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Delhi HC stays order directing Amazon to pay ₹339 cr in trademark case
Delhi HC stays order directing Amazon to pay ₹339 cr in trademark case

Business Standard

time4 days ago

  • Business
  • Business Standard

Delhi HC stays order directing Amazon to pay ₹339 cr in trademark case

A division bench of the Delhi High Court on Tuesday stayed a 2020 single-judge order that had directed Amazon Technologies to pay Rs 339 crore in damages to Lifestyle Equities for alleged trademark infringement involving the 'Beverly Hills Polo Club' brand. The division bench of Justice C Hari Shankar and Justice Ajay also stayed the cost imposed by the single judge. 'The considerations outlined hereinabove make out, in our considered opinion, an exceptional case, in which it would be a complete travesty of justice to require the appellant Amazon Tech to deposit, or secure, any part of the amount decreed by the impugned judgment, in order to maintain its appeal,' the bench said. The court said there was no specific finding by the single judge against Amazon Tech, identifying its role in the affixation of the mark Beverly Hills on the apparel sold by Cloudtail on the Amazon Seller Services Private Limited (ASSPL) online platform. It added that the single judge's findings were largely generalised in nature, concentrating on the phenomenon of e-infringement and reflecting a view that, if Amazon Tech desired, it could infringe, rather than infringing. The division bench also said that it did not find any prima facie sustainable allegations of involvement by Amazon Tech in any infringement of Lifestyle's registered trademark. 'This, therefore, is not merely a case in which damages have been awarded against Amazon Tech without any finding, by the learned single judge, of involvement in the alleged infringing activities, but is, in fact, a case where no such pleadings exist,' the bench said. Amazon's main appeal will come up for hearing on 9 October. In 2020, Lifestyle Equities filed an infringement suit against Amazon Technologies and others alleging unauthorised use of a mark similar to its brand. Lifestyle claimed the infringing trademark appeared on apparel manufactured and sold by Amazon Technologies under its Symbol brand, and that Cloudtail India, a major seller on was also involved in the sales. The single-judge bench in October 2020 then issued an interim injunction restraining Amazon and Cloudtail from selling the alleged infringed products.

Delhi High Court stays ₹340-crore damages order against Amazon in trademark case
Delhi High Court stays ₹340-crore damages order against Amazon in trademark case

Mint

time4 days ago

  • Business
  • Mint

Delhi High Court stays ₹340-crore damages order against Amazon in trademark case

The Delhi High Court has delivered Amazon Technologies, a subsidiary of global e-commerce giant Amazon Inc., a major reprieve in a trademark infringement case against it. On Tuesday, a division bench of the high court stayed a single-judge order that had directed the company to pay nearly ₹ 340 crore ($39 million) in damages to Lifestyle Equities for trademark infringement involving the Beverly Hills Polo Club brand. The bench of justices Hari Shankar and Ajay Digpaul granted the interim stay without requiring Amazon to make a pre-deposit. However, Amazon has been asked to undertake that it will pay the damages if the final decision goes against it. The court clarified that the stay order would not influence the outcome of the appeal. The dispute began in 2020, when Lifestyle Equities a UK company that owns and manages the Beverly Hills Polo brand filed a trademark infringement suit against Amazon Technologies and others, alleging unauthorised use of a deceptively similar mark on apparel and other products sold on Amazon platforms. The company claimed the infringing trademark appeared on apparel manufactured and sold by Amazon Technologies under its Symbol brand, and that Cloudtail India, a major seller on was also involved in the sales. In October 2020 the high court issued an interim injunction restraining Amazon and Cloudtail from using the mark and ordered that the infringing listings be removed. Amazon Technologies failed to appear at the proceedings and was eventually proceeded against ex-parte. Meanwhile, Cloudtail India admitted it had sold infringing products between 2015 and July 2020, earning total sales of ₹ 23.9 lakh with a profit margin around 20%. While Cloudtail offered to settle, mediation attempts failed, leading the court to pass a decree against Cloudtail and awarding ₹ 4.78 lakh in damages to Lifestyle Equities. In its final judgement on 25 February 2025, the single-judge bench held Amazon liable for about ₹ 340 crore in total damages and costs, saying that its close commercial relationship with Cloudtail made it directly responsible for the infringement. The court examined the Amazon-Cloudtail brand license and distribution agreement, noting that it granted Cloudtail extensive rights to use Amazon's trademarks and branding, undermining Amazon's defence of being a mere intermediary. The court awarded $5 million for Lifestyle's additional advertising and promotional expenses incurred to protect its brand reputation, and $33.78 million in compensatory damages for lost royalties, bringing the total to $38.78 million (around ₹ 336 crore) plus litigation costs.

Delhi High Court stays  ₹340-crore damages order against Amazon in trademark case
Delhi High Court stays  ₹340-crore damages order against Amazon in trademark case

Mint

time4 days ago

  • Business
  • Mint

Delhi High Court stays ₹340-crore damages order against Amazon in trademark case

The Delhi High Court has delivered Amazon Technologies, a subsidiary of global e-commerce giant Amazon Inc., a major reprieve in a trademark infringement case against it. On Tuesday, a division bench of the high court stayed a single-judge order that had directed the company to pay nearly ₹ 340 crore ($39 million) in damages to Lifestyle Equities for trademark infringement involving the Beverly Hills Polo Club brand. The bench of justices Hari Shankar and Ajay Digpaul granted the interim stay without requiring Amazon to make a pre-deposit. However, Amazon has been asked to undertake that it will pay the damages if the final decision goes against it. The court clarified that the stay order would not influence the outcome of the appeal. The dispute began in 2020, when Lifestyle Equities a UK company that owns and manages the Beverly Hills Polo brand filed a trademark infringement suit against Amazon Technologies and others, alleging unauthorised use of a deceptively similar mark on apparel and other products sold on Amazon platforms. The company claimed the infringing trademark appeared on apparel manufactured and sold by Amazon Technologies under its Symbol brand, and that Cloudtail India, a major seller on was also involved in the sales. In October 2020 the high court issued an interim injunction restraining Amazon and Cloudtail from using the mark and ordered that the infringing listings be removed. Amazon Technologies failed to appear at the proceedings and was eventually proceeded against ex-parte. Meanwhile, Cloudtail India admitted it had sold infringing products between 2015 and July 2020, earning total sales of ₹ 23.9 lakh with a profit margin around 20%. While Cloudtail offered to settle, mediation attempts failed, leading the court to pass a decree against Cloudtail and awarding ₹ 4.78 lakh in damages to Lifestyle Equities. In its final judgement on 25 February 2025, the single-judge bench held Amazon liable for about ₹ 340 crore in total damages and costs, saying that its close commercial relationship with Cloudtail made it directly responsible for the infringement. The court examined the Amazon-Cloudtail brand license and distribution agreement, noting that it granted Cloudtail extensive rights to use Amazon's trademarks and branding, undermining Amazon's defence of being a mere intermediary. The court awarded $5 million for Lifestyle's additional advertising and promotional expenses incurred to protect its brand reputation, and $33.78 million in compensatory damages for lost royalties, bringing the total to $38.78 million (around ₹ 336 crore) plus litigation costs. This single-judge order was considered a landmark ruling by experts because it established that e-commerce platforms such as Amazon could be held directly liable for trademark infringement by sellers on their platforms. Platforms have traditionally claimed they are mere intermediaries, but the court held that Amazon's agreements and control over sellers made it accountable.

Delhi HC stays ₹340 crore damages order against Amazon in trademark case
Delhi HC stays ₹340 crore damages order against Amazon in trademark case

Time of India

time4 days ago

  • Business
  • Time of India

Delhi HC stays ₹340 crore damages order against Amazon in trademark case

The Delhi High Court on Tuesday stayed an earlier order that had directed Amazon Technologies to pay Rs 340 crore in damages to Lifestyle Equities for alleged trademark infringement involving the ' Beverly Hills Polo Club ' brand. The division bench also stayed the cost imposed by the single judge. The stay is subject to Amazon complying with the remaining directions issued by the single judge bench in the case, the division bench led by Justice Hari Shankar ordered. In May, Amazon Technologies approached the division bench to challenge the February ruling. The single judge, Justice Prathiba M Singh, had ordered the company to stop selling, advertising, or dealing in any products that used the mark or logo similar to Lifestyle's registered trademark. Lifestyle Equities and Lifestyle Licensing claimed ownership of the 'Beverly Hills Polo Club' trademark and said the brand held goodwill in both domestic and global markets. They had launched the brand in India in 2007 and offer a range of products including clothing, watches, eyewear, bags, and footwear. Amazon had told the division bench that the single judge's findings lacked supporting evidence of infringement and said the matter needed detailed legal scrutiny. Live Events The earlier judgment had observed that Amazon Technologies was offering similar products at a fraction of Lifestyle's pricing, and called it a strategy of obfuscation, given Amazon's market dominance.

Amazon Technologies challenges Rs 340 cr trademark infringement verdict in Delhi HC over 'Beverly Hills Polo Club' dispute
Amazon Technologies challenges Rs 340 cr trademark infringement verdict in Delhi HC over 'Beverly Hills Polo Club' dispute

Time of India

time03-05-2025

  • Business
  • Time of India

Amazon Technologies challenges Rs 340 cr trademark infringement verdict in Delhi HC over 'Beverly Hills Polo Club' dispute

Amazon Technologies , Inc. on Friday moved the division bench of the Delhi High Court , challenging its single judge order that asked the US major to pay Rs 340 crore in damages to Lifestyle Equities C.V. and Lifestyle Licensing B.V. for infringement of the latter's registered trademark ' Beverly Hills Polo Club '. The division bench led by Justice Hari Shankar posted the matter for further hearing on Wednesday. Amazon told the bench that Lifestyles companies, which had claimed 'rightful ownership' of the mark and highlighted 'extensive goodwill and recognition in the domestic and international markets", had failed to show any evidence before the single judge that it had infringed their trademark. The Us company further argued that the matter required a detailed examination by the division bench. In February, Justice Prathiba M. Singh had permanently restrained Amazon Technologies from selling, advertising, directly or indirectly dealing in any products or using in any manner the logo mark which was identically or deceptively similar to the Lifestyle companies' trademark. She held that it is a known fact that Amazon Technologies is one of the most dominant players in the ecommerce space and has ways and means to use its dominant presence to promote its own products, as well as products that it might otherwise wish to promote. Amazon Technologies, which was placing products priced at 10 per cent of Lifestyle's product cost, was engaging in a deliberate strategy of obfuscation, pretending to wear different hats—one as an intermediary, one as a retailer and one as a brand owner—all in an attempt to shift responsibility and evade liability for trademark infringement , Justice Singh had said. 'It is a well known reality that all three defendants (Amazon Technologies, Cloudtail India and Amazon Seller Service) belong to the Amazon Group of Companies and operate as a cohesive commercial entity. Amazon Technologies has selectively chosen when to appear and not appear before the court,' the court noted, while saying that Amazon failed to explain the exact relationship between the three defendants, but agreed to suffer a permanent injunction, thereby evading scrutiny. "Thus, the clear attempt is to not disclose the exact relationship between the said three defendants to this court. Accordingly, in the opinion of this court, this is not a bona fide conduct of a party before the court and the conduct of the defendant clearly demonstrates that there is an intent to withhold crucial information from the court, rather than engage in bona fide conduct as expected of a party before a judicial forum," Justice Singh said. Amazon Technologies also has the leverage through its own platforms to dilute the Lifestyle brand or logo by indulging in deep discounting of its own products that compete with the latter's by using a similar mark or logo, Justice Singh added. The Lifestyle entities had argued that it would be a classic case where owing to the wilful nature of the infringement, exemplary and punitive damages would be liable to be granted. Punitive damages were also required to reprimand the conduct of the defendants, which run a famous ecommerce portal and were also indulging in such a flagrant violation of IP rights, Lifestyle entities told the HC. Lifestyle Equities C.V. had launched its products in India under the Beverly Hills Polo Club trademark in 2007. The Beverly Hills Polo Club word-mark is stated to have been inspired from the geographical location Beverly Hills in Los Angeles, California, an area renowned for its luxury, affluence and association with high-end fashion and lifestyle products. The Lifestyle trademark consists of the word-mark 'Beverly Hills Polo Club' and the accompanying logo, the image of a 'charging polo pony, the rider and the polo stick or mallet'.

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