Delhi High Court Allows 'Gulshan-e-Karim' To Use Name With Disclaimer In 'Karim's' Trademark Dispute, Calls It Innocent Infringment

The Delhi High Court on Thursday ruled that while the marks “Karim's” and “Gulshan-e-Karim” are similar, a complete ban on the latter's use would be excessive. The Court has allowed a Moradabad-based restaurant to continue using its name, provided it clearly states that it has no connection with the iconic Karim's chain in Delhi. A Division Bench of Justice C Hari Shankar and Justice Ajay Digpaul modified an earlier injunction by the Commercial Court at Tis Hazari, which had barred the Moradabad restaurant from using “Karim” in any form. The High Court said the remedy must be “proportionate” and balance the interests of both parties.Karim Hotels Pvt. Ltd., established in 1913 in Old Delhi, owns several registered trademarks for “KARIM'S” and operates well-known Mughlai restaurants across Delhi and other cities. In December 2020, the company sued Mohammad Talha, who runs “Gulshan-e-Karim” in Moradabad, Uttar Pradesh, alleging trademark infringement and passing off. The Commercial Court, in January 2025, restrained the restaurant from using the word “Karim”.Challenging this, Talha argued that “Karim” is a common Arabic name and that his restaurant has operated locally for years without misleading customers. He said his clientele was distinct from that of the Delhi chain.Karim Hotels, however, contended that its mark is well-known and distinctive, and that the Moradabad restaurant's name could mislead consumers into believing an association with the Delhi brand. The High Court agreed that the similarity between “Karim's” and “Gulshan-e-Karim” could cause confusion, as both serve similar cuisine and target comparable customers. The court noted that the visual and phonetic similarity between these names could mislead an average consumer of imperfect recollection. However, distinguishing between innocent and deliberate infringement, the court held that a proportionate remedy was appropriate given the Moradabad restaurant's local use of the mark. “The approach of the Court, in a case of innocent infringement, cannot be the same as the approach in a case of contumacious infringement. Also, where the infringing mark has been in use, by the defendant, for some time, the approach of the Court must factor in this consideration as well.”, It said. The court said confusion could be avoided if the Moradabad restaurant displayed a clear disclaimer on all signboards, menus, advertisements, and online platforms stating that it is not connected with Karim's of Delhi. Accordingly, the injunction was modified to permit the continued use of “Gulshan-e-Karim” with the mandatory disclaimer. Case Title: Mohammad Talha v. M/s Karim Hotels Pvt. LtdCitation: 2025 LiveLaw (Del) 1451 Case Number.: FAO (COMM) 82/2025 For the Appellant: Senior Advocate Swathi Sukumar with Advocates Shayan Khurram, Osho Mittal, Ritik Raghuvanshi, Rishab Aggarwal and Arafat Ali. For the Respondent: Senior Advocate Darpan Wadhwa with Advocates Ridhima Goyal, Saif Uddin Khan, Mohd. Affan, Rashi Khandelwal, Divita and RheaClick Here To Read/Download The Order

Delhi High Court Allows 'Gulshan-e-Karim' To Use Name With Disclaimer In 'Karim's' Trademark Dispute, Calls It Innocent Infringment

Ayushi Shukla

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