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Case Background — The Corporate Rebrand
When Zomato Limited, one of India's most recognisable food technology brands, rebranded itself as Eternal Limited in 2026, it walked straight into an existing trademark dispute. A Bengaluru-based company called Eternl Resilienttech Private Limited had already held registered trademark rights over a phonetically identical mark since 2018 — and moved swiftly to protect those rights in court.
The resulting case — decided by the Karnataka High Court in July 2026 — is a landmark lesson for every company contemplating a corporate rebrand without conducting a comprehensive pre-rebrand trademark clearance search.
| Case Title | Eternal Limited v. Eternl Resilienttech Private Limited |
| Case Number | MISCELLANEOUS FIRST APPEAL NO. 4339 OF 2026 (IPR) |
| Citation | 2026 LLBiz HC KAR 102 |
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The Two Parties
- Eternal Limited (formerly Zomato)India's leading food delivery and quick commerce platform, which rebranded from Zomato Limited to Eternal Limited — obtaining its ETERNAL trademark registration only in March 2022
- Eternl Resilienttech Pvt. Ltd.A Bengaluru-based technology company incorporated in 2013, with its ETERNL trademark registered since March 2018 — four years before Eternal Limited's registration
The core dispute turned on a single critical fact: Eternl Resilienttech's registration pre-dated Eternal Limited's registration by four years — establishing clear prior rights in favour of the smaller company over the rebranded tech giant.
Trial Court's Ex-Parte Order
On 8 June 2026, the trial court granted an ad-interim ex-parte injunction restraining Eternal Limited from using the ETERNAL mark across its website, digital platforms, applications and stock exchange filings, in relation to services similar to those offered by Eternl Resilienttech.
The restraint was sweeping — covering not just product branding but also the company's digital presence and even its regulatory and stock exchange communications using the "Eternal" name in connection with similar services.
Karnataka High Court's Ruling
Eternal Limited challenged the trial court's order before the Karnataka High Court. Justice Hanchate Sanjeevkumar dismissed the appeal, making several important observations:
- Reasons are sufficientThe trial court had recorded adequate reasons for granting the ex-parte injunction — considering the plaintiff's registration date, comparing the phonetics of both marks, and observing that only the letter 'a' differed between ETERNL and ETERNAL
- Quantum of reasons irrelevantThe High Court held that the sufficiency or insufficiency of reasons is not a valid ground to challenge an ad-interim ex-parte injunction in appeal — the appropriate remedy is an application before the trial court
- Proper remedy is trial courtThe Court ruled that Eternal Limited should approach the trial court with an application to discharge or modify the injunction — not file a direct appeal to the High Court at this stage
- Injunction confined to similar servicesThe court clarified that the injunction applied only to services similar to Eternl Resilienttech's business, and Eternal Limited could continue its other business operations
The trial court was directed to dispose of any application filed by Eternal Limited within four weeks.
Phonetic Similarity — The Critical Issue
At the heart of this dispute is the doctrine of phonetic similarity — one of the most important and often underestimated aspects of trademark law.
The trial court noted that the phonetics of both ETERNL and ETERNAL "are one and the same and only the alphabet 'a' is different in between these two words." When spoken aloud, both marks are virtually indistinguishable — a consumer hearing either mark would perceive them as identical.
This case powerfully illustrates why phonetic similarity searches are essential before adopting any trademark — particularly for corporate names that will be used across digital platforms, customer communications and regulatory filings. A mark that looks different on paper may sound identical in commerce.
Trademark Lessons from Corporate Rebranding
- Conduct trademark clearance before rebrandingBefore committing to a new corporate name, conduct a comprehensive trademark search — wordmark, phonetic, device — in all relevant classes across all five Trade Marks Offices
- Phonetic search is non-negotiableETERNAL and ETERNL look different but sound identical. Always include a phonetic similarity search in pre-rebrand clearance — what the eye distinguishes, the ear may not
- Check existing registrations in your sectorEternl Resilienttech held a 2018 registration — prior to Zomato's 2022 registration. A basic search would have identified this conflict before any investment in the Eternal brand
- Ex-parte injunctions can restrain corporate operations immediatelyThe injunction in this case extended to stock exchange filings and digital platforms — a corporate rebrand without clearance can trigger injunctions that disrupt core business operations
- Prior registration trumps brand recognitionEternl Resilienttech is a far smaller company than Zomato — but it held a prior registration. In trademark law, prior registration creates presumptive rights regardless of the other party's commercial size or recognition
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Frequently Asked Questions
What happened in the Eternal (Zomato) vs Eternl trademark case?
After Zomato Limited rebranded to Eternal Limited in 2026, Eternl Resilienttech Private Limited — a Bengaluru-based company with a trademark registered since March 2018 — obtained an ex-parte ad-interim injunction from the trial court restraining Eternal Limited from using the ETERNAL mark in connection with similar services. Eternal Limited challenged the injunction before the Karnataka High Court, which dismissed the appeal in July 2026, holding that the trial court had recorded adequate reasons and that the proper remedy was an application before the trial court.
Why did Zomato rebrand to Eternal Limited?
Zomato Limited rebranded to Eternal Limited as a corporate identity change intended to reflect its expanding business portfolio beyond food delivery. However, the company obtained its ETERNAL trademark registration only in March 2022 — four years after Eternl Resilienttech's prior registration. The rebranding proceeded without identifying this existing conflict through a trademark search, resulting in a court injunction restraining use of the new corporate name in connection with services similar to those of the prior registrant.
What is the significance of phonetic similarity in trademark disputes?
Phonetic similarity means that marks sound alike when spoken aloud, even if they appear different on paper. Section 29(1)(b) and the concept of deceptive similarity under Section 2(h) of the Trade Marks Act 1999 both cover phonetically similar marks. In this case, the Karnataka High Court noted that the trial court had correctly observed that ETERNL and ETERNAL are phonetically identical — with only the positioning of the letter 'a' differing. This is why phonetic searches are essential in trademark clearance, not just visual comparison.
What is an ad-interim ex-parte injunction?
An ad-interim ex-parte injunction is a temporary court order granted urgently without hearing the opposing party — when the court is satisfied that an emergency exists and immediate relief is necessary to prevent irreparable harm before the defendant can be heard. Once granted, the party against whom it is issued can apply to the same court (usually the trial court) to vacate, modify or stay the injunction. In this case, the Karnataka High Court directed Eternal Limited to pursue this remedy before the trial court rather than challenging the order in appeal.
What is the trademark lesson from Zomato's rebranding to Eternal?
The case establishes that every corporate rebrand must be preceded by a comprehensive trademark clearance search — covering wordmark, phonetic similarity, device marks and existing registrations in all relevant classes. A prior registration by even a small, unknown company creates legal rights that can be enforced through immediate court injunctions — regardless of the rebranding company's size, brand recognition or commercial significance. Filing for registration of the new name first, before any public announcement, is also essential to establish the earliest possible priority date.
Official Resource: Visit Trade Marks Registry, IP India for authoritative government information.