The order follows Emami’s challenge over similarities between Cool King and Navratna Ayurvedic Oil packaging
The Delhi High Court has allowed Dabur India to sell 9,020 cartons of existing Cool King Thanda Tael stock until 30 September, offering limited relief to the company in its packaging dispute with Emami.
The dispute centres on Emami’s allegation that Dabur’s Cool King packaging is deceptively similar to the trade dress of its Navratna Ayurvedic Oil. The court had earlier restrained Dabur from selling Cool King in the disputed packaging, with a division bench upholding the order on 22 May.
Emami had accused Dabur of trademark infringement, passing off and unfair trade practices over the packaging used for Cool King. The division bench had observed that the products’ overall appearance, layout and colour scheme could mislead consumers.
Dabur subsequently sought permission to clear inventory manufactured before the injunction. A single judge allowed the company to sell the stock on 19 June, subject to conditions including disclosure of sales and recall of unsold inventory after 30 September.
Emami challenged the order, arguing that the single judge could not modify an injunction that had already been upheld by a division bench. The division bench agreed with the legal contention, holding that any relaxation or variation of such an order could only be considered by the division bench or a superior court.
Dabur Gets Limited Stock Clearance
However, after Emami gave its no-objection, the court allowed Dabur to clear the existing inventory subject to the safeguards previously imposed.
Dabur must withdraw Cool King from ecommerce platforms and seek removal of its listings and product images from platforms including Amazon and BigBasket. The remaining inventory can be sold only through physical outlets operated by wholesalers and retailers.
Any stock left unsold after 30 September will have to be recalled. The court has clarified that Dabur can rely on the permission only if it is able to complete the recall.
If Dabur cannot complete the recall, it will not be permitted to continue selling Cool King in the disputed trade dress and will have to use packaging that is distinct from Emami’s.
The underlying injunction against selling Cool King in a trade dress deceptively similar to Navratna remains in force.
