The Delhi High Court ruled on May 22 that Google is liable for trademark infringement regarding its keyword bidding practices. The judgment found that Google’s Ads program allowed unauthorized commercial use of sanitaryware maker Hindware’s trademark.
The court rejected Google’s defense as a neutral intermediary. It determined that the platform plays an active role by suggesting and auctioning trademarked keywords for profit.
This decision permanently restrains Google from offering Hindware and its variants as keywords. Google must also pay nominal damages to the manufacturer.
The ruling establishes that invisible backend keywords can constitute trademark infringement. This shift moves liability from individual advertisers to the digital platforms themselves.