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Supreme Court of India

M/S. GODREJ SARA LEE LIMITEDversusRECKITT BENCKISER AUSTRALIA PTY. LTD. AND ANR.

Citation
2010 INSC 66
Decided
29 January 2010
Disposal
Appeal(s) allowed

Holding

An appeal under Section 19 of the Designs Act, 2000 must be filed before the High Court having territorial jurisdiction over the place where the cause of action arose, i.e., the Calcutta High Court, not the Delhi High Court.

Summary

M/s. Godrej Sara Lee Ltd appealed to the Supreme Court against the Delhi High Court’s order that it had jurisdiction to entertain appeals against the cancellation of its registered designs by the Controller of Patents and Designs, Kolkata under Section 19 of the Designs Act, 2000. The Controller had cancelled two designs, and the appellant filed appeals in Delhi, which the Delhi High Court allowed, holding it had jurisdiction. The Supreme Court examined the meaning of "High Court" in Section 19(2) of the 2000 Act and contrasted it with Section 51A of the Designs Act, 1911, concluding that the cause of action arose in West Bengal and therefore the appropriate forum is the Calcutta High Court. The Court set aside the Delhi High Court’s order, directed the appellant to file the appeal before the Calcutta High Court within 30 days, and allowed the appeals.

Issues considered

  • The jurisdiction of the Delhi High Court to entertain appeals against an order of the Controller of Designs, Kolkata under Section 19 of the Designs Act, 2000.
  • Interpretation of the term "High Court" in Section 19(2) of the Designs Act, 2000 versus Section 51A of the Designs Act, 1911.
  • Whether the cause of action for the appeal arises in the territory of the Calcutta High Court or the Delhi High Court.

Legislation cited

Subjects

Designs Actjurisdictionhigh courtcancellation of designcause of actionSection 19Section 51Aintellectual propertyappealCalcutta High CourtDelhi High Court

Judgment

                    [2010] 2 S.C.R. 147


            M/S. GODREJ SARA LEE LIMITED                         A
                              v.
 RECKITT BENCKISER AUSTRALIA PTY. LTD. AND ANR.
         (Civil Appeal Nos. 996-997 of 2010)
                     JANUARY 29, 2010
                                                                 B
     [ALTAMAS KABIR AND CYRIAC JOSEPH, JJ.]

     Design Act, 2000; s. 19 - Jurisdiction- Cancellation of
registered design by Controller, Kolkata - Appeals filed
before Delhi High Court - Maintainability of - Held: Cause . C
of action for the suit arose in Kolkata by virtue of order passed
by Controller, appeal thereagainst would be maintainable
before Calcutta High Court under s. 19 of 2000 Act and not
before Delhi High Court under s.51A of 1911 Act - Design
Act, 1911 - s.51A - Cause of action.                              D
     · The question which arose for consideration in these
appe,als was whether Delhi High Court had jurisdiction
to entertai.n the appeals filed against the. order passed by
Controller of Patents and Designs, Kolkata cancelling the        E
registere.d designs belonging to the appellant.

    Allowing the appeals, the Court

     HELD: 1. Section 51A(1)(a) of the Designs Act, 1911
 provides that at any time after registration of the design, F
 an application for cancellation of the registration could
 b~made to the 1High Court on the grounds indicated
therein. Section 51A(1 )(b) makes an exception and
provides that within one year from the date of registration
of the design, an application could be made for G
cancellation of the registration to the ContrQller on the
grounds specified in sub-clauses (i) and (ii) of Clause (a).
Section 51A(2) provides that an appeal from the order of
the Controller would lie to the High Court. In contrast to
                             147                                 H
    148     SUPREME COURT REPORTS                [2010] 2 S.C.R.


A the provisions of Section 51A(1 )(a) of the 1911 Act,
  Section 19(1) of the Designs Act, 2000, which also deals
  with cancellation of registration, provides for a petition for
  cancellation of registration of a design to be filed before
  the Controller and not to the High Court. A comparison
B of the two provisions of two enactments shows that
  under the 2000 Act, the. intention of the Legislature was
  that an application for cancellation of a design would lie
  to the Controller exclusively without the High Court
  having a parallel jurisdiction to entertain such matters. It
c is also very clear that all the appeals from any order of
  the Controller under Section 19 of the 2000 Act shall lie
  to the High Court. The basic difference, therefore, is that
  while under Section 19 of the 2000 Act, an application for
  cancellation would have to be made to the Controller of
  Designs, under Section 51A of the 1911 Act an application
0
  could be preferred either to the High Court or within one
  year from the date of registration to the Controller on the
  grounds specified under sub-clauses (i) and (ii) of Clause
  (a) of Section 51A(1 ). Under the 2000 Act, the High Court
  would be entitled to assume jurisdiction only at the
E appellate stage, whereas under Section 51A of the 1911
  Act the High Court could/itself directly cancel the
  registration. [Paras 19 and 21] [157-G-H; 158-A-G-H; 159-
  A-E]

F       Girdharilal Gupta v. Mis. K. Gian Chand Jain & Co.
    (1978) 14 D.L.T. 132 - held inapplicable.

         Mis. Scooters India Ltd. v. Mis. Jaya Hind Industries Ltd
    & Anr. AIR 1988 Delhi 82; Ambika Industries v.
G   Commissioner of Central Excise (2007) 6 SCC 769; Canon
    Steels (P) Ltd. v. Commissioner of Customs (2007) 14 SCC
    464; Mis Metro Plastic Industries (Regd.) v. Mis Galaxy
    Footwear, New Delhi AIR 2000 Delhi 117; Stridewell Leathers
    (P) Ltd. v. Bhankerpur Simbhaoli Beverages (P) Ltd. (1994)
    1 sec 34, referred to.
H
   GODREJ SARA LEE LTD. v. RECKITT BENCKISER 149
             AUSTRALIA PTY. LTD.
       1.2. In the instant case, the doctrine of cause of       A
 action, as understood under Section 20 C.P.C., has been
 imported on the basis of the provisions of Section 51A
 of the Designs Act, 1911, whereas the case of the
 appellant would fall under Section 19 of the Designs Act,
 2000, where the High Court functions as the Appellate          B
 forum. The cause of action for the instant proceedings
 is most certainly the cancellation of the registered design
 of the appellant which happened in the State of West
 Bengal which gave the Calcutta High Court the
 jurisdiction to deal with the matter. The Delhi High Court     c
 erred in holding that the cause of action had arisen within
 its local jurisdiction, whereas the jurisdiction of the High
 Court was on account of the cancellation of registration
 of the design and not on account of the impact thereof
 in any particular State. [Para 22] [160-A-D]                   D

        1.3. Apart from the fact that the parties to the suit were
   in Kolkata, it is clear that the cause of action for the suit
   arose in Kolkata by virtue of the order passed by the
   Controller in relation to the appellant's design. The Delhi
   High Court had erred in making' a comparison between E
   the provisions of Section 51A ofthe 1911 Act and Section
   19(2) of the 2000 Act, which operate on different planes.
· Calcutta High Court has jurisdiction.-to entertain the
  appeal under Section 19 of the 2000 Act. The proceedings
  before the Delhi High Court are, therefore, quashed. The F
  Appellant is granted leave to move the Calcutta High
  Court against the order of cancellation of its design on
  the grounds taken in these Appeals, as well as such other
  grounds as may be relevant for the purpose of deciding
  the question of cancellation of the Appellant's design by G
  the Controller of Designs, Kolkata·, within 30 days from
 date. [Paras 23, 25] [160-E-G; 161 ·B-D]


                                                                H
    150      SUPREME COURT REPORTS                [2010] 2 S.C.R.


A                        Case Law Reference:
     (1978) 14 D.L.T. 132     held inapplicable      Paras
                                                  5,6, 12,21,22,23
     AIR 1988 Delhi 82        referred to            Para 7
B
    . (2007) 6 sec 769        referred to            Para 8
     (2001) 14 sec 464        referred to            Para 9
     AIR 2000 Delhi 117       referred fo            Para 13
c    (1994) 1 sec 34          referred to            Para 14
        CIVIL APP ELLATE JURISDICTION : Civil Appeal No. 996-
    997 of 2010.

D       From the Judgment & Order dated 12.5.2008 of the High
    Court Delhi in F.A.O. Nos. 131 and 132 of 2008.

         D.Lishyant A. Dave, Rajiv Tyagi and Chanchal Biswas for
    the Appellant.

E      Chander Lall, Navin Chawla, Kirpa Pandit and Sharath
    Sampath. for the Respondents.

          The Judgment of the Court was delivered by

          ALTAMAS KABIR, J. 1. Leave granted.
F
         2. Two Firsf Appeals were filed in the Delhi High Court,
    being FAO No.131 and 132 of 2008, against two orders, both
    dated 28th March, 2008, passed by the Controller of Patents
    and Designs, Kolkata, under Section 19(1) of the Designs Act,
G 2000, cancelling two registered designs for "Insecticide Coil"
  · in Class 12 belonging to the. Respondent No.1 herein. The
    question for determination before the High Court in the two
    appeals was whether th~ Delhi High Court had jurisdiction to
    entertain the same against the order passed by the Controller
    of Patents and Designs, Kolkata. Inasmuch as, in the said two
H
 GQQRE-J SARA_LEE LTD. v. RECKITT BENCKISER 151
   AUSTRALIA PTY. LTD. [ALTAMAS KABIR, J.]
appeals, it was held by the Delhi High Court that it had         A
jurisdiction to entertain the appeals, these two appeals have
been preferred by M/s. Godrej Sara Lee Ltd. against the said
decision.

      3. On 27th January, 2005, the Respondent No.1 herein, M/ B
s. Reckitt Benckiser Australia Pty. Ltd., filed a suit, being
C.S.(O.S.)No.121 of 2005, against the appellant, in the Delhi
High Court alleging infringement of its Registered Designs
bearing Nos.184136 and 184137. The said suit is yet to be
decided. On 4th February, 2005, the appellant herein filed his
written statement in the suit, inter alia, contending that the C
aforesaid Designs of the Respondent No.1 were liable to be
cancelled under Section 22(3) of the Designs Act, 2000, on the
ground that registration of the same had been obtained by
concealment of facts and infringement of the Designs
Registration Nos. 197811 and 197426, before the Controller D
of Designs at Kolkata. Similarly, the appellant herein also filed
a Designs Cancellation Petition for cancellation of the
Registered Design Nos.184135, 184136 and 184137 standing
in the nanie of the Respondent No.1 on the same ground as
alleged by the respondent in its petition for cancellation of the E
appellant's Designs. After certain interlocutory proceedings
relating to the prayer made for transfer of the cancellation
proceedings from the Controller of Designs to the Delhi High
Court, the Controller of Designs heard the parties on 5th March,
2008 and reserved his order. Meanwhile, the respondents filed F
FAO (OS) No.101/08 against the orders dated 13.2.2008 and
5.3.2008 passed by the Controller of Designs, Kolkata and the
same was converted into a Petition under Article 227 of the
Constitution. Initially the learned Single Judge was doubtful
about the maintainability of the appeals. Thereafter, on 28th G
March, 2008, by three separate orders the Controller of
Designs, Kolkata, cancelled the Registered Design
Nos.184135, 184136 and 184137 belonging to Respondent
No.1. As indicated hereinabove, three F,~rst Appeals were .
preferred before the Delhi High Court, where a question arose H
    152     SUPREME COURT REPORTS                   [2010] 2 S.C.R.


A with regard to the High Court's jurisdiction to entertain the
  appeals and by the orders impugned in these appeals the Delhi
  High Court held that the appeals were maintainable and it had
  jurisdiction to entertain the same.

       4. Appearing in support of the appeals, Mr. Dushyant
8
  Dave, learned Senior Advocate, questioned the decision of the
  Delhi High Court based on the interpretation of Section 19(2)
  read with Section 2(e) of the Designs Act, 2000. He submitted
  that the expression "High Court" as used in Section 19(2) and
  Section 2(e), would have to be read in relation to the cause of
C action and not otherwise. In the instant case, since the cause
  of action for the appeal has arisen on account of the cancellation
  of Designs by the Controller of Designs at Kolkata, it is only
  the Calcutta High Court, which would have jurisd_iction to
  entertain the appeals under Section 19. Any other interpretation
D would be contrary to the principles relating to the filing of suits
  where the cause of action arises as contemplated under
  Section 20 of the Code of Civil Procedure.

        5. Mr. Dave urged that the High Court appears to have
E gone wrong in making a comparison between the provisions ·
  relating to cancellation of designs under Section 51A of the
  Designs Act, 1911 and Section 19 of the Designs Act, 2000.
  Mr. Dave urged that while Section 51A of the 1911 Actallowed
  a person to move for cancellation directly before the High Court
F in its original jurisdiction, under Section 19 of the 2000 Act an
  application for cancellation could only be made to the Controller
  of Designs, Kolkata. Mr. Dave urged that the. conclusions.
  arrived. at by the H,igh Court on an analysis of the two provisions
  were erroneous     as  was the reliance placed by the High Court
G on the decision in the case of Girdharilal Gupta vs. Mis. K.
  Gian Chand Jain & Co. [(1978) 14 D.L.T. 132].

        6. Mr. Dave submitted that the decision in the said case
    was clearly distinguishable on facts, as also the finding that the
    cancellation. of a design under Section 51A of the 1911 Act
H
 GODREJ SARA LEE LTD. v. RECKITT BENCKISER 153
   AUSTRALIA PTY.-LTD. [ALTAMAS KABIR, J.]

could be filed either in the High Court having jurisdiction over       A
the place at which the design is registered or in the High Court,
 the loc~I jurisdiction of which has a nexus with the subject matter
 of the cause of action of the application. Mr. Dave urged that
 in the said case, the High Court made it clear that an
 application for cancellation cannot be made in any High Court         B
 merely because the applicant chose to do so. In fact, the
 applicant would have to establish the jurisdiction of the High
 Court to which the application is made by establishing a live
 link between the territory in which the cause of action and the
 subject matter of the application. Mr. Dave submitted that the        c
sum total of the decision in Girdharilal Gupta's case is that in
the normal course both the Calcutta High Court and the High
Court within whose territorial jurisdiction the cause of action
arises, would have jurisdiction to entertain an appeal under
Section 19 of the Designs Act, 2000, but in some cases such            D
jurisdiction would a~so extend to any other High Court within the
local limits of which a part of the cause of action and/or subject
matter of the application may arise or be situate. Mr. Dave
urged that the latter part of the findings was not in consonance
with Section 19(2) of the 2000 Act.
                                                                       E
     7. Mr. Dave submitted that a different view had been
expressed by a learned Single Judge of the Delhi High Court
in Mis. Scooters India Ltd. vs. Mis. Jaya Hind Industries Ltd.
& Anr. [AIR 1988 Delhi 82], wherein it was held that rejection
of an application for grant of patent under the provisions of the      F
Patents Act, 1970, and the Patents Rules, 1972, by the Deputy
Controller of Patents and Designs, Bombay, gave rise to a
cause of action whereby appeal against such order of refusal
could be filed only in the Bombay High Court and not in any
other High Court.                                                      G

     8. Reference was then made by Mr. Dave to the decision
of this Court in Ambika Industries vs. Commissioner of
Central Excise [(2007) 6 SCC 769], wherein the question as
to which High Court would have the jurisdiction to entertain an        H
    154      SUPREME COURT REPORTS                  [2010] 2 S.C.R.


A appeal from an order of the Appellate Tr1bunal exercising
  jurisdiction over several States, was in question and this Court
  held that it had to be determined on the bas~s of the statutory
  provisions and nothing else such as dominus litus or the situs
  of the Appellate Tribunal or the cause of action. Accordingly,
B where the first forum was located in the State other than the
  State where the Appellate Tribunal was located, the appropriate
  High Court to entertain the appeal was the High Court situated
  in the former State and not the High Court situated in the latter
  State.
c      9. Mr. Dave also referred to the decision of this Court in
   Canon Steels (P) Ltd. vs. Commissioner of Customs [(2007)
   14  sec   464] where the original order· had been passed under
  the Customs Act at Mumbai whereas the appellate order was
  passed by the Customs Excise and Service Tax Appellate
D Tribunal (CESTAT) at Delhi. Appeal under Section 130 of the
  Customs Act,- 1962, filed in the High Court aLDelhi was
  withdrawn with liberty to file the appeal in the appropriate place.
  An appeal was subsequently filed 1n the Punjab and Haryana
  High Court at Chandigarh on the ground that a part of the cause
E of action had arisen at Chandigarh. The Punjab and Haryana
  High Court, however, held that it had no jurisdiction to entertain
  the appeal. Affirming the said view, this Court held that since
  neither the original nor the appellate orders were passed within
  the territorial jurisdiction of the Punjab and Haryana High Court,
F it was the Delhi High Court which had jurisdiction to entertain
  the appeal.

        10. Mr. Dave submitted that similarly since the order
  impugned in the appeal had been passed ir. Kolkata, it was
G the Calcutta High Court and not the Delhi High Court which had
  jurisdiction to entertain the statutory appeal under Section 19
  of the Designs Act, 2000.

         11. Several other decisions were also cited by Mr. Dave
    on similar lines which need not detain us at present.
H
 GODREJ SARA LEE LTD. v. RECKITT BENCKISER 155
   AUSTRALIA PTY. LTD. [ALTAMAS KABIR, J.]
     12. Mr. Dave submitted that the Delhi High Court was              A
apparently persuaded to make a comparison between the
provisions of Section 51 A of the Designs Act, 1911 and
Section 19(2) of the Designs Act, 2000, which led to erroneous
reliance being placed on the decision of the Delhi High Court
in Girdharilal Gupta's case (supra) the facts whereof were             B
completely different and distinguishable from the facts of this
case. Mr. Dave submitted that having regard to the above, the
impugned judgment of the High Court was liable to be set
aside.

       13. Mr. Chander Lall, learned advocate, appearing for the       C
 Respondent No.1, referred to Sections 19 and 22(2) (b) read
 with Section 22(3) of the Designs Act, 2000, and contended
 that the said provisions contemplated cancellation of a Design
 by the Controller of Designs, and punishment for piracy of a
 Design in any suit in any Court not below that of a District Judge.   D
 Mr. Lall submitted that when such a suit was pending before
 the High Court and a defence as provided for under Section
 19 of the Act was taken, the matter had to be decided by the
 High Court and the Controller ought not to be left to decide the
 said issue, as an appeal from the Controller's order would also       E
 lie to the High Court under Section 19 which could result in
 conflict of decisions. In this regard reference was made to the
 Full Bench decision of the Delhi High Court in Mis Metro
 Plastic Industries (Regd.) vs. Mis Galaxy Footwear, New Delhi
 (AIR 2000 Delhi 117), in which the question for decision was          F
whether an injunction could be granted in favour of a registered
 owner of a design when an application under Section 51-A of
the Designs Act, 1911, was pending. After examining the
provisions of Section 51 A, the Full Bench on a reference to
Sections 53 and 54 relating to piracy of registered designs and        G
the incorporation of the provisions of the Patents Act, 1970, into
the Designs Act, held that the powers conferred under Section
53 were not absolute and did not contemplate an absolute right
in the owner to prevent all other persons from infringing that
design under all circumstances. It was held further that Section
                                                                       H
    156     SUPREME COURT REPORTS                    [201 O] 2 S.C.R.


A   53 creates a right in a registered owner and in the absence of
    an application for cancellation such a right can be enforced and
    no defence can be taken based on a ground of cancellation.
    But once an application for cancellation is filed, the Court trying
    a suit under Section 53 would not be entitled to ignore the s~me.
B                                                             '
       14. Mr. Lall then submitted that there were innumerable
  instances of appeals having to be filed at the place where the
  cause of action had arisen or the effect thereof was felt. By way
  of exar:nple, ··Mr. Lall submitted that ~ppeals against orders
  passed by the Company Law Board would lie only before the
C Delhi Hig)/Court. The decision in Stridewell Leathers (PFLtd.
  vs. Bhankerpur Simbhaoli Beverages (P) Ltd. [(1994) 1 SCC
  34] was also referred to in this regard.

        15. Mr. Lall submitted that full disclosures had not been
D made regarding the pendency of the suit filed by the
  respondent, which is still pending decision, wherein the
  appellant had filed a counter affidavit and a defence had been
  taken against cancellation. Mr. Lall submitted that for the
  reasons aforesaid and also in view of the fact that under the
E Designs Act, 2000, .orily the Controller of Designs had the
  jurisdiction to cancel a design,. no interference was called for
  with the order of the Delhi High Court ruling on its jurisdiction
  to entertain the Appeals under Section 19 of the 2000 Act. .

        16. Countering the submissions made by Mr. Lall with
F regard to the jurisdiction of the Delhi High Court, Mr. Dave
  concluded on the note that after the enactment of the Design
  Act, 2000, it is only the Controller of Designs before whom an
  applicati_on can be made under Section 19 for cancellation of
  a Design in contrast to the provisions of Section 51 A of the
G 1911 Act under which even the High Court could cancel the
                   a
  registration of Design. Mr. Dave urged that in view of the
  amendments in Section 51-A of the 1911 Act the question of
  jurisdiction of the Delhi High Court to entertain the appeals has
  become relevant.
H
  GODREJ SARA LEE LTD. v. RECKITT BENCKISER 157
    AUSTRALIA PTY LTD. [ALTAMAS KABIR,. J.]
     17. The answer to the question thrown up in these appeals        A
involves the interpretation of the expression ''.High Court" used
in Sections 19(2) and 22(4) of the 2000 Act and in Section 51A
of 1911 Act.                                        ..

    18. Section 51A of the 1911 Act which deals with                  B
"Cancellation of Registration", provides as follows:

     "51A. Cancell.ation of registration. (1) Any person
     interested may present a petition for the cancellation of the
     registration of a design-
                                                                      c
      (a)   at any time after the registration of the design, to
            the High Court on any of the following grounds,
            namely:-

            (i) that the design has been previously registered
                                                                      0
            in India; or

            (ii) that it has been published in India prior to the
            date of registration ; or

            (iii) that the design is not a new or original design     E
            ; or

            (b) within one year from the date of the registration,
            to the Controller on either of the grounds specified
            in sub-Glauses (i) and (ii) of clause (a).
                                                                      F
     (2) An appeal shall lie from any order of the Controller under
     this section to the High Court, and the Controller may at
     any time refer any such petition to the High Court, and the
     High Court shall decide any petition so referred."
                                                                      G
     19. Section 51A(1)(a) very clearly provides that at any time
after registration of the design, an application for cancellation
of the registration could be made to the High· Court on the
grounds indicated therein. Section 51A(1)(b) makes an
exception and provides that within one year from the date of          H
    158       SUPREME COURT REPORTS                   [2010] 2 S.C.R.


A   registration of the design, an application could be made for
    cancellation of the registration to the Controller on the grounds
    specified in Sub-clauses (i) and (ii) of Clause (a). Section
    51A(2) provides that an appeal from the order of the Controller
    would lie to the High Court.
B
         20. Section 19 of the 2000 Act, on the other hand, provides
    as follows:

          "19. Cancellation of registration.-(1) Any person interested
          may present a petition for the cancellation of the
c         registration of a design at any time after the registration
          of the design, to the Controller on any of the following
          grounds, namely:-

                 (a) that the design has been previously registered
D                in India; or

                 (b) that it has been published in India or in any other
                 country prior to the date of registration; or

                 (c) that the design is not a new or original design;
E                or

                 (d) that the design is not registrable under this Act;
                 or

                 (e) that it is not a design as defined under clause
F                (d) of section 2.

          (2) An appeal shall lie from any order of the Controller under
          this section to the High Court, and the Controller may at
          any time refer any such petition to the High Court, and the
G         High Court shall decide any petition so referred."

      21. In contrast to the provisions of Section 51A(1)(a) of the
  1911 Act, Section 19(1) of the 2000 Act, which also deals with
  cancellation of registration, provides for a petition for
H cancellation of registration of a design to be filed before the
       GODREJ SARA LEE LTD. v. RECKITT BENCKISER                       159
         AUSTRALIA PTY. LTD. [ALTAMAS KABIR, J.]
        Controller and not to the High Court. On a comparison of the           A
        two provisions of the two enactments, it will be obvious that
        under the 2000 Act the intention of the Legislature was that an
        application for cancellation of a design would lie to the Controller
        exclusively without the High Court having a parallel jurisdiction
        to entertain such matters. It is also very clear that all the          B
        appeals from any order of the Controller under Section 19 of
        the 2000 Act shall lie to the High Court. The basic difference,
        therefore, as was pointed out to the High Court and noticed by
        it, is that while under Sec;tion 19 of the 2000 Act an application
        for cancellation would have to be made to the Controller of            C
        Designs, under Section 51A of the 1911 Act an application
        could be preferred either to the High Court or within one year
        from the date of registration to the Controller on the grounds
       specified under Sub-clauses (i) and (ii) of Clause (a) of Section
        51A(1 ). Under Section 19 of the 2000 Act the power of
       cancellation of the registration lies wholly with the Controller. On    D
       the other hand, an application for cancellation of a design could
       be made directly to the High Court under Section 51A of the

---    1911 Act. Under the 2000 Act, the High Court would be entitled
       to assume jurisdiction only at the appellate stage, whereas
       under Section 51A of the 1911 Act the High Court could itself           E
       directly cancel the registration. Whereas in Girdharilal Gupta's
      case (supra), the qUE!Stion of jurisdiction of the High Court was
       in relation to an application made to the High Court directly, in
      the instant case, we are concerned with an order of the
      Controller against which an appeal is required to be filed before        F
      the High Court. While in Girdharilal Gupta's case the Court was
      considering the expression "High Court" in the context of a fall-
      out in respect of the ground of registration and the cause of
      action arising on account of such fall-out, in the present case,
      there is no question of any consequential impact since the               G
      application for cancellation of registration was on the basis of
      fake documents created in order to perpetrate a fraud.

           22. The reliance placed by the High Court on the judgment
      in Girdharilal Gupta's case (supra) appears to be misplaced,
                                                                               H
                             160         SUPREME COURT REPORTS            [2010] 2 S.C.R.


                     A inasmuch as, while under the 1911 Act the High Court acts as
                       an Original forum, under the 2000 Act the High Court acts as
                       an Appellate forum, which are two separate jurisdictions
                       operating in two different fields. In the instant case, the doctrine
                       of cause of action, as understood under Section 20 C.P.C., has
                     8 been   imported on the basis of the provisions of Section 51A
                       of the Designs Act, 1911, whereas the case of the appellant
                       would fall under Section 19 of the Designs Act, 2000, where
                       the High Court functions as the Appellate forum. The cause of
                       action for the instant proceedings is most certainly the
                     C cancellation of the registered design of the appellant which ·
                       happened in the State of West Bengal which gave the Calcutta
                       High Court the jurisdiction to deal with. the matter. The Delhi
                       High Court, in our view, erred in holding that the cause of action
                       had arisen within its local jurisdiction, whereas the jurisdiction
                       of the High Court was on account of the cancellation of
                     D registration of the design and not on account of the impact
                       thereof in any particular State. This is what distinguishes the
                       decision in Girdharilal Gupta's case from the facts of this case.

                             23. Apart from the fact that the parties to the suit were in
                     E Kolkata, it is clear that the cause of action for the suit arose in
                       Kolkata by virtue of the order passed by the Controller in
                       relation to the appellant's design. As the facts indicate, the
                       cause of action for the suit arose in Kolkata, which, in any event,
                       had jurisdiction to entertain the suit. Having erroneously applied
                     F the decision in Girdharilal Gupta's case (supra) to the facts of
                       the case, the High Court was led into error in holding that the
                       consequence of the cancellation gave jurisdiction to the Delhi
                       High Court to entertain the suit, without considering in its proper
                       perspective the provisions of Section 51A of the 1911 Act in
                     G contrast to the provisions of Section 19 of the 2000 Act.

                                 24. The various decisions cited by Mr. Dave to support his
                            submissions that the question as to which High Court would
                            have jurisdiction to entertain an appeal under Section 19, had
                            to be determined on the basis of the statutory provisions and
                     H




~---   -. ·--.. ~·   - ..   ---   --.· ---
 GODREJ SARA LEE LTD. v. RECKITT BENCKISER                    161
   AUSTRALIA PTY. LTD. [ALTAMAS KABIR, J.]
not on the basis of dominus litus or the situs of the Appellate      A
Tribunal or the cause of action. We are inclined to accept Mr.
Dave's submission that the Delhi High Court had erred in
making a comparison between the provisions of Section 51A
of the 1911 Act and Section 19(2) of the 2000 Act, which
operate on different planes.                                         B

      25. Having regard to the above, we are of the view that
the impugned order of the Delhi High Court cannot be sustained
and we, accordingly, set aside the same and hold that in the
instant case it is the Calcutta High Court which will have           C
jurisdiction to entertain the appeal under Section 19 of the 2000
Act. The proceedings before the Delhi High Court are,
therefore, quashed. The Appellant is granted leave to move the
Calcutta High Court against the order of cancellation of its
design on the grounds taken in these Appeals, as well as such
other grounds as may be relevant for the purpose of deciding         D
the question of cancellation of the Appellant's design by the
Controller of Designs, Kolkata, within 30 days from date. If the
appeals are filed within the said period, the delay in taking such
proceedings shall be condoned.
                                                                     E
    26. The appeals are, accordingly, allowed, but there will
be no order as to costs.

D.G.                                          Appeals allowed.


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