Taking cognisance of the increase in misleading advertisements and negligence by the trademarks and patent agents, the Delhi High Court has ordered the Controller General of Patents, Designs & Trademark (CGPTDM) to frame a code of conduct to regulate such agents, on July 5th.
Although it might not be illegal for patent, trademark, and other comparable agents to have a website with contact information and other information about their services, pamphlets that advertise “special offers” or promise same-day registrations have a greater impact on potential clients and applicants, said Judge Prathiba M. Singh.
The HC mandated that the CGPDTM hold stakeholder consultations and establish appropriate mechanisms, such as guidelines for regulating the conduct of patent agents and trademark agents. According to a Bar and Bench report, the draft should be put up by the CGPDTM on its website within two months for stakeholder consultation and the draft should be notified latest by December 31st 2024.
The guidelines should clarify what would constitute professional misconduct and professional negligence and must also put in place a mechanism for filing complaints.
In India, there has been an increase in misleading ads on trademarks in the past decade. Two years ago, the Advertising Standards Council of India (ASCI) and Indian IP law firm K&S Partners, released a white paper “Misleading Advertisements and Trademarks – A Registration Conundrum,” which explains that businesses often register misleading or even deceptive descriptive terms and slogans as trademarks in the country. The practice ends up misleading consumers. Calling false advertising in trademarks a ‘grave’ issue in India, the whitepaper urged for greater scrutiny and restraint on descriptive trademarks and patents.
In 2021, PepsiCo filed a trademark violation case against Parle Agro over the use of ‘For the Bold’ tagline for its newly launched beverage B Fizz.