The Delhi High Court has awarded Lifestyle Equities damages of $39 million, approximately Rs 340 crore, after ruling that Amazon infringed upon its ‘Beverly Hills Polo Club’ trademark. The order was passed by Justice Prathiba M Singh, and a detailed copy is awaited.Â
According to a report in Bar and Bench, in 2020, Lifestyle Equities CV initiated a trademark infringement lawsuit against Amazon Technologies and others, alleging that they used a deceptively similar mark on apparel and other products sold on their platforms. Specifically, it was claimed that Amazon Technologies was manufacturing and selling products under the brand ‘Symbol’ with the infringing mark, and Cloudtail India was also involved in the sale of these products on the Amazon.in marketplace.
The High Court initially granted an interim injunction on October 12, 2020, restraining Amazon and others from using the infringing logo and directing Amazon Seller Services to remove the infringing products from their platform. Amazon Technologies did not appear in court and was proceeded against ex-parte. The interim injunction was confirmed and made absolute, the report added.
In 2023, Cloudtail India expressed willingness to accept a decree of injunction and proposed a settlement involving damages, but mediation was unsuccessful. Cloudtail acknowledged using the infringing mark from 2015 to July 2020, with revenue from infringing products amounting to Rs 23,92,420 and a profit margin of approximately 20 per cent.
The report stated that Cloudtail’s counsel argued that damages should be solely its responsibility, citing an Amazon Brand License and Distribution Agreement that placed liability on Cloudtail for any breaches. However, Lifestyle contended that the infringing mark was not part of this agreement and that both Amazon and Cloudtail should be held liable.
The court acknowledged Cloudtail’s admission of liability but emphasised that Lifestyle could not be denied the opportunity to seek damages from Amazon. Based on the undisputed sales figures provided by Cloudtail, the court decreed the suit in favour of Lifestyle against Cloudtail, awarding damages of Rs 4,78,484, representing 20 per cent of the revenue from infringing products.
The court recognised Amazon Seller Services’ role as an intermediary and their compliance with its directions. Since no substantive relief was sought against them, and they agreed to remove any future listings of infringing products, they were removed from the list of parties involved.Â