Delhi HC denies Google interim relief in 'HINDWARE' trademark dispute
What's the story
The Delhi High Court has denied interim relief to Google India in a trademark infringement case. The dispute arose over the use of Google's advertising platform, Google Ads, by sanitaryware manufacturer Hindware. A single-judge ruling had earlier held Google liable for allowing advertisers to bid on Hindware's registered trademark as a keyword on its platform.
Appeal details
Detailed hearing on matter scheduled for July 24
A division bench of Justices V Kameswar Rao and Manmeet Pritam Singh Arora issued a notice on Google's appeal but refused to stay the operation of the May 22 judgment. The court had ordered Google to pay ₹30 lakh in damages for trademark infringement. The bench has scheduled a detailed hearing for July 24, which will be closely monitored as it could set an important precedent on digital platforms' use of trademarked search terms.
Legal argument
Google's defense in trademark infringement case
In its defense, Google has challenged the single-judge ruling that held it liable for allowing advertisers to bid on Hindware's registered trademark as a Google Ads keyword. The company contends that this use constitutes trademark infringement and has been restrained from permitting such use of the "HINDWARE" trademark and its variations as advertising keywords.
Policy defense
No court globally has held this, claims Google
Senior advocate Abhishek Manu Singhvi, representing Google, argued that the judgment confused visible and invisible use of a trademark. He claimed no court globally has held mere use of a trademark as a keyword to be trademark infringement. Singhvi said Google's keyword advertising policy is uniformly followed across jurisdictions and courts in at least 14 countries have refused to consider keyword bidding as trademark infringement.
Appeal details
Keyword advertising policy benefits consumers, promotes competition: Google
In its appeal, Google argued that allowing advertisers to bid on competitors' trademarks as keywords is a globally accepted practice promoting competition and consumer choice. It maintained that keywords are just internal triggers for displaying ads and don't constitute trademark use. Google also pointed out previous Indian court rulings and the Competition Commission of India (CCI) have recognized its keyword advertising policy benefits consumers and encourages competition.
Case background
Dispute dates back to 2013-14
The dispute dates back to 2013-14 when Hindware sued Google along with rival sanitaryware companies Cera and Grohe. The company alleged they had purchased the registered "HINDWARE" trademark as a Google Ads keyword, leading to sponsored ads of competing brands appearing in searches for Hindware products. While Cera and Grohe settled their disputes, Hindware continued pursuing its claims against Google.