Summary
The Delhi High Court has granted an interim injunction in favour of Rxprism Health Systems, an Indian startup, against Canva in a dispute involving a patent for a video in picture in picture (PIP) method and system. The Court found Canva's product to be prima facie infringing and ordered Canva to deposit Rs. 50 lakh and pay costs. Arguments by Canva regarding patent invalidity and differences in the product were not accepted by the Court. The judgment also rejected claims of coercion related to prior licensing negotiations. The Court emphasised the importance of patent protection and public interest in granting interim relief.
Video in Picture in Picture (PIP) Patent held by an Indian StartUp is prima facie infringed, and cannot be used during the pendency of the suit, says Delhi High Court
In a case involving a patent held by an Indian startup relating to a PIP method and system, the Delhi High Court held that the defendant’s online product is prima facie infringing, and granted an interim injunction against the defendant. The case was filed by Rxprism Health Systems against Canva, an Australian company. Canva argued in the case that its product has several differences, and that Rxprism’s patent is invalid, but could not convince the Court. While granting an interim injunction, the Court asked Canva to make a deposit of Rs. 50 Lakh Rupees, and pay costs of 5 Lakh Rupees.
Notably, the Court in the case came down heavily against arguments of the defendant relating to coercion and arm twisting based on prior attempts by the plaintiff to acquire a license. The Court also noted that the possibility of reduction of the license value based on market dynamics if the defendant is allowed to make its product available would weigh in favour of the plaintiff for grant of interim relief. It also stated that the public interest served by the patent system assumes high importance in such matters.
Citation: RxPrism Health Systems Private Limited & Anr. v. Canva Pty Ltd & Ors., CS(COMM) 573/2021 (H.C. Del. July 18, 2023). Available at: http://indiankanoon.org/doc/89123374/.