Counterfeit Goods Pose Growing IP Enforcement Challenge
Counterfeit goods are most likely to come from China and India, according to a new report by the Organisation for Economic Cooperation (OECD) and Development and the European Union Intellectual Property Office. The report also highlights the role of e-commerce in fostering piracy and counterfeiting, as well as increasing the challenge of protecting intellectual property rights.
The report, entitled “Mapping the Real Routes of Trade in Fake Goods,” estimates that the total import value of counterfeit and pirated goods in 2013 was $461 billion. “Trade in counterfeit and pirated goods is a vital threat to modern, innovation-driven economies, a worldwide phenomenon that grows in scope and magnitude,” the OECD said in a press statement. “Counterfeiters ship infringing products via complex routes, with many intermediary points, which poses a substantial challenge to efficient enforcement.”
According to the OECD report, China and Hong Kong were identified as the place of origin of 80 percent of the fakes seized by authorities. They are also the top producers in 9 out of the 10 top counterfeit categories: electronics, jewelry, optical/photographic/medical equipment, clothing and textiles, pharmaceuticals, footwear, foodstuff, toys and games, leather and handbags, and perfume.
The report also examined the complex routes of trade in counterfeit pirated goods. It found that 63 percent of seized counterfeit goods were transported via postal and express delivery services. As noted by the OECD, this poses a significant challenge for law enforcement.
Role of Customs and Border Protection in Protecting IP
In policing U.S. borders, CBP is authorized to exclude, detain and/or seize imported merchandise that infringes federally registered and recorded trademarks and copyrights and/or is covered by an exclusion order issued by the U.S. International Trade Commission. It is also the legal authority to make substantive determinations regarding infringement of trademarks and copyrights, pursuant to the Tariff Act of 1930, the Lanham Act of 1946, the Copyright Act of 1976, and the Digital Millennium Copyright Act of 1998.
Earlier this year, the CBP announced that it seized a record number of shipments containing goods that violated Intellectual Property Rights (IPR) in FY2016. Seizures of counterfeit and pirated goods rose nine percent in FY2016. The CBP reported that the total estimated manufacturer’s suggested retail price (MSRP) of the 31,560 seized goods, had they been genuine, was more than $1.38 billion.
To help prevent imports or exports of infringing goods, businesses should record their trademarks and copyrights with CBP. The process is fairly straightforward and may be done online via the Intellectual Property Rights e-Recordation (IPRR) application. The recordation fee for copyrights is $190. The recordation fee for trademarks is $190 per International Class of goods. The benefit of recordation is that information, including photographs of your genuine products, is readily available to CBP personnel at the borders.
The CBP also encourages IP owners to submit allegations of infringing shipments or conduct to CBP via its e-Allegations website. The agency then uses the information, which can be submitted anonymously, to target counterfeiting activities and may refer cases for criminal investigations.
Do you have any questions? Would you like to discuss the matter further? If so, please contact me, Adrian Lee, at 201-806-3364.
Does Your Homeowners Insurance Provide Adequate Coverage?
Your home is likely your greatest asset, which is why it is so important to adequately protect it. Homeowners insurance protects you from the financial costs of unforeseen losses, such as theft, fire, and natural disasters, by helping you rebuild and replace possessions that were lost While the definition of “adequate” coverage depends upon a […]
Understanding the Importance of a Non-Contingent Offer
Making a non-contingent offer can dramatically increase your chances of securing a real estate transaction, particularly in competitive markets like New York City. However, buyers should understand that waiving contingencies, including those related to financing, or appraisals, also comes with significant risks. Determining your best strategy requires careful analysis of the property, the market, and […]
Fred D. Zemel Appointed Chair of Strategic Planning at Scarinci & Hollenbeck, LLC
Business Transactional Attorney Zemel to Spearhead Strategic Initiatives for Continued Growth and Innovation Little Falls, NJ – February 21, 2025 – Scarinci & Hollenbeck, LLC is pleased to announce that Partner Fred D. Zemel has been named Chair of the firm’s Strategic Planning Committee. In this role, Mr. Zemel will lead the committee in identifying, […]
Novation Agreement Process: Step-by-Step Guide for Businesses
Big changes sometimes occur during the life cycle of a contract. Cancelling a contract outright can be bad for your reputation and your bottom line. Businesses need to know how to best address a change in circumstances, while also protecting their legal rights. One option is to transfer the “benefits and the burdens” of a […]
What Is a Trade Secret? Key Elements and Legal Protections Explained
What is a trade secret and why you you protect them? Technology has made trade secret theft even easier and more prevalent. In fact, businesses lose billions of dollars every year due to trade secret theft committed by employees, competitors, and even foreign governments. But what is a trade secret? And how do you protect […]
What Is Title Insurance? Safeguarding Against Title Defects
If you are considering the purchase of a property, you may wonder — what is title insurance, do I need it, and why do I need it? Even seasoned property owners may question if the added expense and extra paperwork is really necessary, especially considering that people and entities insured by title insurance make fewer […]
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Sign up to get the latest from our attorneys!
Explore What Matters Most to You.
Consider subscribing to our Firm Insights mailing list by clicking the button below so you can keep up to date with the firm`s latest articles covering various legal topics.
Stay informed and inspired with the latest updates, insights, and events from Scarinci Hollenbeck. Our resource library provides valuable content across a range of categories to keep you connected and ahead of the curve.
Counterfeit Goods Pose Growing IP Enforcement Challenge
Author: Scarinci Hollenbeck, LLC
Counterfeit Goods Pose Growing IP Enforcement Challenge
Counterfeit goods are most likely to come from China and India, according to a new report by the Organisation for Economic Cooperation (OECD) and Development and the European Union Intellectual Property Office. The report also highlights the role of e-commerce in fostering piracy and counterfeiting, as well as increasing the challenge of protecting intellectual property rights.
The report, entitled “Mapping the Real Routes of Trade in Fake Goods,” estimates that the total import value of counterfeit and pirated goods in 2013 was $461 billion. “Trade in counterfeit and pirated goods is a vital threat to modern, innovation-driven economies, a worldwide phenomenon that grows in scope and magnitude,” the OECD said in a press statement. “Counterfeiters ship infringing products via complex routes, with many intermediary points, which poses a substantial challenge to efficient enforcement.”
According to the OECD report, China and Hong Kong were identified as the place of origin of 80 percent of the fakes seized by authorities. They are also the top producers in 9 out of the 10 top counterfeit categories: electronics, jewelry, optical/photographic/medical equipment, clothing and textiles, pharmaceuticals, footwear, foodstuff, toys and games, leather and handbags, and perfume.
The report also examined the complex routes of trade in counterfeit pirated goods. It found that 63 percent of seized counterfeit goods were transported via postal and express delivery services. As noted by the OECD, this poses a significant challenge for law enforcement.
Role of Customs and Border Protection in Protecting IP
In policing U.S. borders, CBP is authorized to exclude, detain and/or seize imported merchandise that infringes federally registered and recorded trademarks and copyrights and/or is covered by an exclusion order issued by the U.S. International Trade Commission. It is also the legal authority to make substantive determinations regarding infringement of trademarks and copyrights, pursuant to the Tariff Act of 1930, the Lanham Act of 1946, the Copyright Act of 1976, and the Digital Millennium Copyright Act of 1998.
Earlier this year, the CBP announced that it seized a record number of shipments containing goods that violated Intellectual Property Rights (IPR) in FY2016. Seizures of counterfeit and pirated goods rose nine percent in FY2016. The CBP reported that the total estimated manufacturer’s suggested retail price (MSRP) of the 31,560 seized goods, had they been genuine, was more than $1.38 billion.
To help prevent imports or exports of infringing goods, businesses should record their trademarks and copyrights with CBP. The process is fairly straightforward and may be done online via the Intellectual Property Rights e-Recordation (IPRR) application. The recordation fee for copyrights is $190. The recordation fee for trademarks is $190 per International Class of goods. The benefit of recordation is that information, including photographs of your genuine products, is readily available to CBP personnel at the borders.
The CBP also encourages IP owners to submit allegations of infringing shipments or conduct to CBP via its e-Allegations website. The agency then uses the information, which can be submitted anonymously, to target counterfeiting activities and may refer cases for criminal investigations.
Do you have any questions? Would you like to discuss the matter further? If so, please contact me, Adrian Lee, at 201-806-3364.
Let`s get in touch!
Sign up to get the latest from the Scarinci Hollenbeck, LLC attorneys!
