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ARTICLE · 29 JULY 2013

Trade Marks Vs Adwords - The Final Decision (Or Is It?)

The issue of Adwords has become increasingly important in trade mark law.

South AfricaIntellectual Property

The issue of Adwords has become increasingly important in trade mark law.  When you buy a word from Google as an Adword, this has the effect that whenever anyone enters that word as a search term, your pop-up advert will appear on the screen together with the so-called 'natural results'.  You can buy generic words as Adwords, but you can also buy words that happen to be trade marks.  The trade mark law issue that arises is this: if you buy the trade mark of another company as an Adword, are you infringing that company's trade mark rights? 

This question has come up in a number of European cases.  In a case involving Louis Vuitton, the Court of Justice of the European Union (CJEU) said that there will be no infringement provided that the pop-up ad makes it quite clear to a reasonably savvy Internet user that there is no connection between the product being advertised and the owner of the trade mark. In other words, the ad must not mislead.  The court's thinking here

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