Case Details

  • Case Name / Appeal: Civil Appeal No(s). of 2026 (Special Leave Petition No(s). 18549/2026)
  • Court: Supreme Court of India, Civil Appellate Jurisdiction
  • Order Date: 27 May 2026
  • Underlying Order: Impugned final judgment and order dated 02‑04‑2026 passed by the High Court at Calcutta (Temp‑Inj‑IPD No. 7/2025)
  • Previous Order Referenced: Order dated 25‑05‑2026 directing filing of affidavit

Parties Involved

  • Appellant / Petitioner: Amara Raja Energy Mobility Ltd (public listed company)
  • Respondent: Exide Industries Ltd
  • Counsel for Appellant: Senior Advocates C. Aryama Sundaram, Shyam Divan, Sidharth Luthra, among others
  • Counsel for Respondent: Senior Advocate Mukul Rohatgi, Neeraj Kishan Kaul, and team
  • Affiant: Radhakrishnan Chandrasekar, Chief Business Officer – India & SAARC – Automotive and Home Energy, Amara Raja Energy Mobility Ltd
  • Bench: Hon’ble Justices B.V. Nagarathna and Ujjwal Bhuyn

Issues / Allegations / Violations

  • Dispute over the trade dress (red colour and branding) of ELITO‑branded batteries produced by Amara Raja and alleged infringement of Exide’s trade dress.
  • Temporary injunction previously restraining Amara Raja from selling/red‑packaging the batteries and from using empty cartons bearing the disputed trade dress.
  • Questions regarding the quantity and value of unsold inventory held by Amara Raja, its distributors, and retailers.
  • Request for permission to dispose of existing stock that cannot be re‑branded without waste.

Findings & Observations

  • The affidavit confirms that Amara Raja manufactured ELITO batteries with a red trade dress on both the battery and its carton.
  • Inventory details as of 25‑05‑2026:
  • Unsold with distributors/franchisees: 1,38,477 units valued at Rs 24.99 Crores.
  • Estimated unsold with retailers: ~81,000 units valued at Rs 15.60 Crores (estimate based on distributor information).
  • Stock in possession of Amara Raja: 20,789 units valued at Rs 2.63 Crores.
  • Empty cartons bearing trade dress: 1,44,547 units.
  • No production of the subject product occurred after 29‑03‑2026; the last invoice was dated 31‑03‑2026.
  • Each battery and carton carries month‑year of manufacture and a unique 14‑digit serial number (last unit serial: CFE4213A325967); no separate batch number.
  • The Court observed that the unsold products with distributors/franchisees are no longer under direct control of the appellant; they are held on a principal‑to‑principal basis.

Penalties / Settlements / Directions

  • Modification of Temporary Injunction:
  • The Court permits the appellant’s products packaged in red‑coloured cartons to be sold by third‑party franchises/distributors or retailers to customers.
  • The injunction continues only with respect to the 1,44,547 empty cartons, which the Court directs to be destroyed and not utilised.
  • No monetary penalty is imposed; the direction focuses on disposal and continued restriction on empty cartons.

Corrective Actions & Future Obligations

  • Amara Raja must destroy the 1,44,547 empty cartons bearing the disputed trade dress.
  • The company may market and sell the 20,789 units (Rs 2.63 Crores) it holds, as well as the inventory with distributors/retailers, provided the packaging is not red or identical to Exide’s.
  • No further production of the red‑trade‑dress batteries is allowed unless the Court lifts the injunction.

Final Ruling & Enforcement

  • The appeal is allowed in‑part; the order of temporary injunction is modified as described above.
  • The Court emphasizes that this modification does not affect the merits of the underlying suit between Amara Raja and Exide.
  • All pending applications, if any, are to stand disposed of.
  • The order is effective immediately and enforceable by the Court.