Delhi HC restrains WTC Noida from using trademarks of World Trade Centres Association, ET RealEstate
NEW DELHI: The Delhi High Court has restrained WTC Noida Development and others from using any of the registered trademarks of World Trade Centres Association (WTCA), observing the mark’s goodwill was being tarnished.
Justice Amit Bansal said a prima facie case was in favour of WTCA and against WTC Noida and its promoters including Ashish Bhalla, related to Bhalla Group of Companies.
“Balance of convenience is in favour of the plaintiff and against the defendants, in view of the nature of the issues raised as stated above and the potential impact on the plaintiff’s rights. Irreparable injury would be caused to the plaintiff if the defendants continue to use the ‘WTC’ marks, as the goodwill of the mark is being tarnished by the defendants,” the court said on May 2.
Prejudice would also be caused to the public who may associate the activities of the defendants with the plaintiff, it added.
The court said till September 18, the defendants and their agents or associates were restrained from infringing any one or more of the plaintiff’s registered marks — WORLD TRADE CENTER and WTC — as trademarks, nicknames, social media handles and domain names or in any other way.
The court passed the interim order on a plea by WTCA, a renowned worldwide association headquartered in the US, contended the defendants continue to use WTC marks even after termination of the agreement which amounted to infringement and passing off of the plaintiff’s marks.
The plea said in 1961, the Port Authority of New York and New Jersey approved of a project to build the iconic World Trade Center twin towers in New York City, which became famous worldwide and in 1969, WTCA acquired the rights in the word mark World Trade Center, its abbreviated form WTC and its device mark for use in connection with commercial real estate, trade, commerce and other related services.
The plea said in February 2013, the defendant changed its name from Spire Buildtech Private Ltd to incorporate the plaintiff’s WTC word mark with its consent.
However, in February 2023, the plaintiff came to know of various complaints made against the defendants by individuals claiming to be investors or unit buyers in projects being undertaken by WTC Noida.
They raised concerns over the non-fulfilment of contractual obligations and delays in project execution.
In view of the increasing number of issues, the plaintiff engaged a firm to conduct an audit which indicated that in several licensed territories, no development activity was commenced by WTC Noida.
The plea said the defendant also defaulted in making payment of the annual dues for 2024 owed to the plaintiff with respect to the license agreements for the territories of Patna, Bhopal, Amritsar and Ahmedabad.
Owing to such issues, in February, the plaintiff terminated the licenses granted by it in favour of the defendants and asked them immediately to cease any use of the WTC marks.
Bhalla, it said, on behalf of WTC Noida, responded that they were not willing to comply with the demand of the plaintiff.
The plaintiff later learnt of Bhalla’s arrest by the Enforcement Directorate which in a press release referred to Bhalla Group as the WTC Group.
“The plaintiff has also been aggrieved by such conflation of the Bhalla Group with the plaintiff, as the same has subsequently been picked up by several media houses, which have severely tarnished the plaintiff’s marks in India and brought disrepute not only to the plaintiff but also to 105 other bona fide licensees operating in India who have no connection with the defendants,” it said.