ITC wins infringement case against Tea Board of India over Darjeeling tag

The Calcutta High Court has dismissed a nine-year old appeal from the Tea Board of India that alleged ITC to be infringing upon the Board’s certification-mark rights. Since 2003, ITC has been operating a premier executive lounge reserved only for guests by the name of Darjeeling Lounge. It led the Board, which has secured Geographical Indication tag as well as certification-mark over usage of the name ‘Darjeeling’, to allege infringement of its legal rights. The Board asked for a compensation of Rs 50 crore from ITC as damages. ITC contended that since the Board had only certification of the trademark —  the right to certify tea originating from Darjeeling — naming the hotel’s lounge as Darjeeling Lounge doesn’t amount to infringement. The Calcutta High Court found that though the Board was in possession of the GI tag over Darjeeling, it had not obtained a registered trademark under certain provisions of the Trademarks Act, 1999, and only had certification trademark registration under the Trade and Merchandise Marks Act, 1958, which doesn’t give the Board full powers on trademark.