threshold.
       (d)   Even if the drawing in question is not classified as an original
             artistic work, it does not automatically qualify for protection under
             the Designs Act. In such cases, it must be assessed whether
             the dominant aspect of the design is functional or whether
             the design is registrable under the Designs Act, meaning that
             when applied to an article through an industrial process, the
             finished product must possess aesthetic appeal rather than
             being purely functional.
       (e)   Section 15(2) of the Copyright Act serves as a limitation on
             the protection granted to artistic works under the Act. Allowing
             Inox’s claim may result in a cascading effect, potentially allowing
             every tracing or drawing to receive copyright protection while
             simultaneously being industrially or commercially exploited
             through its application to an article. Such an outcome would
             likely contravene the intent of the Legislature.
       (f)   Ultimately, the determination of whether the ‘Proprietary
             Engineering Drawings’ of the inner vessel, which is admittedly
[2025] 4 S.C.R.                                                            803

  Cryogas Equipment Private Limited v. Inox India Limited and Others


           an ‘original artistic work’ under Section 2(c) of the Copyright
           Act, continues to enjoy copyright protection or whether such
           protection is curtailed by Section 15(2) of the Copyright Act due
           to their industrial application, is a significant mixed question of
           law and fact.
     (g)   Order VII Rule 11(a) of the CPC empowers a court to reject
           a plaint if the plaintiff fails to disclose a cause of action. In
           determining this, the court is not required to delve into complex
           legal questions but must simply assess whether the allegations,
           if taken as true, establish a cause of action without evaluating
           the likelihood of success. Since the plaintiff explicitly sought
           copyright protection over the ‘Proprietary Engineering Drawings’;
           the literary work associated with the internal parts of Cryogenic
           trailers; and the know-how for their manufacture or assembly,
           the rejection of the plaint was unwarranted.
     (h)   When determining whether a plaint discloses a cause of action,
           the court is not required to conduct an elaborate inquiry into
           complex legal or factual issues. The court’s role is limited to
           assessing whether any of the allegations indicate a cause of
           action. As long as the claim presents some cause of action or
           raises questions appropriate for judicial determination, the fact
           that the case may be weak or unlikely to succeed is not a valid
           reason for striking it out. For rejecting a plaint, it is unnecessary
           to evaluate whether the averments substantiate the ownership
           claim made by the defendant. Likewise, if the defendant raises
           a legal issue in the written statement, it cannot be adjudicated
           through an application under Order VII Rule 11 of the CPC, as
           doing so would amount to pre-judging the matter.
     (i)   In any event, the Suit encompasses additional claims relating
           to ‘literary work,’ confidential information, and know-how, which
           cannot be rejected in part. Even if the claim for copyright
           infringement is deemed untenable, the Suit would still be
           maintainable with respect to the other rights asserted. As a
           result, the entire Suit must proceed to trial, since a plaint cannot
           be partially rejected.
67. We are in complete agreement with the reasoning of the High Court
    that the question as to whether the original artistic work would fall
804                                                           [2025] 4 S.C.R.

                            Supreme Court Reports


       within the meaning of ‘design’ under the Designs Act cannot be
       answered while deciding an application under Order VII Rule 11 of
       the CPC. This stage would involve only a prima facie inquiry as to the
       disclosure of cause of action in the plaint. The question pertaining to
       ascertaining the true nature of the ‘Proprietary Engineering Drawings’
       involves a mixed question of law and fact and could not have been
       decided by the Commercial Court at a preliminary stage based upon
       such a casual appraisal of the plaint averments.
68. We therefore concur with the High Court that this case warrants
    a trial given the triable issues involved. The plaintiff before the
    Commercial Court, i.e., Inox, was erroneously non-suited due to
    incorrect assumptions made by the Commercial Court which misread
    the plaint, misapplied legal principles and overlooked the distinction
    between ‘artistic work’ and ‘design.’
69. In light of our discussion on relevant precedents and legal positions,
    and the clear test we have outlined, we direct the Commercial Court
    to consider the issue afresh and conduct trial by adopting an Occam’s
    Razor approach to ascertain the true nature of the ‘Proprietary
    Engineering Drawings’. Additionally, the Commercial Court would
    also need to independently assess the claims related to infringement
    of the Literary Works, confidential information, know-how etc. so as
    to resolve the matter comprehensively.

       F.     Conclusion and directions
70. Having thus examined the vagaries of IP law and the intrinsic synergy
    that exists between two independent legislations, namely the Designs
    Act and the Copyright Act, we dismiss the instant appeals with the
    following conclusions and directions:
       i.     The decision of the High Court rejecting the application under
              Order VII Rule 11 of the CPC is upheld;
       ii.    The Commercial Court is directed to deliver its decision on the
              pending application seeking interim injunction preferred by Inox,
              within a period of two months;
       iii.   The Commercial Court is further directed to conduct trial and
              discern the true nature of the Proprietary Engineering Drawings
              based upon the test laid down in paragraph 60 of this judgement,
[2025] 4 S.C.R.                                                          805

  Cryogas Equipment Private Limited v. Inox India Limited and Others


             as also the other related IP right infringements claimed by Inox,
             within a period of one year, given that it has already wasted
             significant judicial time on this issue.
71. Ordered accordingly. Pending applications, if any, also stand disposed
    of in the above terms.

     Result of the case: Appeals dismissed.



     †
         Headnotes prepared by: Ankit Gyan


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