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The Madras high court has dismissed a plea by Sun Pharma Laboratories Ltd, a wholly-owned subsidiary of pharma major Sun Pharmaceutical Industries Ltd, seeking interim injunction against Punjab-based Psycoremedies Ltd using mark Syzopin, identical to its trademark of schizophrenia drug Sizopin.
The court observed that both the trademarks had been existing in the market for several years and prima facie it appears Sun Pharma ought to have had the knowledge about the presence of latter's trademark.
In an order issued earlier this month, Justice R Subbiah said, "Though the plaintiff (Sun Pharma) denies their knowledge about the presence of the defendant's mark, this court is of the opinion that since plaintiff has approached this court after 12 years, the plaintiff has to establish their case only at the time of trial. I find prima facie that the case of the plaintiff suffers from not only mere delay, but also laches coupled with acquiescence."
According to legal experts, laches is unreasonable delay in taking legal remedies to protect one's rights while acquiescence is failure in objecting the use of a trademark, by remaining silent.
Sun Pharma, which registered trademark Sizopin in 1995, argued it had issued a legal notice on July 11, 2014, to Psycoremedies, after it came to know about the abuse of its registered trademark.
The company said its sales promotional expenses incurred in respect of the mark Sizopin runs to several crores of rupees. It has filed a civil suit seeking permanent injunction against Psycoremedies Ltd manufacturing, selling, offering for sale, stocking, advertising directly or indirectly dealing in medicinal and pharmaceutical preparations infringing its registered trademark. Pending the suit, it filed an original application seeking interim injunction to the same effect, on which the court half earlier issued an interim injunction in September, 2014.
The court, in the latest order, said Sun Pharma "is not entitled for the continuation of the interim injunction order," and allowed the application of Psycoremedies, which sought to vacate the interim injunction.
Psycoremedies said the name of its drug was coined by combining the name of the basic ingredient, Clozapine, which is used to treat severe schizophrenia or to reduce the risk of suicidal behaviour in people with schizophrenia or similar disorders, and company's name itself. Adoption of trade mark based on such 'trade usage' is common in pharmaceuticals. it added.
The counsel appearing for Psycoremedies said that the company has been using Syzopin for 12 years without any interruption. The counsel further stated there was no likelihood of causing confusion because the tablets produced by the plaintiff as well as the defendant could be sold only by prescription.
"Since the defendant (Psycoremedies) has been using the mark Syzopin for the past 12 years; if the defendant is restrained from using the said mark, definitely it will affect their business; whereas the plaintiff (Sun Pharma) who has allowed the defendant to use the mark Syzopin for the past 12 years, would not suffer any loss, even if the defendant is allowed to use the mark, pending the suit. Therefore, I am of the opinion, the balance of convenience is not in favour of the plaintiff. Hence, the plaintiff is not entitled for injunction," said the order.
