Counterfeit Goods Philippines

Counterfeit Goods Philippines

The Legal Framework

The Intellectual Property Code of the Philippines, otherwise known as Republic Act No. 8293, provides the legislative basis for dealing with the violation of intellectual property rights, including the selling of counterfeit goods. Other relevant laws include the Consumer Act of the Philippines (Republic Act No. 7394) and the Revised Penal Code.

Legal Consequences

1. Criminal Penalties: Individuals found guilty of selling counterfeit goods can face imprisonment and hefty fines. The length of the prison sentence and the amount of the fine depend on the gravity of the offense and whether the accused is a repeat offender.

2. Civil Penalties: Victims of counterfeit goods can file a civil case seeking damages. Brands or trademark owners can also file a civil suit for infringement and for the destruction of the counterfeit items.

3. Administrative Penalties: The Intellectual Property Office (IPO) can impose administrative penalties such as fines, the cancellation of business permits, or the seizure of counterfeit goods.

4. Business Repercussions: Being caught selling counterfeit goods can lead to a loss of business reputation and customer trust, which can have long-term economic impacts.

Case Procedures

1. Investigation and Raid: Law enforcement agencies or private investigators may initiate an investigation which, with a court order, can culminate in a raid on the business premises.

2. Charges and Trials: Charges are usually filed at the Department of Justice, which will conduct a preliminary investigation. If there is sufficient evidence, the case will proceed to trial.

3. Seizure of Assets: During the investigation, counterfeit items, as well as assets purchased through the proceeds of the illegal activity, may be seized.

4. Resolution and Appeals: After trial, a judgment will be handed down. Both parties have the right to appeal the decision.

Mitigating Risks

Business owners must be diligent in ensuring that the products they sell are authentic. They should:

1. Verify Suppliers: Always source products from trusted and verified suppliers.

2. Documentation: Keep complete and accurate records of transactions and supplier information.

3. Legal Consultation: Seek legal advice to ensure compliance with intellectual property laws and consumer protection regulations.

Conclusion

Selling counterfeit goods is a serious offense with stringent legal repercussions, including criminal charges, civil penalties, and administrative sanctions. Businesses and individuals must exercise due diligence to ensure that they are in compliance with the law to avoid these risks.