Trap Purchases and Manufactured Jurisdiction in Indian IP Litigation A study of SML Ltd. v. M/s Happy Agro Chemicals and the doctrine of trap transactions Introduction In intellectual property disputes, few procedural issues matter as much as deciding where a case can be filed. The choice of court often shapes the entire journey of the case — from how quickly interim orders are granted, to the attitude of the local lawyers, to the practical burden placed on a defendant who must fight far from home. Because the forum is so important, plaintiffs sometimes try to influence it. The most common method is the trap purchase : a test buy arranged by the plaintiff, where an investigator pretends to be a regular customer, purchases the allegedly infringing product, and keeps the invoice and packaging. Later, this evidence is used not only to show infringement but — more controversially — to argue that the cause of action arose within the territory of the chosen court. Tra...
Executive Summary On 2nd July 2026, the Delhi High Court awarded Bata India Ltd. actual litigation costs of Rs. 24,63,400 against Crocs Inc. USA, bringing the twelve-year design infringement suit to a close after the underlying design registration was cancelled by the Deputy Controller of Patents & Designs (while Crocs' composite suits on the shape trademark and passing off remain pending) . The order is a useful case study for foreign rights-holders and their Indian counsel on three fronts: (i) the consequences of pursuing a design suit where validity is later successfully challenged; (ii) how Indian commercial courts now compute and award actual, realistic costs rather than nominal or symbolic amounts; and (iii) ...