In the case of Atyati Technologies Private Limited (“Atyati”) versus Cognizant Technology Solutions US Corporation & Anr. (“Cognizant”), the Bombay High Court addressed a dispute regarding alleged infringement of Atyati’s copyright and registered device mark, “ATYATI Device Mark.” The court had initially granted an ex-parte ad-interim injunction restraining Cognizant from using its impugned logo, which Atyati claimed was deceptively similar to its trademark. Cognizant filed for vacation of the ex-parte order based on suppression and non-disclosure of material facts by Atyati.
Atyati argued in the case that Cognizant’s use of a similar logo constituted infringement and passing off, causing confusion among consumers and damaging Atyati’s reputation. Atyati claimed that it had only become aware of Cognizant’s use of the logo in October 2023, creating a sense of urgency that justified the ex-parte order.
In its argument for vacation of the ad-interim relief, Cognizant submitted that Atyati had suppressed material facts and misled the court. Cognizant presented evidence that it had been using the impugned logo since 2022, a fact Atyati was aware of but failed to disclose to the Court. This was supported by Atyati’s own cease and desist notice from October 2023, which acknowledged Cognizant’s use of the logo since 2022, as well as by public domain materials, including Cognizant’s LinkedIn posts and trademark applications.
The court started its analysis by emphasizing the duty of full and frank disclosure required for obtaining ex-parte orders. It found that Atyati had indeed suppressed crucial information regarding Cognizant’s prior use of the logo. Consequently, the court ruled that the interim relief granted to Atyati should not continue, as the suppression of facts undermined the integrity of the judicial process. Though Atyati contended that despite any alleged suppression, the deceptive similarity between the logos warranted continuation of the injunction, the court held that the interests of justice did not support maintaining the ex-parte injunction, especially given the deliberate suppression of material facts by Atyati.
In conclusion, the Bombay High Court vacated the ex-parte ad-interim injunction, stressing the importance of transparency and full disclosure in ex-parte proceedings.
Citation: Atyati Technologies Private Limited v. Cognizant Technology Solutions U.S., IAL-7958-2024, Commercial IP Suit (L) No. 7897 of 2024 (H.C. Bombay June 13, 2024). Available at: http://indiankanoon.org/doc/178798202/, Visited on: 22/07/2024.
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