The Delhi High Court has fined Google ₹30 lakh for infringing Hindware’s trademark by allowing competitors to bid on the “Hindware” keyword in Google Ads, according to inc42.com. The court issued the order on May 26, permanently restraining Google from using Hindware’s registered trademarks as advertising keywords.
The case originated from a lawsuit filed by Hindware in 2013 against rivals Cera and Grohe, as well as Google India. Hindware argued that competitors’ websites appeared above its own in search results when users searched for “Hindware” or related terms, constituting unfair competition and trademark dilution. While Hindware settled with Cera and Grohe, the suit against Google continued. The court rejected Google’s claim of safe harbour protection as an intermediary, ruling that its keyword auction system violated the Trade Marks Act, 1999.
This ruling highlights the legal risks big tech companies face in managing keyword auctions tied to trademarks. It underscores the responsibility of platforms like Google to prevent trademark infringement in digital advertising. The decision may influence how courts view intermediary liability and trademark protection in online search advertising, a sector that has seen increasing regulatory scrutiny globally.
Following the court’s order, Google and Google India must cease using Hindware’s trademarks as keywords in their advertising auctions. The ruling sets a precedent for similar cases involving trademark owners and digital advertising platforms. Observers will watch for further legal developments and how Google adjusts its ad policies to comply with the court’s directives.