Rule 2 explained: this guide covers what it means, who it applies to, the step-by-step process, documents required, fees, due dates and penalties in India — so you can stay compliant with confidence and avoid costly mistakes.
The second half of rule 2(1), clauses (n) to (y), defines the terms that decide who may pay the lower filing fee, what counts as an opposition, and what "publish" means. Two definitions carry real money consequences: "small enterprise" and "startup". If you think your business qualifies, read them closely before choosing the fee category in your trademark registration application.
Under rule 2(1), small enterprise is tied to investment limits borrowed from the Micro, Small and Medium Enterprises Development Act, 2006, and startup means an entity recognised under the Startup India initiative. The First Schedule gives a lower fee to an individual, startup or small enterprise. "Publish" means published in the online Trade Marks Journal, and "registered trademark agent" means a person whose name is actually on the register kept under rule 142.
Clauses (n) to (u): the plain definitions
| Clause | Term | What the text says |
|---|---|---|
| (n) | old law | The Trade and Merchandise Marks Act, 1958 and rules under it, as existing immediately before the Act began |
| (o) | opposition | Opposition to registration of a trademark, collective trademark or certification trademark, and includes opposition to protection of an international registration designating India and opposition to alteration of a registered trademark |
| (p) | principal place of business in India | The relevant place specified in rule 3 |
| (q) | publish | Published in the trademarks Journal on the official website of the Controller General of Patents, Designs and Trade Marks |
| (r) | registered trademark agent | A trademark agent whose name is actually on the register of trademarks agents maintained under rule 142 |
| (s) | renewal | Renewal of registration of a trademark, certification trademark or collective trademark |
| (t) | schedule | A Schedule to the rules |
| (u) | section | A section of the Act |
Two of these deserve a comment. Clause (o) is wider than ordinary opposition under section 21: it takes in collective and certification marks, international registrations designating India, and opposition to alteration of a registered mark. Clause (r) says "actually on the register", so a person who has applied but is not yet entered is not a registered trademark agent.
Clause (v): small enterprise
The definition has three limbs.
- Manufacture or production of goods: an enterprise where the investment in plant and machinery does not exceed the limit specified for a medium enterprise under clause (a) of sub-section (1) of section 7 of the Micro, Small and Medium Enterprises Development Act, 2006.
- Services: an enterprise where the investment in equipment is not more than the limit specified for a medium enterprise under clause (b) of the same sub-section.
- Foreign enterprise: one that fulfils the requirements in limbs (i) and (ii).
The first Explanation says "enterprise" means an industrial undertaking, a business concern or any other establishment "engaged in the manufacture or production of goods in any manner pertain to any industry specified in the first schedule to the Industries (Development and Regulation) Act, 1951", or engaged in providing services in such an industry. The sentence is badly worded ("engages in providing or rendering or any services or services"), so the exact reach of the Explanation is better read in the official text. The second Explanation says that, in calculating investment in plant and machinery, "reference rates of foreign currency of Reserve Bank of India shall prevail".
The text does not itself state any rupee limit. It points to the MSME Act, and the rupee limits there are not in the source used here, so check the current limits and any amendments before you claim this status.
Clause (x): startup
"Startup" means:
- (i) an entity in India recognised as a startup by the competent authority under the Startup India initiative; or
- (ii) in the case of a foreign entity, an entity fulfilling the criteria for turnover and period of incorporation or registration as per the Startup India Initiative and submitting a declaration to that effect.
For turnover calculation, the same Explanation applies: "reference rates of foreign currency of Reserve Bank of India shall prevail". The Rules do not list the turnover and age criteria; they borrow them from the initiative. Keep your recognition certificate ready, because the category is something you state when you file.
Why the category matters: the fee
The First Schedule (entry 1) fixes the fee for an application on Form TM-A. As notified in 2017; check the current Schedule: for an Individual, Startup or Small Enterprise the fee is Rs 5,000 for physical filing and Rs 4,500 for e-filing; "in all other cases" it is Rs 10,000 and Rs 9,000. The note says the fee is "for each class and for each mark". Entry 17 (expedited processing under rule 34) also distinguishes the same categories.
| Applicant category | Entry 1, physical filing | Entry 1, e-filing |
|---|---|---|
| Individual / Startup / Small Enterprise | Rs 5,000 | Rs 4,500 |
| All other cases | Rs 10,000 | Rs 9,000 |
(as notified in 2017; check the current Schedule, per class per mark)
Note that "Individual" is not defined in rule 2. The Schedule simply names it beside startup and small enterprise.
Clauses (w) to (y)
- (w) Specification means the designation of goods or services in respect of which a trademark or a registered user is registered or proposed to be registered.
- (y) Words not defined in the rules but defined in the Act, the Geographical Indications of Goods (Registration and Protection) Act, 1999 or the Copyright Act, 1957 carry the meaning given there. For marks and goods, see the Act's own definitions, for example in section 2.
Rule 2(2): how references work
Unless otherwise indicated, a reference to a section is to a section of the Act, a reference to a rule is to a rule in these rules, a reference to a Schedule is to a Schedule to these rules, and a reference to a Form is to a Form in the Second or Third Schedule. The clause saves repeated explanation, but note that "rule 99" in the First Schedule, for instance, always means a rule of this set.
Example
Priya Organics, a two-person food-service business recognised under Startup India, applies for "Neem Leaf Kitchen" on Form TM-A in one class. Because the Schedule gives a lower fee to a startup, she selects that category and attaches the recognition. A larger distributor of the same name, not recognised as startup and above the investment limit, would fall in "all other cases".
Version note
This is the text as notified on 6 March 2017. Later amendments to rule 2 and to the First Schedule are not reflected here; check them.
Need help with choosing the right applicant category?
Whether you qualify as a startup or small enterprise changes the fee, and a wrong claim can cause trouble later. Our trademark registration team can check your documents and file the application in the right category.
Key takeaways
- "Small enterprise" depends on investment limits taken from section 7(1) of the MSME Act; the Rules print no rupee figure.
- "Startup" means recognition under Startup India, or a declared equivalent for a foreign entity.
- The lower fee in entry 1 applies to an individual, startup or small enterprise, per class and per mark.
- "Opposition" covers collective marks, certification marks, international registrations and alteration of a registered mark.
- "Registered trademark agent" means a person actually on the register under rule 142.
Read next
- Rules 1–2: short title, commencement and the first definitions
- Rule 10: fees and mode of payment
- Rule 34: expedited processing of an application
- How to file expedited trademark examination for startups
Disclaimer: Based on the Trade Marks Rules, 2017 as notified on 6 March 2017, as consulted on 1 October 2026. Later amendment rules, forms and fees should be checked in their current form. This article is general information, not legal advice; check the official text before acting.