Sections 102-107 of the Trademark Act of 1999 outline penalties for falsifying or applying false trademarks, selling goods with false trademarks, and falsely claiming a trademark is registered. The penalties include imprisonment of at least 6 months up to 3 years and fines from 50,000 rupees to 2,00,000 rupees. Case laws discuss applying these penalties when individuals are found possessing goods for sale with false trademarks, falsely applying trademarks to products to induce public purchases, and misusing registered trademarks.
Sections 102-107 of the Trademark Act of 1999 outline penalties for falsifying or applying false trademarks, selling goods with false trademarks, and falsely claiming a trademark is registered. The penalties include imprisonment of at least 6 months up to 3 years and fines from 50,000 rupees to 2,00,000 rupees. Case laws discuss applying these penalties when individuals are found possessing goods for sale with false trademarks, falsely applying trademarks to products to induce public purchases, and misusing registered trademarks.
Sections 102-107 of the Trademark Act of 1999 outline penalties for falsifying or applying false trademarks, selling goods with false trademarks, and falsely claiming a trademark is registered. The penalties include imprisonment of at least 6 months up to 3 years and fines from 50,000 rupees to 2,00,000 rupees. Case laws discuss applying these penalties when individuals are found possessing goods for sale with false trademarks, falsely applying trademarks to products to induce public purchases, and misusing registered trademarks.
1. Section 102 – Falsifying and falsely applying trademarks.
2. Section 103 – Penalty for applying false trademarks, trade
description etc.
a. Shall be punished with imprisonment for a term which shall
not be less than 6 months but which may extend to 3 years AND fine which shall not be less than 50K but may extend to 2Lacs.
3. Section 104 – Penalty for selling goods or providing services to
which false trademark or false trade description is applied.
4. Section 105 – Enhanced penalty on second and subsequent
conviction.
5. Section 106 –Penalty for removing piece goods etc. that are contrary to section 81. a. Section 81- repealed by 2010 amendment.
6. Section 107 – Penalty for falsely representing a trademark as
registered.
CASE LAWS:
1. Givo Limited vs Arun Singhal
The bare provision indicates that if any person has in his possession any such goods for sale to which any false trademark is found applied would be liable. Thus, the possession of such goods, in itself, is punishable. It really does not matter whether such trademark was applied by that person or by someone else and as long as any such person is in possession of any such goods for the purpose of sale, the offence is complete.
2. Piyush Subhashbhai Ranipa vs State of Maharastra
The accused have falsely applied the informant’s TM to their product and have attempted to sell those products. Thus this act also attracts section 420 r/w 511 of IPC. The public were induced or an attempt was made to induce the public to buy these products under the impression that these products were manufactured by the informant’s company. Hence the commission of offence under Section 103 of TM Act is clearly made out.
3. Kasim Ali v/s State of Madhya Pradesh
In this case, a complaint was filed against the applicant saying that applicants are using the brand name ‘SENTINELS’ for selling their electric product whereas the trademark has already been registered by M/S Vertex Manufacturing CO. Pvt. Ltd. Thus the applicants are misusing the trademark and also cheating and confusing the public by using the same registered trademark. The court held that looking at the facts of FIR it seems that applicants have committed the offence of false applying under Section 102 of the Trademark Act 1999. (The court had decided that the applicants can be prosecuted under section 102 r/w 103 of TM Act but for the section 420 IPC and 115 of TM Act, it decided negatively).