Oct 30, 2024

Trademark Orders Passed by Contractual Officers to be Revalidated

In October 2022, the Controller General of Patents, Designs and Trade Marks (‘CGPDTM’) engaged around 800 ‘contractual officers’ through the Quality Council of India (‘QCI’) to examine trademark applications in view of manpower shortages. This engagement of contractual officers was called into question by the Department of Legal Affairs in April 2024 on the ground that such contractual officers were not legally authorized to perform quasi-judicial functions under the Trade Marks Act, 1999 (‘Trade Marks Act’).

In July 2024, the Department for Promotion of Industry and Internal Trade (‘DPIIT’) directed the CGPDTM to terminate its memorandum of understanding with QCI and form a committee to re-validate the trademark Orders passed by these contractual officers. Further, the Calcutta High Court in Visa International Ltd. v. Visa International Service Association & Anr.,[1] by way of its Order dated August 2, 2024, held that such contractual officers were not competent to examine and process trademark applications as this was a quasi-judicial function.

In light of the same, on August 13, 2024, the CGPDTM issued an Order detailing the revalidation process for all trademark applications processed by contractual officers in the past two years. A group of 27 officers, divided into two levels, have been instructed to review each trademark application passed by such contractual officers. Level 1 officers (Examiners/Senior Examiners) will have to revisit and revalidate the trademark applications as per provisions of the Trade Marks Act and the Trade Marks Rules, 2017. If the concerned trademark application has been processed as per law, the Level 1 officer may validate the same. In other cases, the Level 1 officer may refer the trademark application to a Level 2 officer stating reasons and proposing suitable action such as withdrawal of acceptance of the application or cancellation or modification of the registration. The Level 2 officer (Assistant Registrars) may either agree with the decision of the Level 1 officer or if he disagrees, the Level 2 officer, may validate the trademark application for reasons to be recorded in writing. The process covers applications at various stages, including examination, show cause hearing, opposition, and post-registration. Appeals against revalidation Orders will lie before the relevant High Court under Section 91 of the Trade Marks Act.

[1] Visa International Ltd. v. Visa International Service Assn., 2024 SCC OnLine Cal 7238.

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