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Understanding Grounds for Trademark Refusal: Key Criteria Explained

Grounds for Trademark Refusal

The registration of a trademark can be denied based on specific criteria, which are classified into absolute and relative grounds.

Absolute Grounds for Refusal

Trademark registration may be rejected under the following conditions:

  1. Lack of Distinctiveness: Trademarks that fail to distinguish the goods or services of one entity from those of others are not eligible for registration.

  2. Descriptive Marks: Trademarks that merely describe the kind, quality, quantity, intended purpose, value, geographical origin, time of production, or other characteristics of goods or services are ineligible.

  3. Common Usage: Trademarks that have become common within the general language or established trade practices, excluding well-known trademarks, may face refusal.

  4. Public Deception: Trademarks that could mislead or confuse the public are not acceptable.

  5. Religious Sensitivities: Marks that may offend religious sentiments of individuals or communities are subject to rejection.

  6. Obscenity: Trademarks featuring scandalous or obscene material will not be registered.

  7. Prohibited Words: Trademarks that contain words banned under the Emblems and Names (Prevention of Improper Use) Act, 1950 are disallowed.

  8. Essential Shape: Trademarks composed of shapes that result from the nature of the goods themselves are not eligible.

  9. Technical Outcomes: Trademarks that adopt shapes necessary to achieve a technical result or that add significant value to the goods are rejected.

Decriminalization and Penalty Revisions

The Jan Vishwas (Amendment of Provisions) Act, 2023, which comes into effect on August 1, 2024, has decriminalized numerous minor offences under the Trade Marks Act and revised penalties. However, it has not modified the fundamental grounds for trademark refusal. This change will influence enforcement and compliance practices, but not the established grounds for refusal.

Digitization and Non-Traditional Trademarks

Reforms anticipated in 2025 highlight the importance of digitization, the use of artificial intelligence in trademark examination, and the establishment of clearer guidelines for non-traditional trademarks, including sounds, colors, and holograms. While these updates aim to modernize the procedures, the core grounds for refusal will remain intact.

Relative Grounds for Refusal

In addition to absolute grounds, the following relative grounds may also result in the refusal of trademark registration:

  1. Similarity to Existing Marks: A trademark cannot be registered if it is identical or similar to a pre-existing trademark.

  2. Public Confusion: Registration may be denied if the public is likely to be confused or misassociate it with an earlier trademark.

  3. Well-Known Marks: A trademark that closely resembles a well-known trademark in India will be refused registration.

  4. Unfair Advantage: The use of a later mark, without justifiable reason, may provide an unfair advantage or adversely affect the distinctive character or reputation of an earlier trademark.

  5. Legal Preclusions: The use of a trademark may be hindered by existing laws, particularly those laws protecting unregistered trademarks through the law of passing off or under copyright legislation.