"Opposed" means your mark was advertised in the Trade Marks Journal and, within the window the law allows, somebody filed a notice of opposition against it. Your application is not refused. It has become a contested matter between you and the opponent, and it now has a deadline attached that is genuinely unforgiving.
How an application becomes opposed
Once a mark is accepted it is published in the Trade Marks Journal. Under Rule 42 of the Trade Marks Rules, 2017, any person may file a notice of opposition within four months of the date of publication. Anyone can oppose — you do not have to be a registered proprietor to do it — and the grounds are usually drawn from Section 9 (the mark is descriptive or lacks distinctiveness) or Section 11 (it conflicts with an earlier mark).
Opposition is more common in crowded fields. If your sector is full of similar descriptive names, an opposition is less a judgment on you than a feature of the market you are in.
The deadline that actually matters
Once the notice of opposition is served on you, you must file a counterstatement within two months. This deadline is strict and, unlike the examination-reply period, it is not extendable. If no counterstatement is filed in time, the application is deemed abandoned.
This is the single most important thing to understand about the "Opposed" status. The opposition itself is survivable and often winnable. Missing the counterstatement is not.
What the counterstatement has to do
The counterstatement answers the notice of opposition point by point. It is not the place to make a general case for your business; it is where you admit, deny or explain each ground the opponent has raised. Denials that are vague or blanket tend to weaken the case later, because the evidence stage will test them.
After counterstatements, the matter moves through evidence rounds, in which both sides file affidavit evidence, and then to a hearing. The whole process takes time, and it is normal for an opposition to run well over a year.
What happens next
Most oppositions end in one of three ways. The opponent does not pursue it and it lapses. The parties settle, often by narrowing the specification so the two marks no longer collide — which is frequently the cheapest sensible outcome. Or it runs to a hearing and is decided.
Narrowing a specification is worth considering early. If the overlap the opponent complains about covers goods you do not actually sell, giving them up costs you very little and can end the dispute.