Technology giant Google has filed an appeal with the Delhi High Court Bench, challenging the single bench's order regarding the practice of bidding for keywords in Google search results.
Google's Arguments in Appeal
In its complaint, Google argues that allowing competitors to use the same important words to promote their search results enhances competition by providing smaller companies with equal opportunities for visibility.
A company representative stated: 'We are appealing the Delhi High Court's order, which deviates from established legal precedents in India. Our advertising policies reflect standard practices that ensure competition and give consumers more choice. We look forward to presenting our position to the court.'
Previous Judicial Decisions
Sources reported that the tech corporation will likely also present the Delhi High Court Bench with information on previous rulings made by both the Delhi High Court and the Supreme Court, as well as the Competition Commission of India, which permitted this practice, recognized as globally accepted.
The 'Hindware' Case
Earlier this year in May, a single bench presided over by Judge Mini Pushkarna found Google responsible for allowing competitors of Hindware to bid on and use the 'Hindware' trademark within the Google Ads program (formerly Google AdWords).
In its 163-page decision, Judge Pushkarna ruled that Google's actions, which allowed the use of 'Hindware' as a keyword, constituted a trademark infringement under Section 29(8) of the Trademarks Act. The judge further reasoned that, unlike other cases where company names were very generic and keyword bidding was permissible, 'Hindware' was a name invented by the company, leading to the trademark violation.
Challenging the Ruling and Comparing Cases
Google's appeal against the May 22 ruling is also expected to challenge this conclusion, arguing that the Trademarks Act does not differentiate whether a word was invented by a company or used in general English. A source close to the case development reported this.
Judge Pushkarna's order differs from the Delhi High Court's 2023 ruling in the MakeMyTrip versus Booking.com case. In that case, MakeMyTrip sought to prohibit Booking.com and Google from using its registered trademarks as keywords through the Google Ads program.
Although the single bench initially granted this request, the Bench denied interim relief, noting that Booking.com is a well-known travel platform, and that internet users are unlikely to be misled into thinking Booking.com's services originate from MakeMyTrip. The Bench noted: 'It is important to note that searching for MakeMyTrip India (MIPL) or its trademarks using the Google search engine will show the MIPL website in organic search results.'
The court also stated: 'At first glance, we cannot accept that MIPL can claim any such rights based on its rights under the Trademarks Act.' The Supreme Court (SC) subsequently upheld this judgment in March 2024 without examining the merits of the dispute.