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Delhi HC restrains Scholars Den from running ‘Sasta Wallah’ ads against PhysicsWallah

The company argued that Scholars Den’s advertisements, which featured the term “sasta wallah,” not only mocked its business model but also misrepresented the quality of its education

December 03, 2024 / 13:46 IST
Representative image

The Delhi High Court on Tuesday issued a temporary injunction against Scholars Den, prohibiting the edtech firm from publishing and broadcasting advertisements that refer to PhysicsWallah as “Sasta Wallah” (cheap one) after it claimed that the campaigns were disparaging and damaging to its reputation.

PhysicsWallah is known for providing affordable courses aimed at students preparing for competitive tests like the Joint Entrance Examination (JEE). The company argued that Scholars Den advertisements, which featured the term “Sasta Wallah”, not only mocked its business model but also misrepresented the quality of its education, as per a report by Bar and Bench.

The ads were reportedly displayed outside PhysicsWallah’s physical coaching centres and circulated on social media, causing potential harm to its brand.

In response, the court agreed that PhysicsWallah had made a strong case for an injunction, citing the potential for “irreparable loss” to the company. Justice Mini Pushkarna, who presided over the case, ruled that Scholars Den must immediately cease publishing or broadcasting the disparaging ads, the report said.

The court found that allowing the ads to continue would cause significant harm to PhysicsWallah, which has earned a reputation for providing quality education at affordable prices.

The case will be heard again in April 2025 after both parties have completed their pleadings and submitted evidence. In the meantime, Scholars Den is prohibited from using the term "Sasta Wallah" in any form of advertising or public communication.

Founded by teacher-turned-entrepreneur Alakh Pandey in 2016, the profitable edtech firm recently raised $210 million through a combination of primary and secondary transactions, with post-money valuation soaring to $2.8 billion. The company is preparing to go public and has shortlisted bankers such as Axis Capital, Kotak Mahindra Capital, Goldman Sachs and JP Morgan for its $500 million IPO, Moneycontrol reported earlier.

Working in the similar space, Scholars Den, based in Moradabad, Uttar Pradesh, offers online and offline coaching services for students preparing for competitive exams like JEE and NEET.

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Moneycontrol News
first published: Dec 3, 2024 01:46 pm

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