Court Rules Online Commercial Activities Establish Jurisdiction in Intellectual Property Case
In a significant ruling, the Delhi High Court has reversed a lower court's decision, restoring jurisdiction over a contentious trademark and copyright infringement case involving online commercial activities. The case, Rukhmani Keshwani v. Raju Agarbatti Works, centered around the alleged unauthorized use of the "RADHEY KRISHNA" trademark and trade dress by the defendants, Raju Agarbatti Works and another party.
The appellant, Rukhmani Keshwani, had previously filed a suit seeking a permanent injunction and damages against the defendants for infringing on her registered trademark and trade dress. The initial suit was dismissed by the District Judge (Commercial Court-03) in Shahdara, Delhi, citing lack of territorial jurisdiction, as both parties were primarily conducting business from Ajmer, Rajasthan.
However, the Delhi High Court bench, comprising Justices C. Hari Shankar and Om Prakash Shukla, found that the lower court had adopted an unduly narrow interpretation of jurisdictional principles, especially in the context of modern e-commerce practices. The High Court emphasized that interactive online platforms and e-commerce listings, such as those on India Mart, can establish jurisdiction if they demonstrate purposeful commercial targeting and actual infringing activity within the jurisdiction.
The court noted that the plaintiff had provided substantial evidence of commercial transactions and deliveries within Delhi, facilitated through online platforms, which constituted a material part of the cause of action. It was observed that the defendants' listings on India Mart, which included GST-verified business details, extended their commercial reach beyond Rajasthan, thereby justifying the Delhi court's jurisdiction.
This ruling underscores the evolving nature of jurisdictional analysis in the digital age, where traditional territorial boundaries are transcended by online commercial activities. The decision reaffirms that courts must consider the commercial reality of digital trade and the substantive elements of online interactions when determining jurisdiction in intellectual property disputes.
The case has been remanded back to the Delhi District Court for further proceedings, with the High Court directing the lower court to proceed uninfluenced by its previous jurisdictional findings. The parties are set to appear for further proceedings on July 10, 2026.
Bottom line:-
Intellectual Property Law - Territorial jurisdiction in cases involving online commercial activities - Mere accessibility of an interactive website or e-commerce platform does not automatically confer jurisdiction unless there is purposeful commercial targeting or actual infringing activity within the jurisdiction.
Statutory provision(s): Order VII Rule 10 of the Civil Procedure Code, 1908; Section 134 of the Trade Marks Act, 1999; Section 62 of the Copyright Act, 1957; Section 20(c) of the Civil Procedure Code, 1908
Rukhmani Keshwani v. Raju Agarbatti Works, (Delhi)(DB) : Law Finder Doc id # 2933764
