Background of the case:

The Commission received a formal complaint from M/s Eastern Product (Pvt.) Limited (Vital Tea) (the “Complainant”) alleging that the Respondent (M/s Master Food Industries) was involved in Deceptive Marketing Practices in violation of Section 10 of the Act by passing of Complainants product through fraudulent use of Complainants logo, Packaging, color Scheme, design and getup.

Accordingly, an enquiry was initiated to probe into the matter. The enquiry concluded that the conduct of the Respondent, prima facie, amounted to passing off its products as that of the Complainant’s through fraudulent use of Complainants logo, packaging, color scheme, design and get up product, in violation of Section 10 of the Act. It was further concluded that the conduct of the Respondent had the potential to inflict harm upon the goodwill and business interest of the Complainant while also confusing and misleading the consumers at large.

Issues:

i) Whether ignorance of law can be taken as a defense for violation of Section 10 of the Act?

ii) Whether the Respondent has resorted to deceptive marketing practices in violation of Section 10 of the Act?

Order:

The Commission noted that while their remains no doubt regarding the violation of the provisions of the Act, the approach of the representative of the Respondents needs to be appreciated as they cooperated throughout the proceedings. Keeping in view all the facts and circumstances of the matter at hand a penalty of Rs. 1,000,000/- (Rupees One Million Only).

Current Status:

In the instant matter, the directions of the Commission have been partially compiled.