Trademark cannot be assigned to bank The Supreme Court has ruled that a trademark cannot be assigned to a bank by a borrower who has defaulted on the loan. Such a transaction is against the Trade Marks Act and the Banking Regulation Act, the court stated in its judgment, Canara Bank vs N G Subbaraya Setty. In this case, Setty took a loan from the bank with his son as guarantor.
There was default in repayment. When the bank moved the debt recovery tribunal, Setty assigned the trade mark, Eenadu, in incense sticks (agarbathies), in a deed to the bank. Later, the bank cancelled the ...
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