IndiaMart and JD Mart gear up for a legal battle over copyright infringement — even as Justdial calls IndiaMart’s allegations ‘baseless’

IndiaMart and JD Mart gear up for a legal battle over copyright infringement — even as Justdial calls IndiaMart’s allegations ‘baseless’
Representative imagePixabay
  • IndiaMart has alleged that JustDial has copied the website compilations of the company.
  • JustDial, in a regulatory filing on November 18 (Wednesday), said it has built its database and brand over the last 25 years and called IndiaMart’s allegations ‘baseless.’
  • JustDial has gone one step further and accused IndiaMart of illegal activities.
IndiaMart, the B2B e-commerce platform, has taken its recent competitor JD Mart, Justdial’s latest bet on business e-commerce, to court over copyright violations. IndiaMart has alleged that JustDial has copied the website compilations of the company.

In the opening trade, Justdial’s shares fell by 3.24%, while IndiaMart was up marginally (0.5%).

According to reports, the Delhi High Court had granted an interim injunction in favour of IndiaMart, following which searches took place at JD’s office while the appointed commissioners by the court have also made copies of the inventory of its website, mobile site and application database regarding the launch of JD Mart.

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While from the court order in favour of IndiaMart, JD Mart’s launch was set to hit pause but Just Dial, in a regulatory filing on November 18 (Wednesday), has said the development of the product is on schedule with a beta version available and an official launch shall take place after seeking legal recourse. Just Dial also said it has built its database and brand over the last 25 years and called IndiaMart’s allegations ‘baseless.’

JD said that the court order was passed ex parte and that the company has not been served with a complete set of paperwork.

In fact, Justdial has gone one step further and accused IndiaMart of illegal activities.

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“The Company would like to highlight the fact that Indiamart Intermesh Limited are themselves indulging in illegal activities in all possible manner by copying data/content of the Company, cybersquatting, etc. Presence of innumerable web pages on Indiamart Intermesh Limited’s live platforms, bearing the Company’s proprietary content and images bearing the Company’s watermark, has recently come to our notice. The Company is in the process of taking appropriate legal action to safeguard its interests from such malicious activities of Indiamart Intermesh Limited,” said Justdial in the filing.

The potential and excitement for Justdial’s new platform comes with the fact that the company already has a strong foothold in the market and a loyal user base. According to a report by UBS, the company will be able to leverage its already existing 140 million quarterly unique users and 100,000 paid B2B subscribers to sell JD Mart.

In a recent interview with Business Insider, IndiaMart founder and CEO Dinesh Agarwal had said that he has no fear of the competition. “There are various kinds of B2B businesses and there are players like Amazon, Walmart. Let us see what JD Mart comes up with,” he said.

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Agarwal had then said that you can build a feature, but the kind of data, insights and algorithms IndiaMART has put together over the years can’t be launched overnight.

“It will be a 3-5 year journey and at the end of it the buyers and sellers will see who offers a better value proposition to them. For any new player to do sales is one thing, but getting the product right is a long term plan. We didn’t build IndiaMART over a couple of quarters. Just Dial is a great company and I’m sure they will find something new, some day,” Agarwal added.

SEE ALSO:

INTERVIEW: IndiaMart founder Dinesh Agarwal responds to the incoming challenge from JD Mart


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