Draft Bill Increasing Penalties for Trademark Infringement
On November 4, 2010 Senator Adolfo Rodríguez Saá submitted a draft bill amending section 31 of the Argentine Trademark Law (Law No. 22,362) to increase the criminal sanctions for trademark infringement. Specifically, the draft bill increases the minimum and maximum prison terms from two to six months, and from two to six years respectively. The fines are also increased to a minimum of 5,000 Argentine pesos and a maximum of 500,000 Argentine pesos (approximately US$ 1,250 to US$ 125,000).
The grounds for the draft bill is to assimilate the prison term to the one established for copyright infringement, inasmuch as it deals with a factually identical crime and moreover the legal interest protected is similar in both cases. The proposed changes seek that the sanctions be effectively applied, since currently, with a maximum term of two years, offenders are released. The purpose is to set an example.
Additionally it is pointed out that the fines must be increased because, according to the Argentine Chamber of Commerce, approximately 9,549 million pesos (roughly US$ 2.3 billion) are evaded every year, thus causing huge damages to the industry as well as the loss of countless jobs.
This insight is a brief comment on legal news in Argentina; it does not purport to be an exhaustive analysis or to provide legal advice.