In a case against e-commerce platform IndiaMART, PUMA has accused the platform of facilitating the sale of counterfeit PUMA products by third-party sellers. This has allegedly infringed PUMA’s registered trademarks and caused damage of reputation for the sports brand.

Repercussions for IndiaMART

The New Delhi court issued an interim injunction, restraining IndiaMART from listing or allowing the sale of any products bearing PUMA’s trademarks on its website without the company’s authorisation.

IndiaMART is also required to disclose the details of the sellers of the alleged counterfeit products. It was stated that the safe harbour protection under the Information technology Act 2020 does not apply to IndiaMART.

New Delhi court declared: “An online platform cannot become a haven for infringers.”

The e-commerce platform was further directed to file an affidavit stating the measures that have been taken to prevent infringement and counterfeiting on its website.

This interim order shows the obligations placed on intermediaries to ensure their website is not an infringement enabler.

The case is still pending before the court.

E-commerce Platform Requirements

E-commerce platforms should have robust procedures to identify and remove infringing content, using technology and data analysis to assist the process. They are required to have clear terms of service outlining prohibited content and consequences for those that violate the terms.

Implementing measures such as seller verification and product checks can minimise the risk of hosting counterfeit goods. Platforms can also look to collaborate with brands and rights holders to foster a more responsible online marketplace.

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