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What is commercial court jurisdiction in TM cases?

Legal Framework

  • Commercial court jurisdiction in trademark cases is governed by the Commercial Courts Act, 2015.
  • The Act applies to disputes of a commercial nature, including intellectual property rights.
  • Trademark infringement, passing off, and licensing disputes fall under its scope.
  • The law ensures speedy and efficient disposal of high-value commercial matters.
  • Amendments to the Trade Marks Act align it with the commercial litigation structure.

Jurisdiction Criteria

  • Only cases where the specified value is ₹3,00,000 or more are tried by commercial courts.
  • Jurisdiction is determined based on the location of cause of action or defendant’s place of business.
  • Commercial courts are usually established at the district level in major cities.
  • Higher-value cases may go to Commercial Divisions of High Courts with original jurisdiction.
  • The choice of court depends on territorial and pecuniary jurisdiction.

Scope of Cases Covered

  • Includes suits for infringement, passing off, cancellation, or rectification of trademarks.
  • Covers disputes involving licensing, assignment, franchising, and coexistence agreements.
  • Encompasses claims for damages, injunctions, and account of profits.
  • Also handles declaratory relief and enforcement of settlement agreements.
  • Counterclaims and related matters can also be raised before the same court.

Procedural Features

  • Cases are governed by the Code of Civil Procedure (CPC) as amended by the Commercial Courts Act.
  • Includes strict timelines for filing written statements and completing pleadings.
  • Courts may encourage mediation or alternative dispute resolution (ADR) before trial.
  • Emphasis is placed on case management hearings and summary judgments.
  • Courts follow an e-document filing system to enhance transparency and efficiency.

Advantages for Trademark Owners

  • Ensures specialized handling of trademark disputes by trained commercial judges.
  • Enables quicker relief through interim injunctions and expedited hearings.
  • Helps in uniform interpretation of IP laws across jurisdictions.
  • Encourages better compliance with procedural discipline and cost efficiency.
  • Offers a platform for effective enforcement of trademark rights in high-stakes matters.

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