NEW DELHI/MUMBAI, May 31 -- The Delhi High Court has held that using a competitor's registered trademark as a Google Ads keyword may amount to infringement, even if the mark is not visible in the advertisement, and directed US technology giant Google LLC and its Indian subsidiary Google India to jointly pay Rs.30 lakh in damages in a dispute brought by sanitaryware maker Hindware.

The ruling, delivered on 22 May, could reshape keyword-based advertising in India and raises questions over the extent to which digital platforms can auction and monetise branded search terms. Advertisers, platforms and brand owners are now assessing its implications for online marketing.

Mint explains the case and its wider impact.

The case dates to 2013-14,...