The court ruled that allowing Google’s advertisers to use other companies’ brand names as search keywords did not amount to a trademark infringement. Louis Vuitton had filed a lawsuit alleging that Google was violating the trademark law by selling keywords in advertising searches to the highest bidder.
The French luxury brand known for designer handbags argued that due to this, a site selling fake Louis Vuitton handbags received as much prominence under the “sponsored links” section of the search page as the genuine Louis Vuitton website; when a Google user searched for “Louis Vuitton handbags.”
It charged the US internet giant with violating its trademark rights by peddling fake luxury goods of similar name through its Adwords system. Anyway, the European Court of Justice ruled that Google did not infringe trademarks by selling keywords and sponsored searches related to a particular company or brand to its business rivals and other online advertisers.