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Informist, Monday, Oct. 13, 2025

 

--HC bars Alchem Int'l to use Alchem for pdts on Alkem Lab injunction suit

 

By Surya Tripathi

 

NEW DELHI – The Delhi High Court has restrained Alchem International Pvt. Ltd. from selling, manufacturing or dealing with any pharmaceutical product using the name 'Alchem', or any other name similar to Alkem Laboratories Ltd.'s 'Alkem' trademark, till the court decides on the permanent injunction suit filed by the latter. 

 

The court noted Alkem Laboratories' statement in which it said the company has no objection if Alchem International used the mark 'Alchem' in respect of active pharmaceutical ingredients for sale in India and abroad. "Binding the plaintiff to the aforesaid statement, it is made clear that the interim injunction would not apply in respect of the defendant using the impugned mark 'Alchem' in respect of manufacture and sale of APIs (active pharmaceutical ingredients) in India and overseas, provided the same is not used for retail sales in India," the court said. 

 

Justice Amit Bansal said that the 'Alkem' and 'Alchem' trademarks of the plaintiff and defendant, respectively, are phonetically identical as well as visually and structurally similar. The plaintiff is the registered proprietor of the 'Alkem' trademark and is also the prior user and prior adopter of the mark for medicinal and pharmaceutical products since 1973, said the court. It noted Alchem International's submission that the company started using the mark in 1985, has no registration in its favour, and began retail sales in India only in 2006. The defendant's use of the mark 'Alchem' for similar products in India cannot be stated to be honest and bona fide, said Justice Bansal.

 

"Balance of convenience is in favour of the plaintiff and against the defendant. Irreparable harm and injury would be caused not only to the plaintiff but also to the public at large, if the defendant is permitted to use the said mark, in respect of similar goods, which are in the nature of medicines, having identical and overlapping trade channels, which is likely to cause confusion and deception among the consumers who are ordinary persons of average intelligence and imperfect recollection," said the court. It is a settled position of law that a stricter approach has to be adopted by courts while judging the likelihood of confusion between the two competing marks for pharmaceutical products, the court added.

 

In 2005, Alkem Laboratories found out that Alchem International was also engaged in the manufacturing and sale of pharmaceutical and allied products. Thereafter, the plaintiff sent a cease-and-desist notice to the defendant asking them to refrain from using the mark 'Alchem'. After receiving Alchem International's response, the plaintiff found no infringing products in the market and took no further action. However, in 2018, the plaintiff learnt that the defendant has been expanding its business under the 'Alchem' trademark. Upon this discovery, the plaintiff filed a permanent injunction suit in the high court. 

 

In its petition, Alkem Laboratories said its annual turnover for 2016-17 (Apr-Mar) for products sold under the 'Alkem' mark was to the tune of INR 58.53 billion. The plaintiff said it had also invested heavily in the promotion and advertisement of the 'Alkem' brand. Its annual promotional expenditure for 2016-17 for products sold under the mark 'Alkem' was to the tune of INR 4.26 billion, the plaintiff said.  

 

At 1153 IST, shares of Alkem Laboratories were up 0.6% at INR 5,485.50 on the National Stock Exchange.  End

 

IST, or Indian Standard Time, is five-and-a-half hours ahead of GMT

 

Edited by Tanima Banerjee

 

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