IPR and Criminal Liability
Intellectual Property Rights (IPR) and Criminal Liability
1. Overview of IPR
Intellectual Property Rights protect creations of the mind—like inventions, designs, trademarks, copyrights, etc. Enforcement typically includes civil remedies (injunctions, damages), but in cases of serious violations, criminal liability is imposed to deter deliberate infringement.
2. When does Criminal Liability arise in IPR?
Criminal liability arises mostly in cases involving:
Willful and commercial scale infringement
Counterfeiting and piracy
Use of false trademarks
Distribution or sale of infringing products
3. Key Legislations and Provisions Imposing Criminal Liability
| IPR Type | Relevant Law | Key Criminal Sections & Penalties |
|---|---|---|
| Copyright | Copyright Act, 1957 | Section 63: Imprisonment 6 months to 3 years + fine ₹50,000–₹2,00,000 |
| Section 63A: Repeat offenders - imprisonment up to 7 years | ||
| Trademark | Trade Marks Act, 1999 | Section 103: False trademark usage - imprisonment up to 3 years + fine |
| Section 104, 105: Selling goods with false trademarks, repeat offences | ||
| Patent | Patents Act, 1970 | Generally no criminal penalties; only civil remedies |
| Designs | Designs Act, 2000 | No criminal liability; civil remedies only |
| Geographical Indications | Geographical Indications Act, 1999 | Section 39: Misuse or falsification of GI - imprisonment up to 3 years + fine up to ₹2,00,000 |
| Trade Secrets | No standalone law | Protection via IPC Sections 378 (theft), 405 (criminal breach of trust), 415 (cheating) |
4. Examples of Criminal Offences in IPR
Piracy of copyrighted software, movies, music (Section 63, Copyright Act)
Counterfeit branded goods, fake trademarks (Section 103, Trade Marks Act)
Falsification or unauthorized use of Geographical Indications (Section 39, GI Act)
Theft or breach of confidential information (trade secrets) (IPC)
5. Enforcement Procedure
Filing an FIR with police or customs authorities
Search, seizure, and investigation
Criminal trial before courts
Penalties include imprisonment and/or fines
6. Landmark Cases
Microsoft Corporation v. K. Mayuri (2007) — Criminal conviction for software piracy under Copyright Act.
Cartier International v. Gaurav Bhatia — Criminal action against counterfeit luxury watches under Trade Marks Act.
Summary
| IPR Type | Criminal Liability? | Typical Penalties |
|---|---|---|
| Copyright | Yes (willful piracy) | Imprisonment + fines |
| Trademark | Yes (counterfeiting, false marks) | Imprisonment + fines |
| Patent | No | Civil remedies only |
| Design | No | Civil remedies only |
| Geographical Indications | Yes | Imprisonment + fines |
| Trade Secrets | Yes (via IPC) | IPC prescribed penalties |
RELATED Blog
0 comments