Legal regulations on counterfeit goods trading (use value, function)

Ms. NHHai Bang (living in Chau Doc City) asked: I bought a sunscreen product at a cosmetics store owned by Mr. Vu. Later, I learned that the sunscreen product had an SPF of 50 on the label, but the actual test results showed that it only had SPF 2.4 (the actual sunscreen effect was only about 4.8% of the information on the packaging).

I met Mr. Vu to complain about selling me fake products, but Mr. Vu said that this is not a fake product because this product still has sun protection properties, it's just not as effective as the index shown on the packaging.

So, in this situation, I want to know what the law stipulates about Mr. Vu's act of trading in counterfeit goods?

Department of Legal Dissemination andEducation (Department of Justice) replied:

According to Point b, Clause 7, Article 3 of Decree 98/2020/ND-CP, dated August 26, 2020 of the Government stipulating administrative sanctions for violations in commercial activities, production, trading of counterfeit goods, prohibited goods and protection of consumer rights, counterfeit goods are regulated, including:

“…b) Goods have at least one of the quality indicators or basic technical characteristics or the main quantitative substance that creates the use value or utility of the goods only reaching 70% or less compared to the minimum level prescribed in the technical regulations or quality standards registered, announced for application or printed on the label or packaging of the goods…”.

So, in this situation, the sunscreen product sold by Mr. Vu has a real sun protection effect of only about 4.8% compared to the minimum level stated on the label and packaging of the product. Therefore, this product is considered counterfeit according to the above regulations and Mr. Vu's behavior is the act of trading in counterfeit goods in terms of use value and function.

In the above situation, depending on the nature and level of the act of trading in counterfeit goods in terms of use value and function, individuals may be subject to an administrative fine of up to VND 70,000,000 (Article 9, Decree 98/2020/ND-CP). In particular, for cosmetics, the fine will be twice the prescribed fines, so the administrative fine for the act can be up to VND 140,000,000. At the same time, depending on each specific case, additional penalties and remedial measures may also be applied according to regulations.

In addition, the 2015 Penal Code (amended and supplemented in 2017) stipulates in Article 192 that the act of producing and trading in counterfeit goods can be fined up to VND 9,000,000,000 and imprisoned for up to 15 years. Individuals can also be banned from holding positions, practicing a profession or doing certain jobs from 1 to 5 years or have part or all of their assets confiscated.

HOA AN

Source: https://baoangiang.com.vn/quy-dinh-phap-luat-ve-hanh-vi-buon-ban-hang-gia-gia-tri-su-dung-cong-dung--a422383.html