Company Registration in Tirupur
Use of corporate name for Joint Venture Company
Where a corporate partner to a joint venture allowed the company's name to be used by the joint venture company, it was held that permission stood impliedly withdrawn when the joint venture company left the corporate group and therefore, the continued use of that name might constitute passing-off. A joint venture agreement had a clause to the effect that if at any time the equity participation of the foreign collaborator fell below 40% of the company would stop using the foreign company's trade name. This clause was not incorporated in the company's articles even so it was held that the foreign company on disposing off its whole equity, was entitled to call upon the Indian participator, to change its name. A temporary mandatory injunction was may granted to prevent passing-off .The Court declined to grant injunction against the defendant carrying on business in the name of " Only 1 day Electric Dry-cleaners" on the application of plaintiff who was also carrying on the business of Dry cleaners in the name of " One day Electric Dry Cleaners", on the ground that the sign boards were totally different in their design and the names were only of a descriptive nature and not distinctive so as to sustain the passing off action.
Use of family name or surname
The Kriloskar group of companies wanted to prevent a company from using the word "Krislokar" as a part of its name because it would amount to passing off to the market the products of the Krislokar group of companies and also to enjoy the benefit of goodwill created by that group. The court did not issue a temporary stay order. There is a right to use in a manner one's own name or the name of a place or ancestral name. A group of companies belonging to the same family was known as " Manipal Group of Companies". Owing to a family dispute the company became divided into two groups and the business also became divided into two branches. The name "Manipal" was associated with the family and not with any particular company or goods. All the companies were not carrying the word "Manipal" as part of name. Hence, neither group could be injuncted from using the word "Manipal" as part of company name.
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