Kathmandu District Court Rules in Favor of Copyright Protection for Product Packaging:
Godrej Consumer Products Limited vs. Copyright Registrar Office
In a significant legal development, the Kathmandu District Court has ruled in favor of Godrej Consumer Products Limited regarding the copyright protection of their product packaging. This case highlights the growing importance of intellectual property (IP) rights in Nepal, particularly in the domain of product packaging, which is generally governed by trademark law, can also fall under copyright protection when it meets the criteria for originality.
Understanding Copyright and Product Packaging:
Copyright law is designed to protect the creative works of individuals, granting them exclusive rights over their original literary and artistic creations. Under Section 2(a) of the Copyright Act, 2002, various categories of works are eligible for copyright protection, including artistic works. This extends to any work that is presented originally and intellectually, thereby securing protection as soon as it is created.
While product packaging often falls under trademark law, when packaging contains artistic elements or distinctive designs, it can be eligible for copyright protection as well. In Nepal, copyright protection automatically arises upon the creation of such works, without the need for formal registration. However, to be protected under copyright law, packaging must meet the key criterion of originality.
Nepal’s International IP Obligations:
Nepal, as a signatory to both the Berne Convention and the Agreement on Trade-Related Aspects of Intellectual Property (TRIPS), aligns its copyright practices with internationally recognized standards. These agreements provide a framework for protecting works across borders, ensuring that creators' rights are recognized globally. The three fundamental principles of the Berne Convention include:
These principles influence Nepal's approach to copyright law, ensuring that both domestic and foreign works are afforded appropriate protection.
The Case: Godrej Consumer Products Limited v. Copyright Registrar Office
Background:
Godrej Consumer Products Limited, a well-known Indian multinational company, filed for copyright protection for the packaging of several of its products in Nepal. The company, which manufactures a wide range of household and personal care products, sought to register the copyrights for the packaging of items such as Good Knight Gold Flash, Godrej Expert Rich Crème Aloe Vera, Godrej No.1 Sandal Turmeric, HIT (Black), and HIT (Red).
Legal Proceedings:
Initially, Godrej's application for copyright registration was rejected by the Nepal Copyright Registrar Office. The Registrar cited a lack of legal clarity regarding the registration process for product packaging, implying that the packaging did not meet the necessary criteria for copyright protection. The decision prompted Godrej to file an appeal with the Kathmandu District Court.
Court’s Decision:
The Kathmandu District Court, after reviewing the legal provisions of the Copyright Act, 2002, ruled in favor of Godrej Consumer Products Limited. The court stated that, the images/photos of “GODREJ EXPERT RICH CRÈME ALOE VERA”, “GODREJ NO 1 SANDAL TURMERIC”, “GODREJ NO 1 JASMINE MILK CREAM”, “HIT(BLACK)” and “HIT(RED)” claimed by the appellant appear to fall under the definition of “work” as per Section 2 of the Copyright Act, 2059. Likewise, when a work is brought for registration under copyright, the registrar of the Nepal Copyright Registrar’s office is required to register it according to the legal provisions made by the Copyright Act, 2059 and the Copyright Rules, 2061 enacted under it.
The court referenced Section 5(2) (1) of the Copyright Act, which states that individuals or entities wishing to register a creative work may apply to the Registrar for voluntary registration. The court also cited Section 13(1) of the Act, which clarifies that works created by authors from Nepal or World Trade Organization (WTO) member countries, and published either in Nepal or in those countries, are entitled to protection.
The court found that the packaging of Godrej's products qualifies as a creative work and, as such, is deserving of copyright protection. It further noted that the claim of "lack of legal clarity" by the Copyright Registrar was unfounded, as the provisions of the Copyright Act, 2002 clearly support the registration of artistic works, including product packaging, as long as they are original.
Implications of the Court’s Ruling:
This ruling has several key implications for businesses and intellectual property law in Nepal:
Clarification of Copyright Protection for Product Packaging: The decision clarifies that product packaging, when artistic and original, can be protected under copyright law in Nepal. This opens the door for more businesses to seek copyright protection for their product designs, adding an extra layer of security for their IP.
IP Protection in Nepal: With the growing importance of intellectual property globally, Nepal's adherence to international treaties like the Berne Convention and TRIPS is becoming more significant. This ruling reaffirms the country's commitment to protecting the rights of creators, both domestic and foreign.
Precedent for Future Cases: It sets a legal precedent for other businesses in Nepal to seek copyright protection for their creative works, particularly in industries like product design, advertising, and branding.
Conclusion:
The Godrej Consumer Products Limited case serves as an important reminder of the evolving landscape of intellectual property law in Nepal, particularly in the realm of product packaging. The Kathmandu District Court’s decision not only provides clarity regarding the application of copyright law but also emphasizes the importance of safeguarding original and artistic works in the marketplace.
As copyright protection becomes increasingly relevant for businesses looking to distinguish their products, this case may encourage other companies to consider securing their packaging designs under copyright law, ensuring their creative works are legally protected and economically valuable.
For further information, please contact our copyright lawyers at info@apexlaw.com.np