The act of trademark infringement, which is punishable under the Trademark Act, covers the unauthorised use of trademarks and the sale, display for sale, export or import of goods bearing unauthorised trademarks. The act of 'sale' referred to, as has hitherto been understood by the public, usually means the sale of goods and does not cover their purchase.

However, in a 2011 criminal case, after referring to a Supreme Court judgment dating from 1978, the Taipei District Court ruled that the 'act of sale' did not have to include both the purchase of goods and their resale. It held that where a party purchases or sells counterfeit trademark goods for profit-making purposes, this can be deemed to be an act of sale which is subject to punishment under the act. Thus, the purchase of counterfeit trademark goods for profit-making purposes violates the act even when those goods are not subsequently resold.

For further information on this topic please contact Ruey-Sen Tsai at Lee and Li Attorneys at Law by telephone (+886 2 715 3300), fax (+886 2 2718 7099) or email ([email protected]).