Astron Intellectual Patent and Trademark Office

Taiwna Trademark Act CH7-9

Taiwna Trademark Act CH7-9

Chapter 7
Remedies for Right Infringement

Article 61
A trademark right holder may claim for damages from a person infringing whose trademark rights, and may request for excluding infringement thereto; in case of likelihood of infringement, the said right holder may also request for the prevention thereof.
Using trademark under conditions stipulated by Paragraph 2 of Article 29 without consent from a trademark right holder shall constitute infringement of the trademark rights.
A trademark right holder, when requesting in pursuance with provisions of the preceding paragraph 1, may request for destruction or other necessary disposal of the goods infringing trademark rights, or raw materials or equipments utilized for infringement.

Article 62
A trademark right infringement shall be deemed to have occurred where consent of trademark right holder is absent from any of the following conditions:
1. Knowingly using a trademark identical or similar to a well-known registered
    trademark of another person, or using the word(s) contained in the said
    well-known trademark as the company name, trade name or domain name or
    any other representation identifying the body or source of whose business,
    and hence diluting the distinctiveness or reputation of the said well-known
    trademark; or
2. Knowingly using the word(s) contained in a registered trademark of another
    person as the company name, trade name or domain name or any other
    representation identifying the body or source of whose business, and hence
    causing confusion to relevant consumers of goods or services thereof.

Article 63
When claiming for damages, a trademark right holder may choose one of the following methods to estimate the amount thereof:
1. Damages may be claimed in pursuance with Article 216 of the Civil Code.
    However, in the event where evidence cannot be presented to prove the
    damages thereof, the trademark right holder may use the profit normally
    gained from using whose registered trademark to subtract the profit gained
    from the same trademark after infringement, and claim the difference as the
    amount of damage;
2. Damages may be claimed in accordance with the profit gained from

    trademark rights infringement. However, where no evidence on costs or
    necessary expenses can be proved by the infringer, the total amount of

    sales from selling the infringing goods shall be regarded as the amount of
    profit; or
3. Damages may be claimed in an amount equivalent to 500 to 1,500 times of
    the unit retail price of the infringing goods. However, in the case where over
    1,500 pieces of infringing goods are found, the amount of damage to be
    claimed shall be assessed based on the total sale price of the said infringing
    goods.
A court may, at its discretion, reduce the amount of compensation in the case where the amount of compensation for damages assessed under the preceding paragraph is apparently unreasonable.
A trademark right holder may claim for additional compensation in a reasonable amount in the case where whose business reputation has sufferred any damage on account of such infringement.

Article 64
A trademark right holder may request for publication on a newspaper, at the expense of the infringer, of the contents, in full or in part, of the judicial decision in relation to a trademark infringement.

Article 65
A trademark right holder may request the Customs Authority to suspend the release of imported or exported goods that are suspected of infringing the trademark rights of the said right holder.
The request set forth in the preceding paragraph shall be presented in writing, explicating the facts of the infringement, and along with a bond in an amount equivalent to the duty-paid price of the imported goods or the F.O.B. price of the exported goods, assessed by the Customs Authority, or with an equivalent security.
Once the Customs Authority accepts a request for suspension of release, it shall immediately notify the applicant thereof; where suspension of release is carried out owing to compliance to the preceding paragraph, the said applicant and the party whose goods are detained shall be notified in writing.
The party whose goods are detained may request the customs authorities to revoke the suspension of release by providing a bond in an amount equivalent to two times the bond set forth in the preceding paragraph 2 or an equivalent security while following the procedures in accordance with applicable customs regulations on import and export goods clearance.
Without prejudice to the protection of the confidentiality of the detained goods, the Customs Authority may allow the inspection of the detained goods requested by the applicant thereof or the party whose goods are detained.
Where the applicant thereof is awarded an affirmed court ruling stating that the detained goods has infringed trademark rights, the party of the detained goods shall be liable for all relevant expenses incurred as a result of the delay of containers, warehousing, loading, and unloading of the detained goods, except for the conditions set forth in paragraph 4 of Article 66.

Article 66
The Customs Authority shall revoke the suspension of release under any of the following conditions:
1. Where the applicant thereof fails to initiate litigation claiming that the
    detained goods are infringements in pursuance with Article 61 while notifying
    the Customs Authority within twelve (12) days counting from the date on
    which the Customs Authority has notified its acceptance of suspension
    requested by the said applicant thereof.
2. Where a court ruling dismissing litigation initiated by the applicant thereof
    alleging that the detained goods are infringements becomes affirmative.
3. Where a court ruling sustaining that the detained goods infringe no
    trademark rights becomes affirmative.
4. Where the applicant thereof requests for revocation of the suspension of
    release.
5. One that complies with the condition set forth in paragraph 4 of Article 65.
The Customs Authority may extend the period set forth in Item (1) of the preceding paragraph by an additional twelve (12) days whenever necessary.
Where revocation carried out in pursuance with paragraph 1, the Customs Authority shall follow the procedures in accordance with applicable customs regulations on import and export goods clearance.
Where suspension of release is revoked in pursuance with Items (1) to (4) of paragraph 1, the applicant thereof shall be liable for all relevant expenses incurred as a result of the delay of containers, warehousing, loading, and unloading of the detained goods.

Article 67
When the detained goods are affirmed to be non-infringing by a court ruling, the applicant for suspension of release shall compensate the party whose goods were detained for any losses resulting from the suspension of release or from the provision of the bond set forth in paragraph 4 of Article 65.
The applicant of the bond set forth in paragraph 4 of Article 65, or the party, whose goods were detained, of the bond stipulated in paragraph 2 of Article 65 shall enjoy the same right as a pledgee. However, all relevant expenses incurred due to the delay of containers, warehousing, loading, and unloading of the detained goods as set forth in paragraph 4 of Article 66 and paragraph 6 of Article 65 shall be paid in priority from compensation over all losses incurred to the said applicant or the said party.
Under any of the following circumstances, the Customs Authority shall return the bond set forth in paragraph 2 of Article 65 upon request by the applicant thereof:
1. Where the bond is no longer required owing to the applicant thereof has
    either obtained a favorable affirmed judgment or reached a settlement with
    the party whose goods were detained;
2. Where the applicant thereof proves that the party of the detained goods
    was notified but has failed to exercise its rights within twenty (20) or more
    days after the suspension of release is revoked on account of any
    circumstances set forth in Items (1) through (4) of paragraph 1 of Article 66
    in which the party of the detained goods has suffered from losses owing to
    the suspension of release, or after the party of the detained goods has been
    awarded a favorable affirmed judgment; or
3. Where the party whose goods were detained agrees to the return of the
    bond.
Under any of the following circumstances, the Customs Authority shall return the bond set forth in paragraph 4 of Article 65, upon request by the party whose goods were detained:
1. Where the bond is no longer required owing to either the suspension of the
    release order has been revoked pursuant to the provisions of Items (1)
    through (4) of paragraph 1 of Article 66, or the party whose goods were
    detained has reached a settlement with the applicant thereof;
2. Where the party whose goods were detained proves that the applicant
    thereof was notified but has failed to exercise its rights within twenty (20)
    or more days after the said applicant thereof has been awarded a favorable
    affirmed judgment; or
3. Where the applicant thereof agrees to the return of the bond.

Article 68
The regulations governing the application for detaining goods, revocation of a detaining, inspection of detained goods, payment, provision and return procedures for a bond or security, required documents and other matters to be abided by which set forth in the preceding three articles shall be prescribed by the competent authority and the Ministry of Finance.

Article 69
The provisions of this Chapter shall apply mutatis mutandis to infringement on the right to use a trademark granted through licensing as provided under Article 33.

Article 70
A foreign juristic person or entity, which is not limited to those recognized by the Government of the Republic of China, may also file a complaint, initiate a private prosecution, or institute a civil suit with respect to the matters prescribed in this Act.

Article 71
A court may establish a special tribunal or designate a specialist(s) to handle trademark litigation.

Chapter 8
Certification Marks, Collective Membership Marks and Collective Trademarks

Article 72
Any person who wishes to exclusively use a mark to certify the characteristics, quality, precision, place of origin or other matters of another person's goods or services shall apply for certification mark registration.
Only a juristic person, an organization or a government agency which is capable of certifying another person's goods or services shall be eligible to apply for certification mark registration.
An applicant of the preceding paragraph who engages in business in connection with the goods or services to be certified shall not apply for certification mark registration thereof.

Article 73
The use of a certification mark shall connote that the right holder of a certification mark, in order to certify the characteristics, quality, precision, origin or other matters of another person's goods or services, agrees the said person to indicate the said certification mark on articles or documents in connection with the said goods or services.

Article 74
Any business association, social organization, or any other group that exists as a juristic person and wishes to exclusively use a mark to identify its organization or membership shall apply for collective membership mark registration.
An application for collective membership mark registration of the preceding paragraph shall be filed with the Registrar Office by submitting in writing specifying relevant matters along with a set of articles governing the use of the collective membership mark thereto.

Article 75
The use of a collective membership mark shall connote the indication of such mark on relevant articles or documents by the organization or its members in order to identify an organization or membership thereof.

Article 76
Any business association, social organization, or any other group that exists as a juristic person and wishes to exclusively use a mark to identify the goods or services provided by its members, and therefore distinguishing these goods or services from those provided by others, may apply for collective trademark registration.
An application for collective trademark registration of the preceding paragraph shall be filed with the Registrar Office by submitting in writing specifying the designated class(es) and the name(s) of goods or services along with the a set of articles governing the use of the collective trademark thereto.

Article 77
The use of a collective trademark shall connote that, in order to identify the goods or services provided by members of an organization, the said members use the collective trademark on their goods or services whereby these goods or services may be distinguished from those provided by others.

Article 78
The right of a certification mark, a collective membership mark or a collective trademark shall not be assigned or licensed to another person for use, nor may it be the subject of a pledge. However, the aforementioned shall not apply in the case where such assignment or license to another person for use is unlikely to damage the interests of consumers, to contravene fair competition, and has been approved by the Registrar Office.
Article 79
The Registrar Office shall, upon request by any person or ex officio, revoke the registration of a certification mark, a collective membership mark or a collective trademark in the case where misuse of which by the right holder or the licensed user thereof has caused damages to another person or the public.
The term, misuse, referred to in the preceding paragraph shall connote any of the following conditions:
1. Where a certification mark is used as a trademark or indicated on articles or
    documents in connection with the goods or services provided by the right
    holder of the said certification mark;
2. Where the use of a collective membership mark or collective trademark has
    misled the general public regarding the nature of the organization thereof;
3. Where assignment, licensing, or creation of pledge is established in violation
    of the provisions of the preceding article;
4. One that has violated the set of articles governing the use thereof; or
5. One that is misused in other means.

Article 80
Unless otherwise provided in this Chapter, the provisions of this Act regarding trademarks shall apply mutatis mutandis to certification marks, collective membership marks or collective trademarks.

Chapter 9
PENALTY

Article 81
Any person who commits any of the following acts without prior consent of the trademark or the collective trademark right holder thereof shall be charged with imprisonment for no more than three years, detention and, in addition thereto or in lieu thereof, a fine of no more than NT$200,000:
1. One who uses a mark identical to a registered trademark or collective
    trademark on the same goods or services;
2. One who uses a mark identical to a registered trademark or collective
    trademark on similar goods or services, and hence has caused likelihood of
    confusion or misleading to relevant consumers;
3. One who uses a trademark that is similar to a registered trademark or
    collective trademark on the identical or similar goods or services, and hence
    has caused likelihood of confusion to relevant consumers.

Article 82
Any person, who knowingly sells, displays for sale, exports or imports the goods referred to in the preceding article, shall be charged with imprisonment of no more than one year, detention, and, in addition thereto or in lieu thereof, a fine of no more than NT$50,000.

Article 83
The goods manufactured, sold, displayed, exported or imported by, or the articles or documents in connection with provision of services by, a person committing any of the offenses as specified in the preceding two articles, shall be confiscated, regardless of whether such goods, articles or documents belong to the offender.

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