FB Pulls Down Business Page Of Houzify; Investors Call This Action Danger For Startups

Facebook has removed the business page of Indian home interior startup Houzify without warning or consultation, based on an alleged trademark infringement case by a US company called Houzz.

San Francisco-based design and decor company Houzz,  had sent a legal notice to Houzify in December last year claiming a “deceptive similarity” between the trademark Houzz and Houzify.  On February 11, Houzify had agreed to change the representation of Houzify to a different font and put a disclaimer on the Google Play Store and website clarifying Houzify has no connection with Houzz.

However, the founders of Houzify feel that the action from Facebook of removing their business page is a “execution without trial”. TV Mohandas Pai, who is also investor in the company criticized the action stating it “demonstrates the danger India and startups here face because of the monopoly of Facebook and its bad and unreliable behavior.”

“Instead of following the due legal processes, Houzz chose to use strong-arm tactics so characteristic of corporate giants focused on stifling local competition,” said Gunaseelan Radhakrishnan, co-founder & CEO of Houzify.

Facebook’s India representative said that the matter was being looked into and said it would take at least another day to provide an explanation.

[source]

2 comments

  • Facebook has suspended our ads since Jan, 2014. There has been no response from Facebook on this while our competitors continue to advertise. We’ve sent two legal notices in last two months and haven’t got a single response. We’re soon filing a CCI complaint against Facebook once our notice period expires.

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