Chapter XII - Offences, Penalties and Procedure
Section 107
Section 107: False claims of registration
A business must not falsely claim that a mark, a component, goods or services, or a scope of exclusive rights is registered.
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This article is for general information. Refer to the Trade Marks Act, 1999 official text for the official provisions. If you need professional advice for your situation, contact Bizeneed.
Statutory text
Bare law
(1) No person shall make any representation—
(a) with respect to a mark, not being a registered trade mark, to the effect that it is a registered trade mark; or
(b) with respect to a part of a registered trade mark, not being a part separately registered as a trade mark, to the effect that it is separately registered as a trade mark; or
(c) to the effect that a registered trade mark is registered in respect of any goods or services in respect of which it is not in fact registered; or
(d) to the effect that registration of a trade mark gives an exclusive right to the use thereof in any circumstances in which, having regard to limitation entered on the register, the registration does not in fact give that right.
(2) If any person contravenes any of the provisions of sub-section (1), he shall be liable to penalty of a sum equal to one half per cent. of the total sales or turnover, as the case may be, in business or of the gross receipts in profession, as computed in the audited accounts of such person, or a sum equal to five lakh rupees, whichever is less.
(3) For the purposes of this section, the use in India in relation to a trade mark of the word “registered”, or of any other expression, symbol or sign referring whether expressly or impliedly to registration, shall be deemed to import a reference to registration in the register, except—
(a) where that word or other expression, symbol or sign is used in direct association with other words delineated in characters at least as large as those in which that word or other expression, symbol or sign is delineated and indicating that the reference is to registration as a trade mark under the law of a country outside India being a country under the law of which the registration referred to is in fact in force; or
(b) where that other expression, symbol or sign is of itself such as to indicate that the reference is to such registration as is mentioned in clause (a); or
(c) where that word is used in relation to a mark registered as a trade mark under the law of a country outside India and in relation solely to goods to be exported to that country or in relation to services for use in that country.
Rule and business relevance
The current subsection (2) specifies a penalty equal to 0.5% of the audited sales or turnover in business, or gross professional receipts, or ₹5 lakh, whichever is less. The provisions also explain when registration symbols used in India refer to the Indian register and the defined foreign-registration exceptions.
Limits and related provisions
The current provision uses a penalty framework following the 2023 amendment effective 1 August 2024. Do not repeat the former imprisonment provision. A foreign registration alone does not justify an unqualified Indian registration claim.
Hypothetical business example
Hypothetical example: A company labels a mark as registered for a service outside its actual registration. It checks the exact registration and the current penalty framework rather than relying on its certificate for unrelated goods.
Practical decision flow
Verify the register entry, goods or services and limitations.
Review words and symbols across packaging and advertising.
Correct unsupported claims and assess audited figures under the current provision.
Applying the Act and current procedure
Read the statutory rule together with the applicable Trade Marks Rules, current Registry directions and the facts of the particular mark. Forms, fees and procedural requirements should be checked against their current official source before filing.
Practical checklist
Do
- Verify the register entry, goods or services and limitations.
- Review words and symbols across packaging and advertising.
- Correct unsupported claims and assess audited figures under the current provision.
Avoid
- The current provision uses a penalty framework following the 2023 amendment effective 1 August 2024. Do not repeat the former imprisonment provision. A foreign registration alone does not justify an unqualified Indian registration claim.
Glossary
- Registration representation
- A claim about registration or the exclusive rights it provides.
- Audited penalty base
- The sales, turnover or professional receipts described in subsection (2).
Frequently asked questions
Is the penalty always ₹5 lakh?
No. It is the lesser of the specified 0.5% amount and ₹5 lakh.
Can foreign registration be mentioned?
Yes, within the precise exceptions and presentation conditions in subsection (3).
Can an unregistered component be called separately registered?
Subsection (1)(b) prohibits that false representation.
Need help applying this provision to your situation?
Contact BizeneedLast updated 10 October 2026