Bombay HC Imposes ₹1 Lakh Cost On German Company For Condoning Delay In Filing Appeal

Provisions of the law are applicable to all the companies irrespective of whether they are Indian or German, observed the Bombay High Court while imposing a cost of Rs 1 lakh on a German company as a condition to condone a 91-day delay in filing a petition in a patent dispute.

The high court was hearing an application filed by a German company, AIC246 AG & Co. KG, seeking to condone delay in filing an appeal contending that it took time to exchange instructions between India and Germany on how to proceed with the matter. 

“Provisions of law in the Patent Act, 1970 is applicable to all companies irrespective of whether they may be Indian or German ... This Court is not impressed with the argument of Mr. Nargolkar (German company’s counsel) that the fact of the Applicant being a German company should be taken into account and/or it takes time in Germany for execution and notarization of Power of Attorney and accordingly, there has been delay,” Justice Riyaz Chagla said on August 19. 

The company had approached the high court challenging the decision of the Indian Patent Office rejecting its application in June 2023. 

Company’s advocate Amey Nargolkar submitted that there was a delay in filing the appeal due to complex consultations with legal teams in both India and Germany, coupled with the highly technical nature of the patent issues, led to the late filing. These consultations were necessary due to the intricate nature of the patent’s rejections, including concerns about lack of novelty, inventive step, and non-patentability under Section 3(d) of the Patents Act, it contended.

Justice Chagla, however, said that the petition lacked details and noted that there was a delay of twice the statutory period prescribed under the Patent’s Act.

“The present Application is bereft of particulars as to the delay in filing of the Petition. There does appear to be a delay of 91 days i.e. twice the statutory period which is prescribed under the Patent’s Act, 1970,” the court underlined. It further added that the company had shown no urgency to file its petition within the prescribed deadline.

Hence, the court directed the company to pay Rs1 lakh as a condition for accepting the delayed petition. The amount has to be paid to the Baldeodas Bhagirathi Shah Trust within two weeks.