The case of
Dr. Aloys Wobben and Another vs. Yogesh Mehra and Others is a
landmark judgment delivered by the Supreme Court of India on June 2, 2014. It
addresses critical issues in patent law, particularly concerning the interplay
between revocation petitions filed before the Intellectual Property Appellate
Board (IPAB) and counter-claims for revocation filed in response to patent
infringement suits before a High Court. The case delves into the interpretation
of Section 64 of the Patents Act, 1970, and the procedural propriety of pursuing
multiple remedies simultaneously to challenge the validity of a patent. The
judgment clarifies the legal position on whether a party can pursue both a
revocation petition and a counter-claim concurrently and establishes principles
to avoid multiplicity of proceedings, thereby ensuring judicial efficiency and
fairness.
Detailed Factual Background:
Dr. Aloys Wobben, a scientist-engineer and the first
appellant, is renowned for his contributions to wind turbine generators and wind
energy converters. He holds approximately 2,700 patents across more than 60
countries, including about 100 in India. Wobben Properties GmbH, the second
appellant, acquired the rights to Dr. Wobben’s Indian patents and designs
through an assignment agreement dated January 5, 2012. Dr. Wobben is also
involved in manufacturing wind turbines through Enercon GmbH, a company among
the top three global manufacturers in this field, operating in 27 countries with
over 8,000 employees.
In India, Dr. Wobben conducted his manufacturing operations through a joint
venture with Yogesh Mehra and Ajay Mehra (respondents nos. 1 and 2), forming
Enercon India Limited (respondent no. 3), later renamed Wind World (India)
Limited. Established in 1994, this joint venture operated under intellectual
property license agreements granted by Dr. Wobben, with the last agreement
executed on September 29, 2006, superseding prior agreements from 1994 and 2000.
Enercon GmbH terminated this agreement on December 8, 2008, citing non-fulfillment
of obligations by Enercon India Limited.
Despite the termination, the respondents continued to use Dr. Wobben’s patented
technology, prompting allegations of unauthorized exploitation of intellectual
property. In response, Enercon India Limited filed 19 revocation petitions in
January 2009 before the IPAB under Section 64(1) of the Patents Act, seeking to
revoke Dr. Wobben’s patents. Subsequently, Dr. Wobben initiated multiple patent
infringement suits against the respondents, starting with the first suit on July
27, 2009, followed by additional suits filed between October 2009 and July 2010.
In response to these suits, the respondents filed counter-claims seeking
revocation of the same patents, and later filed four additional revocation
petitions before the IPAB in 2010 and 2011.
The simultaneous pursuit of revocation petitions and counter-claims led to a
complex legal dispute, with some revocation petitions being resolved by the IPAB
while others remained pending. The respondents’ actions raised questions about
the permissibility of pursuing multiple remedies for the same purpose, the
jurisdiction of the IPAB versus the High Court, and the procedural propriety of
such parallel proceedings.
Detailed Procedural Background:
The procedural history of the case is intricate, reflecting the multiplicity of legal actions initiated by both parties.
Issues Involved in the Case:
- Permissibility of Simultaneous Remedies: Whether a party under Section 64(1) can pursue both a revocation petition before the IPAB and a counter-claim before the High Court?
- Jurisdictional Conflict: Whether a counter-claim in High Court ousts the IPAB’s jurisdiction or vice versa?
- Interpretation of Section 64: Does the word “or” in Section 64(1) mean remedies are mutually exclusive?
- Consent Order’s Binding Nature: Does the September 1, 2010 consent order preclude further IPAB petitions?
Appellants’ Submissions (Dr. Aloys Wobben and Wobben Properties GmbH):
- Exclusive Jurisdiction of High Court: High Court alone should decide validity once a counter-claim is filed.
- Disjunctive Nature of “Or” in Section 64(1): Remedies are mutually exclusive.
- Subservience of Section 64: Section 64 is subordinate to Section 25(2) proceedings.
- Res Judicata and Procedural Bar: Only one remedy should be allowed to avoid conflict; invoked CPC Sections 10 and 151.
- Consent Order’s Binding Effect: Revocation petitions violated the consent order.
- Analogy with Trade Marks Act: Absence of a provision like Section 124 of Trade Marks Act implies no parallel proceedings.
Respondents’ Submissions (Yogesh Mehra, Ajay Mehra, and Enercon India Limited):
- Independent Remedies under Section 64(1): Revocation petition and counter-claim are both valid paths.
- IPAB’s Statutory Jurisdiction: Counter-claims do not bar IPAB from adjudicating revocation petitions.
- No Procedural Bar: Legal framework allows both remedies if done properly in sequence.
- Broader Remedial Scope of Revocation Petitions: More procedural options available compared to counter-claims.
- Consent Order’s Scope: It applied only to High Court proceedings, not to already filed IPAB petitions.
Detailed Discussion on Judgments and Citations:
- Section 64 of the Patents Act, 1970:
- Context: Allows revocation by IPAB or High Court.
- Court’s Analysis: “Or” is disjunctive; both remedies cannot be pursued simultaneously.
- Section 25 of the Patents Act, 1970:
- Context: Governs opposition proceedings.
- Court’s Analysis: Section 25(2) proceedings prevent future challenges under Section 64(1).
- Section 104 of the Patents Act, 1970:
- Context: Infringement suits and counter-claims go to High Court.
- Court’s Analysis: Timing decides which forum has jurisdiction.
- Sections 10 and 151 of CPC, 1908:
- Context: Stay of proceedings and inherent powers.
- Court’s Analysis: Prevents multiplicity of proceedings and abuse of process.
- Section 124 of the Trade Marks Act, 1999:
- Context: Courts may stay trademark suits pending rectification.
- Appellants’ Argument: Patents Act lacks similar provision, implying bar on parallel proceedings.
Case Title: Dr. Aloys Wobben and Another vs. Yogesh Mehra and Others:
Date of Order June 2, 2014:Case No. Civil Appeal No. 6718 of 2013:Neutral
Citation AIR 2014 SC 2210, (2014) 15 SCC 360 :Name of Court: Supreme Court of
India:Name of Hon'ble Judge Justice Jagdish Singh Khehar and Justice A.K.
Patnaik
Disclaimer: The information shared here is intended to serve the public interest
by offering insights and perspectives. However, readers are advised to exercise
their own discretion when interpreting and applying this information. The
content herein is subjective and may contain errors in perception,
interpretation, and presentation.
Written By: Advocate Ajay Amitabh Suman, IP Adjutor - Patent and
Trademark Attorney
Email: ajayamitabhsuman@gmail.com, Ph no: 9990389539
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