Patent Office Punishes Luxury Brand Imitation Leather Workshops for Violating Substandard Product Safety Act

[Asia Economy (Daejeon) Reporter Jeong Il-woong] Leather workshops producing imitation products are increasing by riding the popularity of luxury brand products mainly sought after by the younger generation.

However, in such cases, there is a high possibility of violating the Act on the Prevention of Unfair Competition and Protection of Trade Secrets (hereinafter referred to as the Unfair Competition Prevention Act), and there is also a risk of infringing trademark law and design protection law, so caution is required.

According to the Korean Intellectual Property Office (KIPO) on the 22nd, recently, some workshops have been recruiting students by showcasing bags that imitate luxury brand designs, operating courses where imitation bags are made directly, or selling semi-assembled kits to generate profits.

Rather than engaging in original creative activities themselves, these workshops profit by imitating luxury brands. Moreover, the younger generation's preference for luxury brands creates a mutual interest, fostering a lively atmosphere of certain transactions between workshops and the younger generation.

However, such acts violate the Unfair Competition Prevention Act and others, and while they may receive correction recommendations lightly, depending on the severity, they may be prosecuted and subject to criminal penalties such as imprisonment for up to three years or fines up to 30 million won, KIPO warns.

Recently, many reports of imitation of product forms and idea theft by leather workshops have been received at the KIPO Unfair Competition Reporting Center. In fact, the number of reports received by the center last month was 2.6 times higher compared to the same period last year, according to KIPO.

Choi Dae-soon, head of the Industrial Property Investigation Division at KIPO, said, “Recently, acts of imitating product forms riding on the spread of COVID-19 and increased preference for luxury brands have surged. However, such acts are merely free-riding on the fame of existing products, and KIPO plans to respond strictly and actively to this.”