Delhi HC awarded ₹2 lakh and costs of ₹9 lakh to Starbucks in a trademark infringement suit

CASE: Starbucks Corporation v. Teaquila A Fashion Cafe & Anr

COURT: Justice Jyoti Singh, Delhi High Court

The Delhi High Court awarded Starbucks Corporation ("Starbucks") damages of ₹2 lakh and costs of ₹9 lakh in a trademark infringement suit filed by Starbucks over the use of its registered trademark 'frappuccino'.

FACTS

The Court was hearing a suit filed by Starbucks alleging that a Jaipur-based café called Teaquila was infringing its registered trademark. Starbucks argued that 'frappuccino' is a well-known trademark on account of extensive use and trademark registrations in foreign jurisdictions and India. Therefore, Starbucks sought a permanent injunction against the defendant café from using the 'frappuccino' either alone or with any prefix or suffix. 

HELD

The Court noted that the defendant was serving beverages under the names of Butterscotch Frappuccino and Hazelnut Frappuccino without Starbucks's permission or license. The marks used by the Defendants are phonetically and visually identical to Plaintiff’s mark and the names of the beverages are confusingly and conceptually similar.

Referring to its own judgment in Indian Performing Right Society v. Debashis Patnaik, the Court said that it cannot lose sight when the defendants have been found guilty of infringement. In view of the same, damages of ₹2 lakh were awarded to the Plaintiff. Additionally, the Court ordered costs worth ₹ 9,60,100 to be paid to Starbucks as the fee of the lawyers and the court fee.