Trademark bill proposes fines up to MVR 2M for trademark infringements

A trademark bill proposing fines ranging between MVR 1 million and MVR 2 million for unauthorized use and commercial gain from another individual’s property has been submitted to Parliament.

The government-backed bill was submitted by ruling PNC’s Maduvvari MP Ahmed Zahir.

According to the bill, its objective is to establish a legal framework for trademark registration, thereby creating a supportive environment for producers and artists. It seeks to introduce the primary regulation governing trademark registration, define the rights of trademark owners, and outline the measures that can be taken in cases of trademark infringement.

A trademark is a type of intellectual property that includes a word, phrase, symbol, design, or a combination of these elements, used to identify the source of a product or service and differentiate it from those of others.

The bill specifies that trademarks must comply with the standards outlined in regulations established under the act. In this regard, the submission of a graphic representation of the trademark is mandatory. If the trademark owner intends to use a particular color as a distinctive feature of the trademark, a declaration to that effect has to be provided. Additionally, the application must include a translation of the trademark and a list of goods and services for which the trademark will be used.

The owner will obtain exclusive rights to the trademark only after it has been officially registered. According to the bill, a trademark registered in the Maldives will be valid for a period of 10 years, with the option to renew it for an additional 10 years upon the expiration of the initial term.

The sixth chapter of the bill outlines what can be considered as trademark infringement. They include:

• Counterfeiting a trademark
• Using a counterfeited trademark on a product or service
• Possessing items that can be used to counterfeit a trademark
• Attempting to import or export counterfeited goods
• Sale of counterfeited goods

Any such act will result in a fine between MVR 1 million and MVR 2 million.

The bill will empower courts to issue interim orders to stop an act amounting to trademark infringement or protect evidence in such a case.