The Delhi High Court has ruled in favour of Herbalife in a suit filed against Herbalways Nutrition Private Limited of Jalandhar.
US-based Herbalife Interna-tional, Inc, together with its subsidiaries, Herbalife International of America, Inc. and Herbalife International India Private Limited, had sued Herbalways for passing off and copyright infringement and for misusing trade marks, product labels and brochures of Herbalife.
The Delhi High Court has disposed of the suit as the parties have amicably settled their disputes. A settlement deed was executed by the parties on March 13 resolving all their disputes. As such the court, ruling in favour of Herbalife, disposed of the suit in terms of the settlement deed.
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As per the settlement deed, Herbalways acknowledged and admitted the violation on their part of Herbalife's rights in their properties including trade marks, product labels, packages, distributors' kits, literature and printed material which resulted in loss and damage to Herbalife's business and reputation. Herbalways agreed not to misuse not only the existing but also future intellectual properties of Herbalife.
As per the terms of the settlement, Herbalways is obligated to obtain prior approval of Herbalife for any change in its trade marks, product labels, etc. Advocates of Titus & Co, a law firm, appeared on behalf of Herbalife.
It was alleged that J S Mann, who was at one time Herbalife distributor was suspended by Herbalife from his distributorship in February 1999. Thereafter, Mann had started Herbalways selling similar products with the trade marks, labels and packages deceptively similar to those of Herbalife.