Rahul Publishers Inc. is a world renowned publisher of expensive educational textbooks, which are purchased by some of the best universities all over the world. Rahul Publishers Inc. also gives books to distributors in India, at a much cheaper price than its American Counterpart. The quality in the books is the same, except for very few spelling changes and illustrations. In other words, the Indian books can be used by American students for educational purposes without compromising on the quality of education. Modi Jadeja, an Indian citizen, seizing this opportunity, legally purchases these books in India and exports these books to the United States of America. He then sells them at a cheaper price in America, while still making a reasonable profit. Rahul Publishers Inc comes to know of the same through their agent in America, after their sales dip by 3%. However, Rahul Publishers Inc unable to take action against Modi Jadeja in America, following the United States Supreme Court Judgment in a case known as Kirtsaeng v John Wiley and Sons Inc., files a suit for temporary injunction and infringement of copyright against Modi Jadeja in the Bengaluru High Court. Rahul Publishers Inc also claims more than 10 lakh rupees worth of damages from Modi Jadeja, for loss of sales caused by copyright violation.. Modi Jadeja raises the defense of the First-sale doctrine and states that the doctrine is implicitly recognized by Section 14 of the copyright Act, and that due to political considerations, the same was left out of the Copyright Amendment Bill, 2010. The First-sale doctrine basically says once a copyright owner makes a sale, he loses his exclusive right to lease, re-sell, or lend. The new copyright owner cannot however reproduce the same. Further, Modi Jadeja states that due to the latest decision of the US Supreme Court, which has been relied upon by the courts in India on previous occasions, Indian courts need to take a closer look at the First-sale doctrine and set right the previously much criticized decisions on the issue. The Madras High Court grants temporary injunction, and nominal damages of Rs. 50,000 stating that the First- sale doctrine can only be implemented if the same has been expressly mentioned in the Copyright Act, or in previous decisions of the Indian Courts, and that relying on a latest US judgment would be averse to public policy. Modi Jadeja has appealed the decision to the Indian Supreme Court.
