Norway rules 3rd party trademark AdWords contrary to good business practice
The Norway Committee for Unfair Competition has found that the purchase and use of a competitor’s trademark as a Google Adword is in breach of good business practice.
Bryn Aarflot reports that the committee stressed that the goodwill in a trademark is what causes the internet user to use the term as a search term in the first place, and unauthorised use of such mark takes unfair advantage of the owner’s reputation and efforts.
The Committee issues advisory opinions in cases where there has been a breach of the Marketing Control Act. It cannot instruct a party to take action or to cease activity; however, most upstanding businesses will follow its recommendations and stop their infringing activity.
The Committee’s decision also often carries weight if a case proceeds to court.