The Supreme Court of India, on 16th September 2025, delivered a crucial verdict in favour of Tilaknagar Industries Limited (TI), one of the leading Indian alcoholic beverage manufacturers. The court upheld the Bombay High Court’s Division Bench order dated 16th July 2025, which granted Tilaknagar Industries exclusive rights to manufacture and market alcoholic beverages under the trademarks Mansion House and Savoy Club across India.

This judgment is significant for the Indian liquor industry as it reaffirms the proprietary rights of Tilaknagar Industries while continuing to restrain UTO Nederland B.V. (UTO) and Allied Blenders and Distillers Limited (ABD) from using these brands until the conclusion of the ongoing suit and counter-claim before the Bombay High Court.

Background of the Case

The dispute dates back several years when UTO Nederland B.V., the predecessor of Allied Blenders and Distillers Limited, sought to challenge Tilaknagar Industries’ exclusive right to the brands Mansion House and Savoy Club.

• In 2011, a single judge had ruled in favour of Tilaknagar, denying UTO any injunction against the usage of these brands by TI.

• Over time, UTO and ABD pursued multiple legal challenges to restrict TI from continuing its business under these marks.

• However, the Division Bench of the Bombay High Court, on 16th July 2025, delivered a combined judgment dismissing UTO’s appeal and granting Tilaknagar an injunction against ABD and UTO from manufacturing or selling these brands in India, including rejection of the permission earlier granted to ABD in West Bengal.

This judgment was appealed before the Supreme Court through Special Leave Petitions (SLPs) filed by UTO and ABD.

Supreme Court’s Final Word

The Supreme Court bench comprising Justice B.V. Nagarathna and Justice R. Mahadevan dismissed the petitions at the pre-admission stage. By doing so, the apex court upheld the High Court’s findings, thereby reconfirming Tilaknagar’s rights over the trademarks.

The court also issued a directive to the concerned trial court to conclude the trial of the suit and counter-claim within six months from the next date of hearing. This ensures an expeditious resolution of a case that has been under litigation for years.

Key Implications of the Verdict

1. Tilaknagar Industries’ Rights Secured
   The ruling reinforces exclusive ownership rights of Tilaknagar Industries over Mansion House and Savoy Club, enabling the company to continue manufacturing and selling these premium alcoholic beverage brands without disruption.

2. Restrictions on UTO and ABD
   The verdict ensures that Allied Blenders and Distillers (ABD) and UTO Nederland B.V. remain legally restrained from marketing, manufacturing, or selling alcoholic beverages under these contested trademarks in India until the final outcome of the suit.

3. Expedited Trial Ordered
   By directing the trial court to complete the proceedings within six months, the Supreme Court has prioritized speedy justice, preventing undue delays in a dispute that impacts brand ownership, consumer markets, and industry competition.

Financial and Business Impact

While Tilaknagar Industries has not disclosed any immediate financial gains or losses, the ruling secures its market share and brand value in the Indian liquor industry. Mansion House and Savoy Club are among its key labels, contributing significantly to revenues.

By restraining competitors from using these names, TI ensures brand loyalty, consumer recognition, and uninterrupted sales growth. Moreover, this legal clarity reduces investor uncertainty and supports long-term planning for expansion.

Broader Legal and Industry Significance

The verdict sets a strong precedent for trademark protection in India, particularly in the alcoholic beverages sector, which often faces disputes over brand rights due to overlapping market interests.

It highlights that continuous and exclusive usage of a brand, coupled with legal ownership rights, will be safeguarded by Indian courts. The ruling also shows how intellectual property rights enforcement is becoming a critical aspect of sustaining competitiveness in consumer goods industries.

What Lies Ahead

The trial court proceedings will now play a decisive role in determining the final outcome of the trademark dispute. Both sides — Tilaknagar Industries and ABD/UTO — will present their evidence and arguments in the upcoming months.

If the trial court rules in favour of TI once again, it will permanently secure the company’s rights over Mansion House and Savoy Club, removing any lingering uncertainty. However, until the suit is fully resolved, the restrictions on ABD and UTO will remain in force.

Conclusion

The Supreme Court’s ruling is a major legal win for Tilaknagar Industries. By upholding the Bombay High Court’s order, the apex court has ensured that TI continues its exclusive use of Mansion House and Savoy Club brands in India.

This decision is not only crucial for Tilaknagar’s business but also carries broader implications for trademark law, brand protection, and competition in the Indian alcoholic beverages industry. With the trial court mandated to conclude proceedings within six months, stakeholders can expect a final resolution soon.

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