Delhi High Court Restrains Ex-Franchisee From Using Moti Mahal's Trademarks

Delhi High Court Restrains Ex-Franchisee From Using Moti Mahal's Trademarks

The Delhi High Court has issued an injunction restraining an ex-franchisee of the iconic restaurant chain Moti Mahal from using its registered trademarks, including "Moti Mahal Delux" and "Moti Mahal Delux Tandoori Trail," to advertise or promote its restaurant and catering business.

Justice Mini Pushkarna, presiding over the case, directed SRMJ Business Promoters to remove all references to Moti Mahal from hoardings, as well as from online platforms such as Zomato, Facebook, and Instagram. The Court noted that the plaintiffs had established a prima facie case for an injunction and would suffer irreparable harm if relief was not granted. The balance of convenience was also found to favour the plaintiffs.

The suit was filed by Moti Mahal, alleging that despite the termination of the franchise agreement, SRMJ continued to operate under the name "Moti Mahal Delux Tandoori Trail" and use trademarks like "Moti Mahal Delux." These marks were claimed to be deceptively similar to the plaintiffs’ well-known and registered trademarks, such as "Moti Mahal," "Moti Mahal Group," and "Moti Mahal Management Services."

The plaintiffs argued that SRMJ’s actions constituted infringement, passing off, and unfair trade practices, designed to mislead consumers and potential franchisees while exploiting Moti Mahal's goodwill and reputation built over more than 100 years. The Court also acknowledged the unauthorised use of artistic works, including an oval device design, protected under the Copyright Act, 1957.

The order restrains SRMJ, along with its affiliates and representatives, from using any marks deceptively similar to the plaintiffs' trademarks. Additionally, SRMJ was directed to remove all such references from its premises and social media platforms.

The matter has been listed for further hearing on May 6, 2025.