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Cutis Biotech claims ‘Covishield’ over prior use; Bombay HC says ‘No’, will cause confusion – Business Today

Bombay High Court has refused to restrain Serum Institute of India from using the name ‘Covishield’ for its vaccine against COVID-19, noting that such an order would create confusion and disruption in the vaccine administration programme.

A division bench of Justices Nitin Jamdar and CV Bhadang dismissed an appeal filed by Nanded-based pharmaceutical firm Cutis Biotech, which sought that Serum Institute should be stopped from using the word as it belonged to them.

The company had based its case on the action of Serum Institute passing off a product under the name which has been used by Cutis Biotech for its products in the past. The company said that in April last year, it had filed an application before the concerned authority for registration of the trademark ‘Covishield’. The company had proposed this name for some Ayurvedic, Allopathic, medicinal and pharmaceutical products sold by it.

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The court in its order said it is now widely known that Covishield is a vaccine to counter coronavirus. “A temporary injunction directing Serum Institute to discontinue the use of mark ‘Covishield’ for its vaccine will cause confusion and disruption in the vaccine administration programme. In this case, thus, the grant of an injunction would have large-scale ramifications traversing beyond the parties to the suit,” the order said.

The court order noted that union government had rolled out an extensive vaccination drive and, as on March 16, 66 million doses of Covishield have been supplied to the Centre, while some 59 million doses have been supplied to 72 countries. The union government had placed a further order of 10 crore doses of Covishield.

“Serum Institute has, to date, made a sale amounting to Rs 37,507 lakh through the sale of Covishield vaccine. With these facts, the balance of convenience is not in favour of Cutis Biotech. Grant of injunction against Serum Institute would have a serious impact on its business,” the court said.

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The court, in its order, noted that neither Cutis Biotech nor Serum Institute have a registration for the trademark ‘Covishield’. Serum Institute counsel Birendra Saraf, while opposing the plea, said that the company applied for registration of trademark ‘Covishield’ for its vaccine against coronavirus but has been using the term since March last year when it sought permission from the union government to start clinical trials of the vaccine.

The court in its order said there is adequate evidence to show prior adoption and use, but Serum Institute has also continued its use (of the trademark) without a break, and, till date, the company had produced 60 million Covishield vaccine doses per month, of which 48 million were supplied to the Union government.

The bench further said that Serum Institute had coined the word ‘Covishield’ and took substantial steps towards its development and manufacture.

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Source: https://www.businesstoday.in/current/corporate/cutis-biotech-claims-covishield-over-prior-use-bombay-hc-says-no-will-cause-confusion/story/437134.html