A group of founders argue over startup names in a café, loudly. A man at a nearby table opens his laptop. When he leaves, he hands them his number: he has registered the good ones, and they are welcome to buy them from him.
Whether that is a true story or internet folklore, it raises something startups overlook in the rush to build: a catchy, memorable name is not enough. You also need to be sure you are not infringing someone else’s rights, and that your own are protected.
What you see of a company’s intellectual property is the tip of the iceberg. The rest surfaces only when something is infringed.
What a trademark is
A trademark can be a sign, design or expression that makes a business recognisable. Under Indian law it includes words, numerals, logos and slogans, such that no other business may use it as their own — and the list is not exhaustive.
Trademarks are protected because a mark is part of a business’s identity: it makes the business recognisable and carries its goodwill and reputation. The yellow M of McDonald’s calls up food, and burgers in particular; the same holds for Apple, Pepsi, Coca-Cola and countless others.
No startup is likely to try registering “Pepsi”. The risk lies with the less famous marks you have never heard of — which is exactly what a search is for.
What happens at examination
After filing, the Registrar may issue an examination report setting out absolute and relative grounds for refusal, including any conflicting marks already on the register. A reply must be filed within thirty days of receipt of the report.
If you infringe
Choosing a name already registered to someone else makes you liable for trademark infringement, and Indian law provides both civil and criminal consequences.
The common civil reliefs are injunctions (temporary or permanent), damages or an account of profits, and costs. An account of profits allows the rights holder to recover the gains the infringer made from the violation. A permanent injunction means stopping the use immediately — which, for a business whose identity is the name, means stopping the business as it exists.
On the criminal side, the offence carries imprisonment of not less than six months, extending to three years, and a fine of ₹50,000 to ₹2 lakh.
Nobody wants litigation while starting a business. It damages reputation and leaves a lasting bad taste. A background check is simply the sensible thing to do.
How to search
A lawyer can conduct the search on the startup’s behalf, covering both online and offline records at the Trade Marks Registry. You can also run a preliminary search yourself online — and a plain web search of each candidate name is worth doing from the very beginning of the brainstorm, since unregistered prior users can stop you just as registered ones can.
The detailed search is what catches the rest: similar marks rather than identical ones, related classes, and marks that are pending rather than registered.
Register early
Searching thoroughly matters. So does registering as soon as the name is finalised — following the correct process and with advice. Registration is what makes it possible to sue an infringer.
It is worth registering the name before the business is fully established, since the name is a major part of its identity, and the cost of changing it rises with every month of use.
If you are on the road to starting the next big thing, the legal aspects matter alongside the finances and logistics — and the name comes first. So when brainstorming, have a plan for registering it.
And avoid shouting your candidate names in a crowded café.
The takeaways
- Search before you settle — including for unregistered users.
- Thirty days to reply to an examination report.
- Infringement is civil and criminal — up to three years’ imprisonment.
- Register as soon as the name is fixed, ideally before launch.
Frequently asked questions
Do I need to search before naming my startup? Yes — both the register and general web use, since an unregistered prior user can stop you as effectively as a registered proprietor.
How long do I have to reply to an examination report? Thirty days from receipt of the report.
What are the penalties for trademark infringement in India? Civilly, injunctions, damages or an account of profits and costs. Criminally, imprisonment of six months to three years and a fine of ₹50,000 to ₹2 lakh.
When should a startup register its name? As soon as the name is finalised, ideally before the business is fully established — the cost of changing it only rises with use.
Useful official resources
- Trade Marks Registry — IP India
- The Trade Marks Act, 1999