The Delhi High Court has imposed a ₹30 lakh penalty on Google for allowing the trademark “Hindware” to be used as a keyword in its advertising platform, ruling that the practice amounted to trademark infringement.
The case was filed by Hindware, which argued that advertisers were able to use its registered trademark through Google Ads to divert online traffic and potentially mislead consumers searching for its products.
In its ruling, the court held that Google could not escape responsibility by claiming it was merely an intermediary. The court observed that the company’s advertising system facilitated the use of a registered trademark for commercial gain and contributed to consumer confusion.
The High Court directed Google not to permit advertisers to use the “Hindware” trademark as a keyword in its advertising services without authorisation. It also ordered the company to pay ₹30 lakh in damages and costs.
The dispute centred on Google’s keyword advertising model, where businesses can bid on specific words or phrases to make their advertisements appear in search results. Hindware argued that allowing competitors to purchase its trademark as a keyword diluted its brand value and unfairly benefited rival businesses.
The court agreed that trademarks are valuable intellectual property assets and must be protected from unauthorised commercial use. It said companies that own registered trademarks have a legitimate right to prevent others from exploiting those marks in ways that could mislead customers.
The decision also adds to the ongoing global debate over the responsibility of technology companies in regulating advertising practices and protecting intellectual property rights.
For trademark owners, the judgment is being seen as an important affirmation of brand protection in the digital marketplace, while for online platforms it underscores the need for greater vigilance in managing advertising systems and keyword-based marketing.