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Section 73 of the Geographical Indications of Goods (Registration and Protection) Act, 1999: Groundless Threats of Legal Proceedings

A person aggrieved by threats of an infringement action (made by circulars, advertisements or otherwise) may sue for a declaration that the threats are unjustifiable, an...

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GI Registration
Published
October 1, 2026
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Oct 3, 2026
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Last updated: October 2026Verified against: Government sources

Section 73 protects a person from being bullied by baseless threats of GI infringement action. If someone, by circulars, advertisements or otherwise, threatens you with proceedings for infringement of a geographical indication that is registered, or that they say is registered, you may sue for a declaration that the threats are unjustifiable, an injunction and damages, unless the threatener proves that the indication is registered and that your acts do or would infringe it. Rights holders should read it just as carefully before sending any notice. Our legal notice drafting team can draft or answer a notice with this section in mind.

Status after the amending Acts

Section 73 is not on the Tribunals Reforms Act, 2021 list and is not changed by the Jan Vishwas (Amendment of Provisions) Act, 2023. The printed text is current.

Sub-section (1): the threats suit

"Where a person, by means of circulars, advertisements or otherwise, threatens a person with an action or proceeding for infringement of a geographical indication which is registered, or alleged by the first-mentioned person to be registered, or with some other like proceeding, a person aggrieved may, whether the person making the threats is or is not the registered proprietor or the authorised user of the geographical indication, bring a suit against the first-mentioned person and may obtain a declaration to the effect that the threats are unjustifiable, and an injunction against the continuance of the threats and may recover such damages (if any) as he has sustained, unless the first-mentioned person satisfies the court that the geographical indication is registered and that the acts in respect of which the proceedings were threatened, constitute, or, if done, would constitute, an infringement of the geographical indication."

ElementWhat the text says
The threatA threat of an action or proceeding for infringement, or "some other like proceeding"
How made"By means of circulars, advertisements or otherwise"
Which indicationOne which is registered, or alleged by the threatener to be registered
Who can sue"A person aggrieved"
Who may be suedThe threatener, whether or not he is the registered proprietor or authorised user
RemediesA declaration that the threats are unjustifiable; an injunction against continuing them; damages (if any) sustained
Threatener's answerHe must satisfy the court that the indication is registered and that the threatened acts constitute, or would constitute, infringement

Two points deserve emphasis. First, the section covers threats about an indication the threatener only claims is registered; it is not a safe harbour for loose claims. Second, the threatener has to prove both registration and infringement. Proving only one is not enough. What infringement means under the Act is explained in the article on section 22.

Sub-section (2): the exception for prompt action

"The last preceding sub-section does not apply if the registered proprietor of the geographical indication or an authorised user thereof with due diligence commences and prosecutes an action against the person threatened for infringement of the geographical indication."

The way out for a genuine rights holder is to act: commence and prosecute an infringement action with due diligence against the person threatened. Then the threats suit is not available. The exception is limited to the registered proprietor or an authorised user; a stranger who makes threats cannot use it. "Due diligence" is not defined in the text we read. A holder who sends a notice and then lets the matter rest for years is poorly placed to rely on this sub-section.

Sub-section (3): professionals

"Nothing in this section shall render a legal practitioner or a registered geographical indications agent liable to an action under this section in respect of an act done by him in his professional capacity on behalf of a client."

A lawyer or registered GI agent who sends a notice for a client is not personally liable under this section. The client is. Section 76 describes who may act as an agent, as the article on sections 74 to 76 explains.

Sub-section (4): the forum

"A suit under sub-section (1) shall not be instituted in any court inferior to a district court."

This follows the floor in section 66 for infringement suits; see the article on section 66. The text does not extend the plaintiff-residence rule of section 66(2) to threats suits, so it should not be assumed.

Who is safe and who is exposed

PersonPosition
Registered proprietor with a valid registration and a real infringementSafe, if he can satisfy the court of both
Authorised user acting on a genuine registered indicationSame
Person who wrongly claims a GI is registeredExposed: the claim fails the "is registered" test
Proprietor who threatens but never suesExposed unless he proves registration and infringement
Proprietor who threatens and promptly sues with due diligenceSafe under sub-section (2)
Lawyer or GI agent sending the notice for a clientNot liable under this section

Example

Varma Foods circulates a letter to retailers saying it will sue anyone who sells "Hill Honey" without its licence, claiming a registered indication. The indication is not registered. Rao Stores, which stocks honey sold under a similar descriptive name, sues Varma Foods under section 73. Varma Foods cannot prove registration, so the court may declare the threats unjustifiable, restrain them and award damages if Rao Stores proves loss. If Varma Foods had been a registered proprietor and had started an infringement action promptly, Rao Stores' threats suit would have been excluded.

What the section does not say

  • It does not say what counts as "otherwise" beyond circulars and advertisements.
  • It does not set the damages, or say how they are measured.
  • It does not define "person aggrieved" beyond its ordinary sense.
  • It does not say how long the threats suit may be filed after the threat.
  • It does not say whether a threat to sue for passing off falls under it; it speaks of infringement or "some other like proceeding".

Practical points

  1. Before sending a notice, confirm the registration entry and that the acts really infringe.
  2. If you send a notice, be ready to sue promptly and with diligence.
  3. If you receive a threat, check whether the indication is actually registered and consider a section 73 suit.
  4. Keep copies of the circular or advertisement; they are the evidence.

Need help with a threat notice, sent or received?

A poorly checked notice can turn into a suit against you. Our legal notice drafting team can verify the registration, shape the notice to what you can prove and respond on behalf of anyone who has received an unfounded threat.

Key takeaways

  • A person threatened with a GI infringement action may sue for a declaration, an injunction and damages if the threats are unjustifiable.
  • The threatener must prove both that the indication is registered and that the acts infringe.
  • A proprietor or authorised user who sues with due diligence takes the case out of the section.
  • Lawyers and registered GI agents acting professionally are not liable.
  • The suit lies in a district court or higher.

Read next

Disclaimer: Based on the Geographical Indications of Goods (Registration and Protection) Act, 1999 read with 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 rules made under the Act. This article is general information, not legal advice; check the official text before acting.

Quick recapKey facts & short answers

Key Facts About Section 73

  • 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.

What are groundless threats under section 73?

Threats, by circulars, advertisements or otherwise, of an infringement action for an indication that is registered or alleged to be registered, which the threatener cannot justify.

What can I get if I am threatened?

A declaration that the threats are unjustifiable, an injunction against continuing them and damages you sustained.

The right form filed late and the wrong form filed on time cause the same trouble — file the right one on time.

— TaxClue Compliance Desk

Section 73: 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.

People also ask

Questions, answered

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

Threats, by circulars, advertisements or otherwise, of an infringement action for an indication that is registered or alleged to be registered, which the threatener cannot justify.

A declaration that the threats are unjustifiable, an injunction against continuing them and damages you sustained.

By satisfying the court that the geographical indication is registered and that the acts threatened constitute, or would constitute, infringement.

The suit is available whether or not he is the registered proprietor or authorised user, but a proprietor who diligently starts an infringement action is outside it.

No. Sub-section (3) protects a legal practitioner or registered GI agent acting in a professional capacity for a client.

A court not inferior to a district court.