How is the crime of infringing industrial property rights handled under the Criminal Law?

Answer: If individuals or organizations intentionally infringe upon industrial property rights for trademarks or geographical indications protected in Vietnam, they will be prosecuted under Article 226 of the 2015 Penal Code, amended in 2017, which stipulates the crime of infringing industrial property rights with the following penalties:

1. For individuals:

* Frame 1: Fine from 50,000,000 VND to 500,000,000 VND or non-custodial reform for up to 03 years when:

Any person who intentionally infringes upon industrial property rights to a trademark or geographical indication that is protected in Vietnam, where the subject matter is counterfeit goods of a trademark or geographical indication on a commercial scale or illegally profits from VND 100,000,000 to less than VND 300,000,000

Or causing damage to the owner of a trademark or geographical indication from VND 200,000,000 to under VND 500,000,000 or infringing goods worth from VND 200,000,000 to under VND 500,000,000.

* Frame 2: Fine from VND 500,000,000 to VND 1,000,000,000 or imprisonment from 06 months to 03 years for the following cases:

(i) Organized;

(ii) Committing the crime two or more times;

(iii) Illegal profits of VND 300,000,000 or more;

(iv) Causing damage to the owner of a trademark or geographical indication of VND 500,000,000 or more;

(v) Infringing goods worth VND 500,000,000 or more.

* Additional penalties: The offender may also be fined from VND 20,000,000 to VND 200,000,000, banned from holding positions, practicing a profession or doing certain jobs from 01 to 05 years.

2. For commercial legal entities:

Specifically in Clause 4, Article 226, commercial legal entities committing the crime of infringing industrial property rights shall be punished as follows:

+ A fine of between VND 500,000,000 and VND 2,000,000,000 shall be imposed on individuals committing acts specified in Frame 1 on a commercial scale or illegally profiting from VND 200,000,000 to under VND 300,000,000 or causing damage to the owner of a trademark or geographical indication from VND 300,000,000 to under VND 500,000,000.

Or the value of infringing goods is from VND 300,000,000 to under VND 500,000,000; illegal profits are from VND 100,000,000 to under VND 200,000,000 or causing damage to the trademark owner;

Or geographical indications from VND 100,000,000 to under VND 300,000,000 or infringing goods worth from VND 100,000,000 to under VND 300,000,000 but have been administratively sanctioned for this act;

Or has been convicted of this crime, has not had his criminal record cleared, and continues to commit the crime;

+ Fine from VND 2,000,000,000 to VND 5,000,000,000 or suspension of operation for a period of 06 months to 02 years when committing a crime in the cases specified in (i), (ii), (iii), (iv), (v) frame 2 for individuals;

+ Commercial legal entities may also be fined from VND 100,000,000 to VND 500,000,000, banned from doing business, banned from operating in certain fields or banned from raising capital from 01 to 03 years.

PL