Trademark infringement action in Peru
- In October 2006, our advanced watching system detected that a Peruvian company, "the transgressor", was trying to enter the market for counterfeit GATE VALVES from China under the brand "CRANE
*Trademark infringement is a violation of the exclusive rights attached to a trademark without the authorization of the trademark owner or any licensees (provided that such authorization was within the scope of the license). Infringement may occur when one party, the «infringer», uses a trademark that is identical or confusingly similar to a trademark owned by another party, relates to products or services which are identical or similar to the products or services that the registration covers. An owner of a trademark may commence civil legal proceedings against a party that infringes its registered trademark. Source: Wikipedia
The original owner, CRANE CO. from the U.S.A., instructed our Law Firm to file a trademark infringement action against the infringer. Consequently, on December 4th, 2006 it was carried out an inspection of the merchandise within the customs warehouse as well as a precautionary measure ordered by the Infringement Division of the Peruvian Trademark Office-INDECOPI, consisting of the confiscation of the counterfeit merchandise.
During the inspection, it was verified the existence of thirty-two (32) wood boxes containing a total of 462 counterfeit gate valves.
On March 9, 2007, INDECOPI issued the Resolution No.004306-2007/OSD-INDECOPI resolving the following:
– State FOUNDED the Infringement Action filed by CRANE CO. from the U.S.A. against the “infringer”.
– Forbid the infringer to use “CRANE” brand name (as a word or design) in connection with valves belonging to international Classes 06, 07 ad 11, specifying this prohibition is extended to the warehousing, importation, exportation and/or trading in a non-authorized way goods corresponding to said classes bearing the “CRANE” trademark.
– Confiscate in a definitive way the bogus valves.
– Sanction the infringer with a pecuniary penalty of approximately US$10,000.00 to be paid within a period no more than five (5) working-days from the reception of the Resolution.
Advantages resulting from an infringement action in Peru:
- Infringers are sanctioned with a heavy fine for violating the trademark rights of a third party.
- Marketplace is corrected since the infringers are not going to trade pirate products, so the consumers will not be damaged buying counterfeit goods and will buy original merchandise from the real owner of a registered trademark.
- Entrepreneurs, who own a registered trademark, will be benefited since a dealer or trader will be discouraged to purchase counterfeit merchandise for avoiding the damage resulting from an infringement action, instead they will purchase original goods from the brand name’s real owner or its licensee.
- Entrepreneurs will realize about the importance of having a trademark duly registered and the possibility of starting an infringement action if their rights were being damaged by a third party.
- Infringers face the payment of the remedies and costs involved in an infringement action.
- Bogus merchandise is definitely confiscated and destroyed later on.