K.G. Balakrishnan JUDGMENT
R.C. Lahoti, J.
1. The plaintiff, feeling aggrieved by the orders of the learned Trial Judge and the High Court of Gujarat, refusing his prayer for the grant of ad-interim injunction has filed these special leave petitions.
2. Leave granted.
3. According to the plaintiff, he started the business of colour lab and studio in the year 1982 in Ahmedabad, in the name and style of Muktajivan Colour Lab and Studio and is using the name since 1982 openly, extensively and to the knowledge of everyone concerned. The high quality of services rendered by the plaintiff to his customers has earned a reputation and developed a goodwill associated with the trade name Muktajivan Colour Lab. In order to develop his business the plaintiff has promoted his wife Radhaben to open a new colour lab in the name and style of Muktajivan Colour Studio at two other localities of Ahmedabad - one, at H.J. House, next to Maninagar, and two, at Nandanbaug Shopping center, Nava Vadaj. At the latter place the business is being run in the partnership of Radhaben, the wife of the plaintiff and her brother, Karsan Manji Bhutia. The plaintiff has expanded his business by incurring substantial expenditure on advertisement and by incorporating the word 'Muktajivan' in all stationery materials, letter-heads, invoices, albums, hoardings, sign-boards etc. The defendant No. 1 who was carrying on his similar business in the name and style of 'Gokul Studio' is intending to commence business through his wife, the defendant No. 2 by adopting the name and style of Muktajivan Colour Lab and Studio.
4. On 12.5.1997 the passing off action was initiated by the plaintiff by filing a suit in the District Court of Ahmedabad seeking issuance of permanent preventive injunction against the defendants restraining them from passing off their business, services and goods as of and for the business, services and goods of the plaintiff. An application seeking an ad-interim injunction, on identical facts, was also filed. On the same day the learned Trial Judge passed an ex-parte order of injunction directing the defendants to "maintain status quo in respect of Muktajivan Colour Lab and Studio if the business is not yet started in the name and style of Muktajivan Colour Lab and Studio" till the next date. The defendants made appearance and submitted that their business in the name of Muktajivan Colour Lab and Studio had started before the filing of the suit. It was further submitted that the plaintiff was earlier carrying on business in the name of 'M.J.' and it was in the year 1995 that the plaintiff substituted 'Muktajivan' in place of 'M.J.' Secondly, the plaintiff's business name was "QSS-Muktajivan Colour Lab" since 1995 and therefore it was not correct that the plaintiff's trade name was Muktajivan Colour Lab since 1982 as alleged by him. It was admitted that the defendant No. 1 was carrying on the business in the name of Gokul Studio but there was nothing wrong in the defendants starting or continuing their business in the name and style of Muktajivan Colour Lab which will not be identical with the business of the plaintiff and therefore would not amount to committing the wrong of passing off. It was also submitted that the locality where the defend........