India Court orders amazon to ay $39 million in beverly hills polo club trademark case
In a landmark ruling, an Indian court has directed an amazon unit to pay $39 million in damages for infringing the “Beverly Hills Polo Club” (BHPC) trademark. The case, which has been described as one of the most significant in terms of damages awarded against a U.S. firm for trademark infringement, was brought forward after apparel bearing an identical logo was found for sale on amazon’s indian marketplace.
The ruling follows an antitrust investigation in India, which previously concluded that Amazon had violated competition laws by favouring select sellers on its platform—allegations the e-commerce giant has consistently denied.
Background of the case
Lifestyle Equities, the owner of the BHPC horse trademark, initiated legal proceedings in 2020, asserting that amazon’s Indian website was listing clothing items featuring a logo indistinguishable from the official BHPC branding. These products were available at significantly lower prices, raising concerns about consumer confusion and brand dilution.
The Delhi High Court, in an 85-page judgment, confirmed that the infringing brand was owned by Amazon Technologies and was being sold on the company’s Indian platform. The court found that Amazon was fully aware of Lifestyle Equities’ exclusive rights to the BHPC logo, noting that the company had been engaged in litigation concerning this trademark in multiple jurisdictions, including the United Kingdom.
The ruling includes a “permanent injunction” preventing amazon from selling these products in India under the contested logo.
Legal and industry reactions
Legal experts have hailed the ruling as a watershed moment in India’s trademark enforcement history. Aditya Gupta, a partner at India’s Ira Law, remarked, “This is likely the highest damages sum awarded in a trademark infringement suit in India. It now remains to be seen how this Indian judgment is enforced by U.S. courts.”
Amazon has yet to issue a formal response. Spokespersons for the company in both the United States and India declined to comment on the court’s decision when approached by Reuters.
Amazon’s history with trademark disputes
This is not the first time amazon has faced allegations of trademark infringement. In 2019, Lifestyle Equities launched similar legal action against Amazon in the United Kingdom. Last year, Amazon lost an appeal against a ruling which found it had violated UK trademarks by targeting British consumers through its U.S. website.
Further scrutiny of amazon’s business practices came in 2021, when a Reuters investigation revealed that the company had engaged in a systematic campaign of producing knockoff goods and manipulating search results to promote its private-label brands in india.
Political and regulatory implications
The court’s decision has sparked calls for stricter regulation of e-commerce platforms in India. Praveen Khandelwal, a prominent member of Prime Minister Narendra Modi’s Bharatiya Janata Party and secretary general of the Confederation of All India Traders (CAIT), has urged the Indian government to take decisive action against Amazon for what he describes as “predatory” business tactics.
“The court’s decision underscores the critical need for e-commerce platforms to enforce stringent trademark compliance,” Khandelwal said, reinforcing CAIT’s longstanding opposition to Amazon’s operational practices in india.
The verdict also comes at a time of heightened scrutiny of foreign e-commerce players in India. In November, India’s financial crime enforcement agency raided the offices of several sellers operating on amazon and Walmart-owned Flipkart, as part of an investigation into alleged violations of foreign investment rules.
Conclusion
The Delhi High Court’s decision marks a significant precedent in India’s intellectual property landscape. As amazon grapples with the fallout from this ruling, the case underscores the growing regulatory pressure on multinational corporations operating in the Indian market. It remains to be seen how the enforcement of this verdict will unfold, particularly in the context of Amazon’s legal standing in the United States and other global jurisdictions.