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CS Executive · Economic, Commercial and Intellectual Property Laws · Law relating to Trade Marks

Kavita Foods owns a registered mark for pickles and plans to assign it for pickles in Gujarat to Buyer X while assigning an identical mark for pickles in Kerala to Buyer Y. Each would hold exclusive rights limited to its own place in India. Under the Trade Marks Act, 1999, what is the general position?

Such an assignment is barred by section 41, which prohibits exclusive rights in identical or resembling marks for the same goods in different parts of India. It can be saved only if the Registrar approves, being satisfied that use would not be contrary to the public interest.

  1. AValid, because each buyer's rights are confined to a different territory
  2. BValid, provided both buyers register within one year
  3. CNot permitted, unless the Registrar is satisfied that the use would not be contrary to the public interest and approves itCorrect
  4. DNot permitted under any circumstances, since the Registrar has no power of approval

Explanation

Section 41 bars assignment creating exclusive rights in identical or nearly resembling marks for the same goods in different parts of India. The proviso lets the Registrar approve if use would not be contrary to the public interest. Option A ignores the bar, and D ignores the proviso.

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