Lenskart vs Titan Case: Time for marketers to teach their AIs some marketing morals?

The verdict has done more than just serve as a legal precedent; it has shone a focused light on a common industry practice that skates the fine line between competitive strategy & legal violation

e4m by Shantanu David
Published: Aug 4, 2025 8:51 AM  | 6 min read
AI in marketing
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For a few hundred people at an ad agency, a startup, or even a global corporation, it was a perfectly normal Tuesday. The week was rolling, the clicks were coming in, and the ad algorithms were humming along. But for a few dozen people at a different company, Tuesday became Judgment Day.

The recent Lenskart-Titan case, which saw the Delhi High Court rule in favour of Titan on the grounds of trademark infringement via SEO meta tags, has sent a ripple through India’s marketing community. It has done more than just serve as a legal precedent; it has shone a focused light on a common industry practice that often skates the fine line between competitive strategy and legal violation.

This is not a new problem. This is a story of old ethics clashing with new technology, where the invisible backend of a website is now a battleground. This marketing verdict essentially states that what the user can't see is as important as what they can. And in a world driven by performance and automation, this is a watershed moment.

The invisible red flag

For decades, digital marketers have operated with a “can we” mindset. If a tactic worked to drive clicks and conversions without raising immediate red flags, it was fair game. But this case proves that the rules have changed, and the digital landscape is no longer a Wild West of SEO tactics.

The issue, according to Karan Kumar, CMO of Hero Realty, is far more fundamental than a few keywords. “The Lenskart-Titan case has underscored how easily brand bidding and search interception can cross from competitive strategy into possible IP violation,” he notes.

Kumar believes the real red flag is not merely bidding on a competitor's trademark, but the failure to differentiate your offering clearly in the consumer journey. He adds that if a user searching for one brand is led to a page that feels deceptively similar, “intent diversion turns into infringement,” evolving from a legal issue to a larger ethical one.

This perspective is echoed by Sunitha Natarajan, Director of Digital Strategy at Social Panga, who views the Lenskart case as a manifestation of a long-standing industry issue. “The most critical red flag is the unauthorized use of IPs, particularly in areas like meta tag stuffing, use of keywords on competition and bidding,” she states.

Natarajan believes this practice often stems from a lack of ethical standards and a mistaken belief that “behind the scenes IP misuse can go undetected.” She stresses that robust checks and processes are a non-negotiable hygiene factor for any ethical brand marketing operation.

In this new reality, the digital shadows are under scrutiny. Sagar Badirke, Manager of SEO at White Rivers Media, says the most overlooked red flag is the “misuse of competitor brand names in backend elements, such as meta tags, structured data, alt text, and programmatic ad targeting.” Badirke makes it clear that post the Lenskart-Titan verdict, courts are treating these “invisible infringements” just as seriously as visible ones.

The performance-driven world of modern marketing, he argues, must now be balanced with a newfound sense of caution. Teams that embrace technology must also embrace a mindset of ongoing monitoring, transparent workflow checks, and early legal consultation.

Innovation vs. Infringement

The increasing reliance on technology, particularly artificial intelligence, is at the heart of this evolving legal and ethical challenge. As Kumar points out, large language models are now generating ad copy, landing page content, and even auto-suggesting keywords. This hyper-automation introduces a new layer of risk where IP misuse can happen unintentionally, and at scale. He warns of programmatic systems scraping or echoing branded terms without human oversight, a phenomenon he terms “shadow infringement.”

This isn't a hypothetical risk. The challenges of automated content generation are a lived reality for many. Amit Verma, CEO and co-founder of DigitUp, shares a powerful anecdote about his own company's experience. “Two years ago, we used AI for a major toy brand to write metadata for 15,000 pages,” he says. Verma admits that their AI models were not as mature then, and “inadvertently some of our meta-descriptions had other brands' names.”

He highlights the crucial role of human oversight and validation algorithms in rectifying these errors, which they did manually for 1500 URLs. This incident serves as a stark reminder that while AI is an incredibly powerful tool for scalability, it is not infallible.

Verma underscores that the red flag is any mention of a registered business name that benefits another company, even if the two are in different domains. He notes that while some guardrails already exist (like Google's past policy of stopping ads with competitor names in the title) AI's advanced capabilities necessitate a new level of diligence.

AI models can now create flawless content, making proper validation and critical techniques non-negotiable. Verma is of the belief that while nothing is 100% safe, the fear of mistakes should not stifle innovation. He states that such mistakes are “definitely acceptable but should at best be avoided to all possible levels.” His perspective is a pragmatic one: a balance must be struck between the need to innovate and the responsibility to be vigilant.

In this new era, the industry is grappling with a fundamental question: how do we harness the power of automation without running afoul of the law? As Kumar suggests, brands must create “Brand Safe Zones” in AI workflows, setting clear boundaries for keyword libraries and content prompts.

Natarajan adds that education is key, arguing that “teaching ethics in the context of evolving digital touchpoints can help bridge the gray areas.” The consensus is clear. The Lenskart-Titan case has forced the industry to move beyond just competitive strategy and into the realm of legal and ethical compliance. It is a moment of reckoning, demanding that marketers, agencies, and tech providers all re-evaluate their processes.

The future of SEO will not be manual, as Badirke points out, but it absolutely must be mindful. The brands that can adapt to this new reality of “speed with safety” will thrive; the rest, as he warns, will gamble with risks they simply don't see coming.

According to Kruthika Ravindran, Director, Key Accounts, TheSmallBigIdea, "One of the biggest concerns right now is how easily automated systems can pick up and use competitor trademarks, sometimes without anyone realizing it. With smart algorithms and broad-match keywords running so much under the hood, it’s possible to end up bidding on a competitor’s brand name or even using it in ad content by accident."

"As AI takes on a bigger role in how campaigns are managed and content gets created, mistakes are bound to happen and on a bigger scale. It’s not that brands are being careless; it’s just that the pace and complexity are increasing," she added.

Published On: Aug 4, 2025 8:51 AM