CureFit, a startup in the health and fitness segment which also has several sub-brands for food, etc. However, when it wanted to launch another one called ‘Gym.Fit’, it has run into trouble. BookYourGame has obtained a restraint order stopping CureFit from going ahead with the launch from the Bangalore City Civil Court.
The Bangalore City Civil Court has ordered CureFit to not launch, promote, market or sell any product or service using the ‘Gym.Fit, CultX, and Sports.fit’ names, in any manner.
BookYourGame (BYG) has an established business in the form of an app that enables the app’s users to access 2000 gyms. Customers have the facility to use the gyms and pay based on use. BYG even has the technology to run the gyms by offering them their product Software as a Service (SaaS). The company has plans to go national with its app with the same Gym.Fit name which offers subscriptions to gyms across cities.
The case made out by BYG against CureFit relates to misuse of intellectual property rights in one sense. Their petition in the Court alleges that CureFit tried to take over BYG by paying Rs 5 crore some time earlier but the deal did not materialize. BYG claims CureFit managed to obtain some critical data and inputs which would amount to IPR violation. BYG has produced evidence to this effect including proofs of their employees being inducted as CureFit employees.
CureFit has completely denied these allegations. According to them, the deal never went beyond a certain stage and they dropped the plan to go ahead with the acquisition due to other considerations which emerged during due diligence. They say they even offered an amount in compensation, as breakaway fee.