Delhi High Court awards damages and legal cost to Starbucks over Frappuccino
The coffee chain will receive Rs.15 lakh in the trademark infringement suit
The Delhi High Court has awarded Starbucks litigation costs of Rs.13 lakh and damages of Rs.2 lakh in its suit filed over the infringement of its registered trademark ‘Frappuccino’.
While ruling in tne Starbucks Corporation vs LOL Cafe & Anr case, the bench of Justice Navin Chawla held that Starbucks had a worldwide reputation in the Frappuccino mark.
The court stated, “The adoption of the mark Frappuccino by the defendants is dishonest and intended to deceive an unwary consumer. It amounts to infringement of the plaintiff’s trademark and would also result in passing off the goods of the defendants as that of the plaintiffs.”
Starbucks had approached the court alleging that Jaipur-based LOL Cafe was engaged in infringing its registered trademark Frappuccino. The coffee chain found that the cafe was selling a beverage called Brownie Chips Frappuccino without permission, authorization, or license.
It, therefore, sought a permanent injunction against the defendant café from using Frappuccino, either alone or with any prefix or suffix.
In August 2019, the court issued a summons to the defendants and passed an ex-parte ad interim injunction against them. However, the defendants chose not to appear or file their written statements. As a result, they proceeded against the ex-parte.
The court noted that Starbucks used Frappuccino with a suffix depicting the flavors of its beverages, like ‘Java Chip Frappuccino’ and others. Therefore, the adoption of the mark Frappuccino by the defendants meant deception.
Relying on its own order in the TeaQuila – A Fashion Cafe & Anr, where it awarded damages of Rs.2 lakh, the court awarded Starbucks damages of the same amount and litigation costs of Rs.13 lakh, apart from the court fees.