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Trademark

Dongre v. Whirlpool 1996 PTC (16)

ISSUE:

Whether or not the action for passing off is maintainable against the registered proprietor of a trademark by the respondents who are not the registered proprietors of the 'whirlpool' trademark concerning washing machines?

Whether or not the respondent acquired a transborder reputation?

Whether such transborder reputation transcends territorial boundaries or not?

RULE:

The doctrine of transborder reputation recognizes that a trademark can acquire goodwill in a country even if it is not used or registered in that country. This is because consumers in one country may be aware of a trademark from another country through advertising, international trade, or other means.

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Trademark

Ananda Expanded Italics (Req), re- 2002 (24) PTC 427 CB

ISSUE:

The issue here was whether fonts fit the definition of ‘artistic work’ as provided for under Section 2(c) of the Copyright Act, 1957 and whether they can therefore be registered for copyright under the same act.

RULE:

Fonts/typefaces are not artistic works under Section 2(c) of the Copyright Act, 1957. This means that fonts/typefaces cannot be protected by copyright in India.

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Trademark

Toyota Jidosha Kabushiki Kaisha v. M/S Prius Auto Industries Limited [SC, December 14, 2017]

ISSUE:

Whether Prius Auto is guilty of passing off their products through the "Prius" trademark, thereby harming Toyota's market reputation?

RULE:

Use of a registered trademark for a product or service that is not similar to the goods or services for which the trademark is registered is not trademark infringement.

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Residence and Source Rules

Ebay International Ag, Mumbai v. Assessee, ITA, No.6784/M/2010

ISSUE:

Whether eBay India and eBay Motors can be considered as a permanent establishment of the assessee?

Whether eBay India constitute a dependent agent or not?

RULE:

The dependent agent has and habitually exercises, in that State, the authority to negotiate and enter into contracts for or on behalf of the enterprise.

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Residence and Source Rules

Formula One World Championship Ltd. v. Commissioner of Income-tax [2017] 394 ITR 80 (SC)

ISSUE:

Whether FOWC was having any 'Permanent Establishment' (PE) in India in terms of Article 5 of DTAA?

RULE:

The India-UK treaty defines permanent establishment in Article 5(1) as "a fixed place of business through which the business of an enterprise is wholly or partly carried on."

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Residence and Source Rules

The Anglo-French Textile Co. Ltd. v. CIT, AIR 1951 Mad 597

ISSUE:

Whether, in the circumstances of this case, the assessee company had any business connection in British India within the meaning of Section 42 (1) of the Act?

RULE:

Only a part of the operations which eventually result in the realisation of profits is carried on in British India has directed an apportionment of the profits so as to render liable to Indian income tax only that portion of the profits which can reasonably be attributed to the business operations that are carried on in British India.

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Residence and Source Rules

GVK Industries v. Income Tax Officer, (2011) 4 SCC 36

ISSUE:

Whether the Parliament has the power to enact laws for extraterritorial aspects for the territory of India or the welfare of the Indians?

RULE:

Article 245(1) does not extend to those extraterritorial aspects that do not have a nexus with India.

The Parliament can utilize its powers to enact extraterritorial laws only when the law has an impact on the territory of India or for the welfare and interest of the Indians.

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DRM

Columbia Sportswear Company v DIT, Bangalore (Special Leave Petition (C) No. 31543 of 2011)

ISSUE:

Whether a ruling of AAR can directly be challenged before the Supreme Court under Article 136 of the Constitution or it has to be first challenged before the High Court under Articles 226 and/or 227 of the Constitution.

RULE:

The Authority for Advance Rulings (AAR) is a tribunal under Articles 136 and 227 of the Constitution of India. This means that its rulings can be challenged directly in the Supreme Court or in the High Court, respectively.

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DRM

L S Cables Ltd. v. Director of Income-tax, A.A.R. No. 858-861 of 2009

ISSUE:

Whether the assessee was liable to pay tax in India on its offshore supply income.

Whether the assessee had a permanent establishment in India for the purpose of taxation.

RULE:

A foreign company is not liable to pay tax in India on its offshore supply income unless it has a permanent establishment in India.

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