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News article28 July 2022

Delhi High Court Awards Damages in Favour of Starbucks for the Infringement of the Trademark Frappuccino

Starbucks Corporation v. Teaquila A Fashion Café & Anr., CS(COMM)

On 6 May 2022, the Delhi High Court issued a decision in favour of Starbucks Corporation for the infringement of their renowned trademark “Frappuccino”.

Presuming the defendants sold 400 beverages over approximately a year, Starbucks claimed 12.500 $ in damages. However, the court held this statement had no solid evidence, given the plaintiff presented only one invoice as evidence and no inventory was retrieved. To determine damages, the judgement elaborated on three possible types of calculation; (1) nominal or notional damages, (2) exemplary or punitive and (3) compensatory.

In conclusion, the court determined it could not ignore the defendant’s infringing acts and granted a permanent injunction against the infringing goods. It awarded notional damages for a value of 2.500$ in favour of Starbucks. More than a quantitative impact, this decision reveals how active monitoring of infringing goods by rightsholders is fundamental to guarantee genuine goods are not misappropriated, and consumers misled.

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Publication date
28 July 2022