In today’s market, competition is everywhere. A business needs to create its own unique identity. Trademarks play a very important role here. A good trademark helps people to recognize your brand easily. It also helps to increase trust and credibility.
But it can create problems in any case of misuse. This harms the business and confuses customers.
This type of problem is called trademark infringement. This matter is regulated under the Trade Marks Act, 1999, in India. Trademark infringement can be severely punished under this act. It has two types of measures, civil and criminal. In this article, we will understand these issues. Before trademark registration, you must understand the consequences of trademark infringement in India.
What is Trademark Infringement?
A trademark infringement indicates using someone’s trademark without their permission. It is also called “Unauthorized use”.
Another important point is an “identical or deceptively similar mark.” This means using a name or logo that looks the same or very close. This can easily confuse the public.
This possibility of confusion is the main point of infringement.
In India, this law is governed by the Trade Marks Act, 1999. However, even if the trademark is not registered, protection is available through a legal means called “passing off”.
Types of Trademark Infringement
1. Direct Infringement (Section 29 Trademarks Act 1999)
Direct infringement occurs when someone directly copies or uses the trademark of another. Direct infringement is defined under Section 29 Trademarks Act 1999. There are several things to prove this:
- Unauthorized use: Used without the owner’s permission
- Similar or similar name/logo: The trademark looks or sounds similar
- Registered trademark: Usually the trademark must be registered
- Similar type of goods or services: Used in the same category
The issue of “confusion” is very important here.
Suppose there is a brand called “FreshBite.” And someone is selling the same type of food under the name “FreshByte.” Then the buyer may make a mistake. This is an infringement.
2. Indirect Infringement
Indirect infringement means that someone is helping or being involved in copying without directly copying. There is no separate section for this, but it can be punished according to the general rules of law. There are two common types:
Vicarious Liability
If a company makes a mistake, the people in charge of the company can also be held liable
The conditions are:
- They had the power to control the work
- They knew about it
- They benefited
3. Contributory Infringement
If someone knowingly helps someone else, they are also liable
For example:
- They knew the mistake was being made
- They helped
- They encouraged others
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What are the Civil Remedies for Trademark Infringement in India?
There are several civil remedies for trademark infringement in India that help protect business owners. These are given under Section 135 of the Trade Marks Act, 1999. These aim to stop the damage and protect the genuine brand. These remedies are:
Injunction
- The court can ask the accused to stop using the trademark.
- It can be temporary or permanent.
Damages
- If there is a loss to the business, then the amount of compensation has to be paid.
- This also includes the loss to the brand name.
Account of Profits
- The person who has made a profit by using the trademark incorrectly may have to return the profit.
Destruction of Goods
- The court can order the destruction of the counterfeit goods or packets.
Legal Costs
- The court can also order the accused to pay the costs of the case.
Read more – Trademark Objection vs Rejection: Key Differences, Legal Implications and How to Respond
Criminal Penalties for Trademark Infringement (Section 103 Trademarks Act 1999)
Trademark infringement is a serious crime. It is a cognizable offence in India. So, the police can take action without a warranty. These penalties are mainly covered under Section 103 Trademarks Act 1999. It includes heavy trademark infringement fines in India.
| Offence Type | Imprisonment | Fine |
| First Offence | 6 months to 3 years | ₹50,000 to ₹2 lakh |
| Subsequent Offence | 1 year to 3 years | ₹1 lakh to ₹2 lakh |
But the court can reduce punishment in some cases. For example, if someone makes a mistake for the first time or there is no major damage. Still, the law takes such acts very seriously as per Section 103 Trademarks Act 1999.
Other Legal Consequences of Trademark Infringement
Have a look at the significant legal consequences of trademark infringement in India-
- False Claim (Section 107)
These can be serious punishments in case of false registration of a claimed trademark.
- Goods Seizure
The court can order the seizure of counterfeit goods suddenly.
- Goods Destruction
The seized counterfeit goods are later destroyed.
- Business Reputation Loss
Consumer trust is lost, and brand reputation is tarnished.
The impact of trademark infringement will hurt the entire business.
Can You File a Case Without Trademark Registration?
Yes, a case can be filed with trademark registration. This is called passing off. If someone uses your brand name or reputation to their advantage, you can sue them. So, understanding passing off vs. trademark infringement is important, especially when the trademark is not registered.
- Common law protection: Protection is available under the general rules of law, even if there is no registration
- Goodwill must be proven: You must show that your brand has a reputation
- Confusion must be proven: You must show that people are confused
However, it is a little harder to prove than a registered trademark. So, it is best to register a trademark in advance.
Legal Process for Trademark Infringement Cases?
There are two ways to file a case for trademark infringement: civil and criminal. Sometimes both are filed together.
Civil Route
- A case is filed in court
- An injunction is needed to stop the use of the trademark
- Then the court gives the final decision in the case of the process.
Criminal Route
- An FIR or complaint is filed with the police
- The police can conduct a raid and seize the counterfeit goods
- Then there is a trial in court, and punishment is given
Easy Ways to Avoid Trademark Infringement
- Register your trademark in advance- This strengthens your legal protection
- Search for trademarks before use- Check if there are similar or identical names
- Keep an eye on the market and online platforms- Check if someone is using your name
- Take quick action- Take legal action as soon as you see a problem
- Keep evidence- Save all documents of your trademark use
Read more – Logo vs Wordmark Confusion: Which Trademark Should You Register?
How Can Corpbiz Help Avoid Legal Complications?
Corpbiz is a well-known legal and compliance service provider. We help businesses easily manage their trademarks and other legal matters.
Our key services are:
- Trademark registration
- Trademark search and TM monitoring
- Trademark Objection and opposition handling
- Legal advice in infringement cases
- Assistance in various certifications and compliance
Corpbiz simplifies the entire process. This saves time, reduces errors, and reduces risks. So, contact us today to get a reliable support system for businesses.
Conclusion
Trademark infringement is a very serious matter. It can cause both jail and fines. So, it is important to protect your brand in advance.
A small mistake can turn into a big problem. So, it is important to register a trademark and keep an eye on the market.
It may seem difficult to manage the entire process, but Corpbiz can be your ideal partner here. We make the whole process easy and guide you properly. So, contact us today to save your brand from any trouble.
Read more – Why the Trademark Symbol Matters for Brand Identity?
Helpful Questions About Trademark Infringement
What is Trademark Infringement?
Trademark infringement occurs when someone uses another brand name, logo, or mark without permission. Many times, the name or logo is not the same but very similar. This can easily lead to mistakes for the public. Such use violates the law, and action can be taken against it.
What is the punishment for trademark infringement?
The punishment for trademark infringement can be severe. The court may ask to stop using it. If there is damage, you may have to pay money. In some cases, you may even be imprisoned. If there are counterfeit products, they are seized. Sometimes, those products are destroyed.
Is trademark infringement a cognizable offence?
Yes, it is a cognizable offence in trademark law in India. This can cause court cases. If one uses someone else's trademark, a case can be filed against them. So, these things can lead to big problems.
What is the trademark infringement fine in India?
You can be imprisoned for 6 months to 3 years for the first offence. The trademark infringement fine in India can go up to ₹2 lakh, depending on the case. The court decides the punishment after looking at everything. But the matter is considered serious even if it is the first time.
What are the civil remedies available?
You can take help from the court through civil remedies. The court can ask the other party to stop using the trademark. If you are harmed, you can get money. If someone makes a profit by using your name, that profit can also be taken back. If there are counterfeit products, they are seized and destroyed.
Can a case be filed even if the trademark is not registered?
Yes, it can be filed. This is called passing off. Here, you must show that your brand was already known, and someone else is using your name to mislead people. However, proving this case is a little difficult. So, it is better to register for it in advance.
What is the difference between passing off vs trademark infringement?
The difference between passing off vs trademark infringement mainly depends on whether the trademark is registered or not. Passing off occurs when someone copies your name even though the trademark is not registered. Proving infringement is relatively easy. But passing off requires more evidence. So, these two are not the same.
How to prove trademark infringement?
First, you have to show that your trademark already exists. Then you have to show that someone else is using the same or a similar mark. You also have to prove that it is confusing to people. Bills, advertisements, and online evidence are all useful. Clear evidence helps the case.
What needs to be done if someone copies a trademark?
First, investigate the matter thoroughly. Then a legal notice can be sent to them. Many times, this solves the problem. Otherwise, a case can be filed in court. A complaint can also be filed with the police if necessary. It is best to take action quickly without delay.
How can Corpbiz help with trademark registration and protection?
Corpbiz helps with this entire process. We register the trademark and conduct a search beforehand to see if there are any issues. Our team also explains the important procedures if someone uses your trademark. We make your job easier.
Read more – How to Download a Trademark Registration Form?
