R. Prakash Vs. Chowdri Plastic Works - Court Judgment

SooperKanoon Citationsooperkanoon.com/684599
SubjectIntellectual Property Rights
CourtDelhi High Court
Decided OnNov-10-1978
Case NumberContempt Civil Petition No. 31 of 1978
Judge Sultan Singh, J.
Reported inILR1985Delhi685
ActsCode of Civil Procedure (CPC), 1908 - Order 21 - Order 39, Rule 2(3), 2(4) and 2A; Patent Act, 1970 - Sections 48
AppellantR. Prakash
RespondentChowdri Plastic Works
Advocates: Mohinder Narain and; B.S.C. Singh, Advs
Cases ReferredIn J. Howard Leman v. Krentler
Excerpt:
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code of civil procedure - order xxxix rule 2a--interpreted and discussed--willful disobedience of injunction granted by the court, consequences of.; the plaintiff was granted a patent with respect to a method of producing a printed film disc and a printed film disc produced thereby from 35 mm cinematograph film strips in the shape of a circle or disc capable of being used in a specially adapted viewer. the images on this printed film disc lie on a path defining a circle.; the plaintiff alleged that the defendant had produced a printed film disc infringing his patent rights and he continued to infringe the patent rights of the plaintiff, that the defendant was liable to be restrained from manufacturing, producing, marketing and selling goods, produced by him by infringing the patent; that.....
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sultan singh, j.(1) on 13-6-1977, notice was given to mr. mangat ram chaudhary, proprietor of m/s. chaudhary plastic works, defendant to show cause why his property should not be attached, and he be detained in civil prison under rule 2a of order 39 of the code of civil procedure (as inserted by act 104 of 1976). this order will dispose of the said show cause notice.(2) the plaintiff was granted patent no. 125113 of 1970 with respect to a method of producing a printed film and a printed film produced thereby from 35 mm cinematograph film strips in the shape of a circle or disc which is capable of being used in a specially adapted viewer. the images of this disc lie on a path defining a circle. the claims as mentioned in the said patent are as under : '(i)a process of production a printed.....
Judgment:
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Sultan Singh, J.

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(1) On 13-6-1977, notice was given to Mr. Mangat Ram Chaudhary, proprietor of M/s. Chaudhary Plastic Works, defendant to show cause why his property should not be attached, and he be detained in civil prison under Rule 2A of Order 39 of the Code of Civil Procedure (as inserted by Act 104 of 1976). This order will dispose of the said show cause notice.

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(2) The plaintiff was granted patent No. 125113 of 1970 with respect to a method of producing a printed film and a printed film produced thereby from 35 mm cinematograph film strips in the shape of a circle or disc which is capable of being used in a specially adapted viewer. The images of this disc lie on a path defining a circle. The claims as mentioned in the said patent are as under :

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'(I)A process of production a printed film comprising the steps of exposing in a spaced relation a plurality of images on a length of a negative film, said length being twice the height of said film, said images lying on a path defining a semicircle, and thereafter printing the said film on a positive film.

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(II)A process as claimed in claiming which comprises the step of exposing and printing a first said film, exposing and printing a second said film having images thereon different to the images on said first film, and jointing first and second film and such that the images on a path defining a complete circle.

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(III)A process of producing printed film substantially as herein described and illustrated.

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(IV)A printed film whenever made by a process as claimed in claims i to iii.'

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The plaintiff on 19-6-1976 filed this suit for the following reliefs beside others :

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(A)A decree for permanent injunction restraining the defendant from making, manufacturing, and selling printed film disc (prepared in segments or otherwise) and from selling any viewer using such printed film disc, which are covered by the plaintiff's Patent No. 125113 of 1970 ;

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(B)The defendant be directed to deliver up' and hand over to the plaintiff for destroying the same, all the finished goods manufactured bythe defendant in violation of the patent rights of the plaintiff covered by patent No. 125113 of 1970, together with all the moulds, dies, jigs, fixtures and fittings used for the purposes of making and manufacturing the infringing goods, and to deliver up all goods in the process of making, and all other implements and instruments that are used or likely to be used by defendant for infringing the plaintiffs said Patent No. 125113 of 1970 that may be in the possession and power of the defendant;

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(C)A preliminary decree for accounts be passed in favor of the plaintiff and against the defendant and the defendant be directed to render true and correct accounts of all the goods made by and or sold by him and all profits earned by him by and through the manufacture and sale of the infringing goods commencing from 3-2-1970 or such other date as may be fixed by this Hon'ble Court.'

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(3) The plaintiff alleges that the defendant has produced a printed film disc infringing his rights and he continues to infringe the patent, rights of the plaintiff, that the defendant is liable to be restrained from manufacturing, producing, marketing and selling goods, produced by him by infringing the patent; that by virtue of Section 48 of the Patent Act 1970 the plaintiff has the exclusive right to make the said film under the patent. The plaintiff also filed an application (I.A. 1319j76) for restraining the defendant from making, manufacturing and selling printed film disc and viewers covered by patent 125113 of 1970 till the decision of the suit.

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(4) On 21-6-1976, Yogeshwar Dayil J issued summons of the suit and notice of injunction application to the defendant for 23-8-1976 and also passed the following ex parte order of injunction :

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'INthe meanwhile the defendant is restrained from making, manufacturing and selling the patent film disc and viewers covered by patent No. 125113 of 1970.''

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On 23-8-1976 the said ex parte injunction was ordered to remain in operation till further orders, and 'in 3-6-1977 it was made absolute, as the defendant on that date stated before the court that he was not manufacturing or selling any printed film disc and viewers covered by patent No. 125113 of 1970). On 13-6-1977 the defendant also made the following statement on oath before this court :

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'THEpink viewer on the back of which the words and figures 'PAT/PEN/CAL/726/76' are engraved, has been manufactured by me (for the purpose of identification it is marked as Article 'X'). This is also known as 'Mec Viewer'. The carton in which this viewer is sold in Article 'X/A'. About a month and half or two ago I have stopped manufacturing the body of this 'Mec Viewer' though I contnue to manufacture the film disc which I am now using in 'Munna Viewer'. I am manufacturing 'Munna Viewer'. Munna Viewer is marked as Article 'X-1' while its carton is marked as Article 'X-1/A'.'

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(5) V. D. Misra, J. on l3-6-1977 issued notice to the defendant to show cause why his property should not be attached and he be detained in civil prison for disobedience of injunction. The defendant filed his reply dated 14-7-1977 to the show cause notice. He says that his method of production or film disc is different from that of the plaintiff that his method of production is not covered by plaintiff's patent, that the production of a film disc in a manner different from that of the plaintiff is not a breach of injunction, that the manufacturing of the viewer is not an infringement of the patent as the same is not covered by the patent granted to the plaintiff and that the ex parte injunction granted on 21-6-1976, extended by order dated 23-8-2976, and made absolute by order dated 3-6-1977 is illegal and without jurisdiction.

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(6) It is argued by the learned counsel for the defendant that the film disc prepared by the defendant is different from the film disc prepared by the plaintiff according to the specifications and the claims mentioned in his patent, rhat his patent 5s not a new or useful invention, that the patent pertains to the process of printing a film only, that the film disc prepared by the defendant is filmed from an ordinary camera while the film used in the disc by the plaintiff is filmed by a special camera. The methods of exposing and making the films by the plaintiff and the defendant are alleged to be different. It is admitted that I defendant was previously manufacturing the film disc of 48 mm of four segments and that later on he prepared film disc of six segments only up to the time i.e. July 1977 when the dies in his possession used for manufacturing the film disc were deposited with the Registrar of the Court.

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(7) Admittedly no appeal was filed against the injunction order. The defendant thus has no right to challenge the order in these proceedings for disobedience of injunction :

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IT is not disputed that this court has jurisdiction to giant the temporary injunction order dated 21-6-1976. It is well known that so long as the order of Court is in operation it has to be- obeyed till the same is modified by a competent court of law. In United States v. United Mine Workers of America 330 U.S. 258 91 L ed 884 it has been held as follows :

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'HEADNOTE13 : In the case before us, the District Court had the power to preserve existing conditions while it was determining its own authority io grant injunctive relief. The defendants, in making their private determination of the law, acted at their peril. Their disobedience is punishable as criminal contempt.'

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'HEADNOTE14 : Proceeding further, we find impressive authority for the proposition that an order issued by a court with jurisdiction over the subject matter and person must be obeyed by the parties until it is reversed by orderly and proper proceedings. Tin's is true without regard even for the constitutionality of the Act under which the order is issued.' 'Headnotes 26 : The interests of orderly government demand that respect and compliance be given to orders issued by courts possessed of jurisdiction of persons and subject matter. One who defies the public authority and willfully refuses his obedience, does so at his peril. In imposing a fine for criminal contempt, the trial judge may properly take into consideration the extent of the willful and deliberate defiance of the court's order, the seriousness of the consequences of the centumacious behavior, the necessity of effectively terminating the defedant's defiance as required by the public interest, and the importance of deterring such acts in the future. Because of the nature of these standards, great reliance must be placed upon the discretion of the trial judge.

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THEtrial court properly found the defendants guilty of criminal contempt. Such contempt had continued for 15 days from the issuance of the restraining order until the finding of guilty.'

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'HEADNOTE27 : The trial court also properly found the defendants guilty of civil contempt. Judicial sanctions in civil contempt proceedings may, in aproper case, be employed for either or both of two purposes : to coerce the defendant into compliance with the court's order, and to compensate the complainant for losses sustained.'

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IThas been held by the Supreme Court of India in The State of Bihar v. Rani Sonabati Kumari, : [1961]1SCR728 as follows :

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'WHENonce an order has been passed which the court has jurisdiction to pass, it is the duty of all persons bound by it to obey the order so long as it stands and it would tend to the subversion of orderly administration and civil Government, if parties could disobey orders with impunity.'

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THEdefendant did not file any appeal against the order making to ex parte injunction absolute and now it does not lie in his mouth to say that the injunction order was not in accordance with law or was without jurisdiction. He is bound to obey the order.

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(8) From the specifications and the claims made by the plaintiff for the grant of the patent in question it is clear that the plaintiff was granted patent with respect to the method of producing a printed film as well as the printed film. There does not appear to be any essential difference in the methods of produc- ing a printed film discs by the plaintiff and the defendant. The plaintiff, however, prepares the printed film disc having two segments of a circle and the defendant prepares the film disc having four or six segments. By whatever method the film disc has been produced the resultant product is the same i.e., the printed film disc having various pictures lying on a path defining a circle. The patent granted to the plaintiff is also with respect to the film disc itself and as such if the defendant has prepared the film disc by a method which is not materially different from the method used by the plamtiff, I am of the opinion that the defendant has infringed the patent.

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(9) The defendant in his statement dated 13th June, 1977 before this court also admitted that he was manufacturing the 'Mec Viewers' up to two months before the date of his said statement and that he had been continuing the manufacture of the film disc, which he was using in 'Munna Viewer'. Munna Viewer is marked as Article 'X-l' which contains the film disc. Manufacturing of the film disc used in Munna Viewer is a willful disobedience of the injunction order dated 21st June, 1976. On 3rd June, 1977 the defendant stated before the court that he was not manufacturing or selling any printed film disc or viewers covered by the patent granted to the plaintiff but on 13th June, 1977, he admitted before the court in unmistakable terms that he was manufacturing the film disc which he was using in munna viewers. The munna viewer and the film discussed in this viewer is nothing but an infringement of the patent granted to the plaintiff and thus disobedience of injunction. In Union Tool Company v. Elihu C. Wilson 259 U. S. 107 (66 Lawyers' Edition 484x3) the Supreme Court of United States observed as follows :

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'THEsale by an infringer of a patent, after service of an injunction, of spare parts for use in and repair of infringing machines marketed by the infringer before service of such injunction, such parts being of such a nature that, when used in combination, they will effect an infringement, violates the injunc- tion, where the patentee has not received' any compensation for the infringement by the use of these machines, and there was consequently no implied license to use the spare parts in them.'

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The defendant admittedly is using and selling film disc and hence he violated the injunction.

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(10) In Raj Parkash. v. Mangat Ram Chowdhery & Others, : AIR1978Delhi1 which is a case between the parties to the present litigation in connection with another patent No. 111926 of 1967, the patent related to a medially cut positive 35 mnr printed film, and its use in combination with viewers specially adapter for the use of such medially cut strips, so as to set a virtual image of the same size as the virtual image of normal 35 mm frame. The Division Bench observed as follows

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'WHEREthe claims stated at the end of specifications in the patent are alleged to have been infringed the Court should construe the claims willout refernce to the body of the specifications and refer to the specification only if there is any ambiglity or difficulty in the construction of the claims in question.

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TOfind out whether the patent has been infringed the patented article or process has to be compared with the infringing article or process and unessential features in the infringing article or process are of no account and if the infringing goods are made with the same object in view which is attained by the patented article, then a minor variation does not mean that there is no piracy and a person is guilty of infringement if he makes what is in substande the equivalent of the patented article and some trifling or unessential variation has to be ignored.'

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Considering the principle of interpretation of specifications and the claims of the patent granted to a party as stated above, I am of the view that on the same principles it cannot be said that the manufacturing, making or selling of the film disc by the defendant is not an infringement of the patent granted to him with respect to which the temporary injunction was issued by this court on 21st June, 1976.

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(11) SUB-RULES (3) & (4) of Rule 2 Order 39 of the Code of Civil Procedure, before amendment by Act No. 104 of 1976 were as under :

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'(3)In case of disobedience, or of breach of any such terms, the Court granting an injunction may order the property of the person guility of such disobedience or breach to be attached, and may also order such person to be detained in the civil prison for a terms not exceeding six months, unless in the meantime the Court directs his release.

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(4)No attachment under this rule shall remain in force for more than one year, at the end of which time, if the disobedience or breach continues, the property attached may be sold, and out of the proceeds the Court may award such compensation as it thinks fit, and shall pay the balance, if any, to the party entitled thereto.'

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THESEsub-rules (3) and (4) were, however, omitted by Act 104 of 1976 and the following Rule 2A was added to Order 39 of Code of Civil Procedure :

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'2A.(1) In the case of disobedience of any injunction granted or other order made under rule I or role 2 or breach of any of the terms on which the injunction was granted or the order made, the Court granting the injunction or making the order, or any court to which the suit or proceeding is transferred, may order the property of the person guilty of such disobedience or breach to be attached, and may also order such person to be detained in the civil prison for a term not exceeding three months, unless in the meantime the Court directs his release.

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(2)No attachment made under this rule shall remain in force for more than one year, at the end of which time, if the disobedience or breach continues, the property attached maybe sold and out of the proceeds, the Court may avail such compensation as it thinks fit to the injured party and shall pay the balance, if any, to the party entitled thereto.'

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THEREis not much difference in the above provisions of Order 39 before and after amendment, by Act 104 of 1976. Previously, the 'Civil Prison' term was not to exceed six months, but after the amendment it has been reduced to three months.

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(12) Considering the facts and circumstances of the present case, I have no hesitation to hold that the defendant has willfully disobeyed the injunction granted by this Court on 21st June, 1976 and that he has been continuing to do so initially by preparing the printed film disc of four segments and subsequently of six segments. The attitude adopted by the defendant with respect to the method of producing his film disc and his claim that the printed film disc manufactured by him is not covered by the patent granted to the plaintiff discloses his willful intention to disobey the injuuncion. For the sake of maintaining dignity of the court and for the enforcemet of its orders from time to time, it is necessary' that severe acion must be taken against the defaulters. This is a case where the defendant is insisting to disobey the injunction by manufacturing and selling the film disc of which patent has been granted to the plaintiff and as such it would not be harsh if the defendant is detained in the civil prison for a term of three months.

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(13) By the infringement of patent, the plaintiff is bound to suffer loss. The defendant also infringed the patent with a view to make profit. In J. Howard Leman v. Krentler-Arnold Hinge Last Company 284 U. S. 448 (76 Lawyers' Edition 389) (5) the Supreme Court of United States observed as follows : -

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'PROFITSderived from the viojation of an injunction against infringement of a patent may be decreed to the injured party, in a civil contempt proceeding based on such violation.'

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It would thereforee further be in the interest of justice that the property of the defendant, who is guilty of willful disobedience of the injunction be also attached. I am informed by the learned counsel for the plaintiff that in a connected litigation, the defendant has filed statement of accounts showing that he sold the viewers containing the film disc in question of the value of Rs. 45,000 during the period from May, 1976 to December, 1976. He has not brought to my notice the accounts of sale fur the subsequent period. At the moment I am not in a position to determine what loss the plaintiff has suffered on account of disobedience of the injunction by the defendant. The question of compensation that may be awarded to the plaintiff is, thereforee, left open with a direction that the plaintiff may take steps for determination of the compensation.

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(14) Under the circumstances I direct that the defendant be detained in the civil prison for a term of three months that he be taken into custody and that his properties movable and immovable be attached in accordance with Order 39, Rule 2A read with relevant rules of Order 21 of the Code of Civil Procedure.

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