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Specification of Applicable Subjects
Circular 06/2024 refines and specifies the applicable subjects of Circular 11/2015. Previously, Circular 11/2015 broadly defined the applicable groups as: (a) Organizations and individuals committing administrative violations in the field of industrial property; (b) Organizations and individuals authorized to impose sanctions for administrative violations in the field of industrial property; and (c) Other entities involved in handling administrative violations in the field of industrial property.
Circular 06/2024 now specifies the subjects as follows:
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Violators: Entities specified in Article 1a of Decree 99/2013/NĐ-CP who commit administrative violations in the field of industrial property.
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Authorized Persons: Those authorized to impose administrative penalties and record administrative violations in the field of industrial property as per Article 15 to Article 21a of Decree 99/2013/NĐ-CP.
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Other Relevant Entities: Other organizations and individuals involved in the administrative penalty process for violations in the field of industrial property.
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Amendments to guidance on Supplementary penalties
Circular 06/2024/TT-BKHCN revises the guidance on applying additional sanctions as follows:
“When applying the supplementary penalty stipulated in Point c, Clause 2, Article 3 of Decree No. 99/2013/ND-CP , the authorized administrative sanctioning officer shall apply the measure of suspending part or all of the production, business, or service activities of the violating organization or individual. This suspension applies specifically to production, business, or service activities directly related to the administrative violation being sanctioned. A full suspension of production, business, or service activities for the violating organization or individual shall be applied when the entirety of these activities is directly related to the administrative violation being sanctioned.”
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Amendments to the application of preventive measures and assurance of enforcement of administrative penalties
Circular 06/2024 supplements detailed regulations on implementing measures to prevent and ensure the handling of administrative violations, particularly the temporary seizure of domain names in cases involving unfair competition. The domain name seizure measure applies when the authority receives valid documents from entities requesting action against unfair competition related to domain name possession or usage, including:
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A request to apply the preventive measure of “temporary seizure of domain names” (as a standalone document or included in the request to address unfair competition related to domain name usage);
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Authorization documents as per Article 23 of Decree 99/2013/NĐ-CP (if applicable);
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Evidence and supporting documents proving unfair competition related to domain name possession or usage, as stipulated in Point c, Clause 2, Article 19 of this Circular.
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Amendments to Violations in the Field of Industrial Property on the Internet
Circular 06/2024 introduces detailed regulations concerning violations in the field of industrial property conducted on the Internet, clarifying the scope and responsibilities of the involved parties.
Violations subject to penalties must meet the criteria outlined in Clause 4, Article 72 of Decree 65/2023/NĐ-CP, which include breaches of industrial property rights, plant variety rights, or other intellectual property rights through Internet platforms. Such violations are sanctioned under Decree 99/2013.
Notably, liability is not limited to individuals or organizations directly committing the violations. It extends to domain name holders who allow others to use the domain name and know or have grounds to know that it is being used to commit violations. This regulation reinforces the accountability of domain name managers and users, enhancing control over violations in the digital environment.
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Amendments to Regulations on Importing Goods Infringing Industrial Property Rights
Circular 06/2024 clarifies regulations concerning the import of goods infringing industrial property rights to ensure transparency in penalties and exceptions.
Organizations or individuals importing goods that infringe industrial property rights will be sanctioned under Decree 99/2013. However, exceptions are provided for parallel imports, which involve products introduced to the market domestically or internationally by the rights holder or an entity authorized to use the rights (including mandatory licensing or prior-use rights).
In cases of parallel imports, even without the rights holder’s consent at the time of importation, such activities are not considered violations of industrial property rights and are not subject to penalties.
