Google found liable for trademark infringement in India

The Delhi High Court has ruled that Google is liable for trademark infringement regarding its keyword advertising practices—the practice of bidding on search terms to trigger specific ads. In a 163-page judgment delivered on May 22, Justice Mini Pushkarna rejected Google’s argument that it acts as a passive intermediary on its search platform. The court awarded the plaintiff, bathroom fittings maker Hindware, ₹3 million (around $31,600) in nominal damages. Justice Pushkarna, acting as judge, stated that “Google by selling the trademark of the plaintiff [Hindware] as a keyword without any authorization for commercial gains is infringing the plaintiff’s right to exclusive use of its trademark under Section 28 of the Trade Marks Act.”

The judgment drew fresh attention on Friday as Indian entrepreneurs publicly backed the ruling. Founders such as Zerodha’s Nithin Kamath and Zoho’s Sridhar Vembu have revived criticisms of Google’s advertising practices, arguing that competitors have long used these automated tools to divert traffic from established brands. Kamath, who noted that Zerodha has faced this issue for over a decade, stated that when users search for his company, the traffic should rightfully go to them, but competitor ads often appear at the top of Google Search and divert customers to rival websites.

Google defended its practices, stating that its Ads policy on trademark keywords does not allow competitor advertisers to use trademarked terms in the ad-text of an ad, a policy it applies globally. A Google spokesperson added that the company looks forward to continuing to align its operations with local legal frameworks while maintaining strict standards to protect the long-term interests of its users. Legal experts suggest the ruling’s broader legal impact may be limited. Aprajita Rana, a partner at AZB & Partners, noted that the decision does not have a far-reaching impact on online platforms’ liability in India. However, Rana added that the judgment will require platforms to review whether their automated tools encourage or offer trademarked terms to advertisers.

Why it matters

This case highlights the ongoing tension between platform liability and automated ad curation practices in India, a key market for Google with a massive user base second only to China.