The court order comes after Lifestyle Equities filed a trademark infringement suit against Amazon Technologies and others in 2020, alleging they used a deceptively similar mark on apparel and other products sold on their platforms.
It was alleged that Amazon Technologies manufactures and sells products under the brand “Symbol” with the infringement mark and that Cloudtail India, which operates on the Amazon.in marketplace, is also involved in selling these products.
On October 12, 2020, the Court issued an interim injunction, prohibiting Amazon and others from using the infringing logo and instructing Amazon Seller Services to remove the infringing merchandise. However, Amazon Technologies failed to appear in court and was prosecuted ex-parte.
The temporary injunction was confirmed and declared absolute. Cloudtail India in 2023 announced a willingness to accept an injunction and sought a settlement with damages. The company used the infringing mark from 2015 to July 2020, from which it made a total revenue of ₹23,92,420, with a profit margin of over 20%.
Cloudtail’s counsel contended that damages should be wholly its responsibility, citing an Amazon Brand License and Distribution Agreement that held Cloudtail liable for any breaches. However, Lifestyle maintained that the infringing mark was not included in this agreement and therefore both Amazon and Cloudtail should be held accountable.
The court appreciated Cloudtail’s admission of liability but stressed that Lifestyle should not be denied the right to pursue damages from Amazon. The court awarded damages of ₹4,78,484 against Cloudtail, which represents 20% of the revenue from infringing products, based on undisputed sales numbers submitted by Cloudtail.
Amazon Seller Services was deleted from the array of parties since no substantive relief was sought against them and they agreed to remove any future listings of these products.
