Monday, September 30, 2024
Monday, September 30, 2024

What Happens if Someone Else Is Using Your Trademark?

by Aishwarya Agrawal
What Happens if Someone Else Is Using Your Trademark?

Trademarks can be beneficial to companies because they help the business to be clearly visible amongst other products in the market by providing a distinct identity. Under the Trademarks Act, 1999 which is valid in India, trademark owners are protected and their misuses that may lead to unfair competition are stopped.

But it is still a trademark infringement when third parties appropriate trademarks by violating the law. In this context, the owner of the trademark should be informed of trademark rights and proper ways of dealing with the situation.

Consequences of Trademark Infringement

Any other use of your trademark registration with no consent is trademark infringement. This unauthorised use could damage your business, including:

1. Diluting Brand Identity: Unauthorised use of your trademark is able to dilute the authenticity and popularity of your brand name, creating customer misunderstandings and loss of goodwill.

2. Loss of Exclusive Rights: Trademarks give the owners exclusive use of the mark in relation to particular services or goods. Infringement can erode these exclusive rights and other individuals can profit from your good name and your market recognition.

3. Possible Loss of Revenue: If consumers are misled into buying counterfeit or infringing services or products it directly impacts your business revenue streams and profitability.

4. Brand Reputation Damage: Bad quality services or products associated with your trademarks can harm your brand and damage consumer trust and loyalty.

Civil Remedies of Trademark Infringement In India

Mentioned below are the civil remedies of TM infringement in India:

a. Permanent Injunction: 

A trademark proprietor can seek a long-lasting injunction from a court that prohibits the infringer from using the trademark or any misleadingly similar mark once again.

b. Damages: 

The court may award damages to the trademark proprietor for losses (lost income & legal expenses) due to the infringement.

c. Account of Profits: 

The court might also require the infringer to repay earnings made out of the unauthorised use of the trademark.

d. Deliver-up or Destruction of Infringing Goods: 

The court may order the infringer to appear or destroy any infringing items, packaging or marketing material containing the trademark.

Criminal Remedies of Trademark Infringement In India

The Trademarks Act of 1999 also criminalises some kinds of trademark infringement. They include:

a. Imprisonment: 

The infringer can be jailed for 6 weeks to 3 years based on the nature and severity of the offence.

b. Fine: 

The court may levy a fine depending on the facts of the case.

Note that only after receiving a previous opinion from the Registrar of Trademarks can criminal proceedings for trademark infringement be instituted.

Cease & Desist Notice

Most of the time, trademark rights holders will give a cease & desist caution to the supposed violator before legal actions are taken. This particular type of notice makes the infringer stop his actions which also grants both parties the possibility of settling the conflict amicably out of court. If the infringer breaks the due warning, he could be sued by the trademark owner.

Factors Considered by Courts for Infringement of Trademark

When determining whether infringement has occurred, Indian courts usually think about the following factors:

1. Similarity of Marks: The court will figure out how similar the registered trademark is to the infringement mark on the visual, phonetic and emotional levels.

2. Similarity in Goods or Services: The court is going to look at if the goods or services that the marks are used are related or similar and that will increase the danger of customer confusion.

3. Likelihood of Confusion: The court is going to consider if customers are going to be likely to be confused regarding the source or origin of the products or services, based on things such as for instance the image of the registered trademark and the care common customers exercised.

4. Intention of the Infringer: The court could look at if the infringer followed the mark deliberately to exploit the popularity and goodwill related to the registered trademark.

5. Honest Concurrent Use: The court may in a few instances implement the doctrine of honest concurrent use, where identical marks might be used in different geographical locations or for various services or goods without risking confusion.

Effective Trademark Protection Strategies

Taking  some active measures to safeguard your brand from trademark infringement are:

1. Comprehensive trademark searches before launching a brand new brand or product to ensure there are absolutely no conflicts of marks.

2. Registering your trademark with the appropriate authorities in India along with other related jurisdictions where you work or intend to expand.

3. Establishing effective trademark monitoring and enforcement to detect and correct possible infringements promptly.

4. Training your employees, business associates & purchasers on your trademark rights and how to safeguard your brand.

5. Seeking experienced trademark attorneys for legal advice on trademark law and enforcement matters like StartupFino.

Final Thoughts

If somebody else uses your trademark with no authorisation, it can hurt your business. The Trademarks Act, 1999, affords trademark owners civil and criminal remedies to enforce their exclusive rights and stop customer miscommunication. Still, you should actively safeguard your brand assets via trademark registration to prevent trademark infringement, checking and enforcement by taking efficient measures to enforce your trademark protection in the marketplace.

FAQs

1. How do I find out in case somebody is using my trademark?

Conduct regular trademark monitoring searches, monitor the marketplace for similar marks and monitor internet marketplaces and social media for unauthorised uses.

2. Will I get damages for infringement?

Yes, you can sue the infringer for losses (lost earnings, legal costs, harm to the brand image).

3. What factors do courts consider when determining trademark infringement?

Courts look at the similarity of marks, goods/services, the possibility of confusion, the intent of the infringer and honest concurrent use.

4. How do I prevent future infringing on my trademark?

Register your trademark, create monitoring methods, educate employees/partners and get legal advice on developing a strong trademark protection strategy.

5. Is it best to handle trademark infringement cases myself?

Professional help from experienced trademark attorneys like StartupFino is recommended to understand the trademark law and enforcement procedures.

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