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Trademark Live

Sections 106–109 of the Trade Marks Act, 1999: Omitted Offences and the Penalty for Falsely Representing a Mark as Registered

Section 107(1) bars four kinds of false claim about registration: calling an unregistered mark registered, claiming separate registration for a part of a mark, claiming...

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October 1, 2026
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Last updated: October 2026Verified against: Government sources

Section 107 stops a person from telling the market that a mark is registered when it is not, or from claiming more than the registration gives. Since the Jan Vishwas (Amendment of Provisions) Act, 2023, the consequence in sub-section (2) is a money penalty rather than imprisonment. Sections 106, 108 and 109 stand omitted by the same Act. If you are unsure whether your labels overstate your rights, a legal consultation can check them.

What happened to sections 106, 108 and 109

The Jan Vishwas (Amendment of Provisions) Act, 2023, in its entry for the Trade Marks Act, 1999, provides: "(A) Section 106 shall be omitted." and "(C) Sections 108 and 109 shall be omitted." Older printed editions of the Act still show them, because they predate the amendment. They are not current law. For a reader who meets them in an older book, these are the headings as enacted:

SectionHeading as enactedPosition now
106Penalty for removing piece goods, etc. contrary to Section 81Omitted by the Jan Vishwas Act, 2023
108Penalty for improperly describing a place of business as connected with the Trade Marks OfficeOmitted by the Jan Vishwas Act, 2023
109Penalty for falsification of entries in the registerOmitted by the Jan Vishwas Act, 2023

Section 106 depended on section 81, which belongs to the textile-goods provisions; see sections 79–82 on the textile goods chapter. Do not read these three sections as an offence you can still be prosecuted for under this Act. If you have a concern about a false statement or document, take advice on what other law may apply; this article does not cover that.

Section 107(1): the four prohibited representations

Section 107(1) begins "No person shall make any representation". The four forms are:

ClauseThe representationPlain meaning
(a)With respect to a mark, not being a registered trade mark, that it is a registered trade markClaiming registration for a mark that is not registered
(b)With respect to a part of a registered trade mark, not being a part separately registered, that it is separately registeredClaiming a logo element or a word inside your mark has its own registration when it has none
(c)That a registered trade mark is registered in respect of goods or services for which it is not in fact registeredStretching a registration beyond its classes or specification
(d)That registration gives an exclusive right to use in circumstances where, having regard to a limitation entered on the register, it does not in fact give that rightIgnoring a disclaimer or limitation recorded on the register

The prohibition applies to "any person", not only to a proprietor. A distributor, an advertiser or a seller who prints "registered" on packaging or a website is within the words of the section.

Example. Verma Foods has applied for "SUNRISE CRUNCH" but the application is pending. Its new packs carry the words "registered trade mark". Under clause (a) that is a representation that an unregistered mark is registered. A different case: Lotus Home holds registration for "LOTUS" in respect of towels only and advertises "LOTUS, registered for all home textiles and kitchenware". That runs into clause (c).

What counts as a reference to registration

Section 107 has three sub-sections: (1) the prohibition, (2) the penalty and (3) the meaning of a reference to registration. Sub-section (3) says that, for the purposes of the section, use in India of the word "registered", or of any other expression, symbol or sign referring expressly or impliedly to registration, is deemed to import a reference to registration in the register. The exceptions are:

  • (a) the word or sign is used in direct association with other words in characters at least as large, indicating that the reference is to registration as a trade mark under the law of a country outside India under whose law the registration is in fact in force;
  • (b) the sign is of itself such as to indicate that the reference is to such a foreign registration; or
  • (c) the word is used in relation to a mark registered under the law of a country outside India and solely to goods to be exported to that country, or to services for use in that country.

So a bare "®" or "registered" on goods sold in India is read as a claim of Indian registration. The section does not say that a particular symbol is mandatory or that using one is an offence by itself where the mark is in fact registered. For unregistered marks, see passing off.

Section 107(2): the penalty after the Jan Vishwas Act, 2023

As enacted, sub-section (2) says a person who contravenes sub-section (1) "shall be punishable with imprisonment for a term which may extend to three years, or with fine, or with both". The Jan Vishwas Act, 2023 substituted for those words: "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".

In practical terms:

  1. The measure is one half per cent. of total sales or turnover (business) or gross receipts (profession), as computed in the audited accounts.
  2. The other measure is five lakh rupees.
  3. The penalty is the lesser of the two. A business with audited turnover of rupees 10 crore would have a half per cent. figure of rupees 5 lakh; a business with rupees 40 lakh turnover would face a figure of rupees 20,000.
  4. The imprisonment limb and the fine limb of the old sub-section no longer appear.

Who imposes it and how it is challenged is in the new sections 112A and 112B; see adjudication of penalties and appeal. The Jan Vishwas Act, 2023 (section 1(2)) lets the Central Government appoint different dates for different enactments, so the date from which the Trade Marks Act changes took effect is a matter of the commencement notification; check it before relying on a date.

Note also that section 115(1) still speaks of cognizance of offences under sections 107, 108 and 109 on a complaint by the Registrar or an authorised officer. The Jan Vishwas Act does not amend section 115. How section 115 sits with the penalty regime is covered in section 115.

Need help with a claim of registration?

If you are unsure whether your packaging, website or catalogue overstates what your registration covers, a short review of the register entry against your wording usually settles it. Our legal consultation service can walk through your marks and materials with you.

Key takeaways

  • Sections 106, 108 and 109 are omitted by the Jan Vishwas Act, 2023; older books still print them.
  • Section 107(1) forbids four false claims about registration, made by any person.
  • Use of "registered" or a similar sign is deemed to refer to registration in the Indian register, subject to three foreign-registration exceptions.
  • The penalty in section 107(2) is the lesser of one half per cent. of audited sales, turnover or gross receipts and five lakh rupees.
  • The procedure for imposing and appealing penalties is in sections 112A and 112B.

Read next

Disclaimer: Based on the Trade Marks Act, 1999 as amended by the Tribunals Reforms Act, 2021 and the Jan Vishwas (Amendment of Provisions) Act, 2023, as consulted on 1 October 2026. Forms, fees and procedure are set by the Trade Marks Rules, 2017 as amended from time to time. This article is general information, not legal advice; check the official text before acting.

Quick recapKey facts & short answers

Key Facts About Sections 106

  • Applies in: All states across India, under the relevant central law.
  • Mode: Mostly online via the official government portal.
  • Typical timeline: Ranges from a few days to a few weeks depending on the case.
  • Non-compliance: May attract penalties, interest or late fees.
  • Expert help: TaxClue completes the entire process end to end for you.

Is it still a crime to use "®" on an unregistered mark?

Section 107(2), as amended by the Jan Vishwas Act, 2023, now provides for a penalty, not imprisonment or fine. The imprisonment words were substituted.

How much is the penalty under section 107(2)?

A sum equal to one half per cent. of total sales, turnover or gross receipts as computed in the audited accounts, or five lakh rupees, whichever is less.

Watch the journal: opposing a conflicting mark is easier than cancelling it later.

— TaxClue IP Desk

Sections 106: a key compliance topic in Indian tax and corporate law that businesses and individuals must understand to remain compliant.

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Disclaimer: This article is for general informational purposes only and does not constitute professional tax, legal or financial advice. Laws, rates and due dates change and can vary by individual case — always verify with the relevant government source (e.g. mca.gov.in, incometax.gov.in) or consult a qualified professional before acting. TaxClue accepts no liability for decisions taken based on this content.

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Questions, answered

Short, direct answers to the 6 questions readers ask most on this topic.

Section 107(2), as amended by the Jan Vishwas Act, 2023, now provides for a penalty, not imprisonment or fine. The imprisonment words were substituted.

A sum equal to one half per cent. of total sales, turnover or gross receipts as computed in the audited accounts, or five lakh rupees, whichever is less.

No. The Jan Vishwas Act, 2023 omitted it.

No. Both were omitted by the same Act.

Section 107(1)(a) bars representing an unregistered mark as registered. A pending application is not a registration.

The words are "No person shall make any representation", so it is not limited to proprietors.