Authored By Kiran Raj

The Delhi High Court on December 24, 2024  heard a trademark dispute filed by Twenty Four Seven Retail Store Private Limited against Godfrey Phillips India Limited, concerning the alleged unauthorized use of the "24Seven" trademark. The plaintiffs contended that despite exiting the retail business in July 2024, Godfrey Phillips India continued the unauthorized use of their trademark, infringing upon their intellectual property rights. The matter was heard by Justice Mini Pushkarna, who issued directions for further proceedings.

Senior Advocate Sandeep Sethi, appearing for the plaintiffs, alleged that Godfrey Phillips India, a former stakeholder in the "24Seven" retail chain, had violated their trademark rights by continuing to use the mark even after its exit from the retail business. Sethi argued, “The defendant’s actions constitute a direct infringement of the plaintiffs’ exclusive rights, causing harm to the goodwill and reputation of the trademark.”

In response, Senior Advocate Rajiv Nayar, representing Godfrey Phillips India, refuted the allegations. He submitted before the Court, “The defendant’s retail business operations ceased on July 31, 2024, and the use of the disputed trademark was discontinued as of October 10, 2024. This cessation was communicated to the plaintiffs in writing.” Nayar maintained that the allegations of continued use were without merit, as the company had formally notified the plaintiffs of the cessation through a letter dated October 10, 2024.

Justice Pushkarna recorded the defendant’s statement, holding them bound by their assertion that the use of the "24Seven" trademark had ceased.

Justice Pushkarna proposed mediation as a possible resolution for the dispute, but the plaintiffs opposed this suggestion, opting for judicial adjudication. Consequently, the Court directed that the plaint be registered as a suit and issued summons to the defendant. The defendant was ordered to file a written statement within 30 days, accompanied by an affidavit of admission and denial of the plaintiffs’ documents. Similarly, the plaintiffs were granted liberty to file their replication within 30 days of receiving the written statement, along with an affidavit addressing the defendant’s documents.

The order stated, “The written statement shall not be taken on record unless accompanied by the affidavit of admission/denial of the plaintiff’s documents.” Both parties were directed to adhere to procedural timelines to streamline the adjudication process.

The Court scheduled the matter for marking of exhibits before the Joint Registrar (Judicial) on February 21, 2025.

Godfrey Phillips India, known primarily as a tobacco manufacturer, ventured into the retail sector in 2005, launching the "24Seven" convenience store chain. By December 2023, the chain had grown to operate approximately 150 outlets, becoming a notable player in the convenience store market. However, citing financial challenges, the company decided to exit the retail business in 2024. Media reports suggest that The New Shop, a grocery convenience retail startup, has been in discussions to acquire the "24Seven" retail chain.

This trademark dispute follows earlier legal challenges surrounding Godfrey Phillips India’s exit strategy. In June 2024, Samir Modi, a former director of the company and a key figure in the "24Seven" venture, filed a suit seeking an injunction against the company’s exit plans. A Delhi court initially granted an interim injunction, temporarily halting the exit. However, the District Judge of Saket Court overturned the order in July 2024, allowing the company to proceed. Following these developments, Modi was removed from the board of Godfrey Phillips India after his reappointment was opposed by other directors.

The substantive hearing in the matter is scheduled for March 21, 2025.

Case Title: Twenty Four Seven Retail Store Private Limited & Anr. vs. Godfrey Phillips India Limited
Case Number: CS(COMM) 1208/2024
Bench: Justice Mini Pushkarna

[Read/Download order]