Delhi High Court Rules in Favor of Kiranakart in Zepto Trademark Battle

In a significant victory for Kiranakart Technologies Private Limited, the company behind the quick commerce app Zepto, the Delhi High Court has ordered the cancellation of the 'ZEPTO' trademark previously registered by Mohammad Arshad. The court’s ruling, delivered by Justice Amit Bansal, mandates the removal of Arshad’s trademark from the Register of Trade Marks, clearing a legal hurdle for Kiranakart’s use of the 'ZEPTO' brand.

The dispute originated when Arshad registered the 'ZEPTO' trademark in 2014 under classes 9 and 35, covering services like advertising, retail, wholesale, and mobile phone accessories, claiming usage since 2011. However, Kiranakart, which has been operating its instant delivery service under the 'ZEPTO' name since July 2021, challenged this registration, alleging that Arshad had not commercially utilized the mark. The conflict escalated when Arshad opposed Kiranakart’s application to register 'ZEPTO' in class 35, prompting the startup to seek rectification of the trademark register.

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Justice Bansal ruled in favor of Kiranakart, stating, "The petitioner has extensively used the 'ZEPTO' mark across India since July 2021, building substantial goodwill through widespread promotion. Conversely, the respondent has shown no evidence of using the mark for the services listed in class 35. The continued presence of this unused trademark on the register aggrieves the petitioner." The court found that Arshad’s opposition to Kiranakart’s application lacked merit, especially given his failure to demonstrate active use of the mark.

Kiranakart argued that its brand had become synonymous with quick commerce in India due to robust advertising and operational success. The company presented evidence, including an affidavit from an independent investigator, showing that Arshad had not used the 'ZEPTO' mark for nearly eight years prior to the petition. The court agreed, noting that trademarks unused for five consecutive years are liable for removal under Indian law. Arshad’s absence from the hearings and lack of a formal response further bolstered Kiranakart’s case.

The ruling emphasized that Arshad’s dormant trademark unjustly obstructed Kiranakart’s business interests. "The petitioner has demonstrated significant use and reputation tied to the 'ZEPTO' mark, while the respondent’s registration appears to be a mere placeholder," Justice Bansal observed. The decision paves the way for Kiranakart to solidify its legal claim to the brand, which powers its rapid delivery services nationwide.

Kiranakart was represented by Advocates Shruti Baid, Aman Sagar, and Anmol Kasana from Saikrishna & Associates, while the Registrar of Trade Marks was represented by Advocates Radhika Bishwajit Dubey, Gurleen Kaur Waraich, and Kritarth Upadhyay. The court’s directive to strike Arshad’s trademark from the register marks a decisive win for the startup in this closely watched legal battle.

This ruling underscores the importance of active trademark use in India and reinforces protections for businesses that invest in building brand equity. For Kiranakart, it’s a green light to expand its 'ZEPTO' identity without the shadow of legal ambiguity.

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