HC restrains local cos from using Lays packaging
In a relief to food and beverages major Pepsi, the Delhi High Court has restrained a Guwahati-based local manufacturer of potato chips from using Pepsi's packaging style of its popular 'Lays' chips.
Justice Vipin Sanghi disposed of the suit filed by Pepsi after the local manufacturer reached a settlement with the MNC, giving undertaking that it would not manufacture chips, which were being sold in Pepsi's packaging style under the brand name of 'Zing'.
Pepsi, through its counsel Pratibha Maninder Singh, contended that Kishlay Snack Products, a local manufacturer of chips, was manufacturing and marketing potato chips in an illegal manner with fraudulent intentions and copied Pepsi's packaging for potato chips along with its essential features.
"Kishlay has embarked upon a systematic and conscious manner of copying that is calculated to deceive the consumer and innocent public and further to encash upon Pepsi's reputation and goodwill," the MNC contended.
Contending that Pepsi has the exclusive rights to use a packaging style, which it is using for its Lays chips, the food and beverages major said that use of such packaging by any other company would amount to infringement of copyright and trademark.
Pepsi further contended that the use of any identical or deceptively similar trade mark is in violation of its statutory rights.
The adoption of the packaging may make customers believe that there is some connection either caused due to the acquisition of this product by Pepsi or some partnership of some kind between Pepsi and Kishlay. The consumer may also believe that the name Kishlay is a part of Fritolay which is a subsidiary company of Pepsi, the soft drink major said.
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