By virtue of Federal Law No. 194-FZ adopted on 23 July, 2013, Russian authorities decided to increase fines in case of trademark infringement. The implementation of stricter sanctions aims at deterring third parties from distributing counterfeit goods.
The new Article 14.10 of the Russian Code of Administrative Offences provides new penalties for trademark infringement. These will be proclaimed in case of illegal use of trademarks, appellations of places of origin, production and distribution of counterfeit goods.
Previously, the Russian legislation made no correlation between the amount of fine and the price of infringing goods. It presently differentiates between the penalties depending on whether it is being incurred by the company or its executive businesses. A company will have to pay triple the price of goods with a minimum amount of RUB 40,000 (approximately EUR 850) and counterfeit goods will be seized. Business executives will have to pay twice the price of the counterfeit goods with a minimum amount of RUB 20,000. Finally, individuals will only have to pay the price of the goods with the minimum amount of RUB 2,000 (approximately EUR 50).
Although the struggle against trademark infringement is difficult in Russia, these measures are welcomed and should have a deterrent effect for some.