Maggi vs Maggisun: Delhi HC closes trademark infringement suit after Nestle settles case with utensil maker

The Delhi High Court has closed a trademark infringement lawsuit filed by Nestle SA, the parent company of popular instant noodle brand Maggi, after it entered into a settlement with the defendant.

Nestle SA had filed the lawsuit against a company that was manufacturing utensils under the name of “Maggisun”, which the FMCG giant found problematic.

The Delhi HC order closing the case was given on September 22.

Justice Tejas Karia decreed the suit after the defendant, Shankeshwar Utensils & Appliances Private Limited, said that it would not manufacture products under the name of “Maggisun” or any other brand that imitated Maggi.

“The Suit is decreed in terms of the Settlement arrived at between the Parties as recorded above. Let the Decree Sheet be drawn up accordingly. The Parties are directed to be bound by the terms of the Settlement,” the Delhi HC order reads.

“The Suit and the pending Application(s) stand disposed of,” it adds.

The case was filed by Societe Des Produits Nestle SA, the official corporate name of FMCG giant Nestlé company, in 2018.

What does the settlement agreement say?

In its undertaking, defendant Shankeshwar Utensils & Appliances submitted that it acknowleges Nestle to be the proprietor of the trademark MAGGI.

“The Defendant undertakes not to manufacture, sell, offer for sale, advertise, directly or indirectly deal in pressure cookers or any goods/services under the trade mark MAGGISUN or any other trade mark as may be identical to or similar to the Plaintiffs’ trade mark MAGGI, and further undertakes not to advertise MAGGISUN, MAGGI or any other similar trade mark on any media including print, electronic, social media, or on ecommerce platforms in any manner whatsoever now and in future,” the court order reads.

The company has also undertaken to destroy all pressure cookers and other goods including stickers and labels bearing the name Maggisun and submit photographic evidence to Nestle SA within two weeks, as well as cancel its trademark registration for the name.

Nestle SA has agreed to not press for the remaining prayers in the case, “if the suit is decreed in terms of the Settlement aforesaid arrived at between the Parties”.