Frequently asked questions of trademark attorneys is the difference between "counterfeit goods" and "knock-offs"?
The term counterfeiting is strictly defined by federal law. The term knockoff duplicates or imitates other products, but it is used verbally to represent products that are illegal under the Trademark Act or that are not illegal.
The main difference is whether the product contains the same brand name or logo as the registered trademark.
In the United States, Federal Law Lanham Act is an important law that sets the trademark law. Sections 32 and 43 of the Lanham Act allow the trademark owner to make civil lawsuits. In addition, those who intentionally sell counterfeit goods are subject to criminal prosecution.
A counterfeiter is a person who intentionally copies a Federal registered trademark to the same (or nearly the same) person and gives a fake logo or name to a non-genuine item. These products are clearly intended to confuse consumers at the point of sale and are considered illegal because they are cheating of the public. Even if someone does not make a product, you can become a counterfeiter, but I will sell it to others.
"Knockoff" is a leader category that can include products that have a look that is generally similar to well-known products but does not contain the same logo or federal trademark. Those who sell such items may still be sued by trademark owners, even if they do not contain counterfeit logos or brand names, they may still lead to confusion among consumers. However, these types of "knock-offs" can not be criminal prosecuted.
A trademark owner can file a civil action against both types of targets: (a) those who manufacture and sell counterfeit goods, (b) those who produce and sell knock-offs.
The Lanham Act offers a variety of remedies to the trademark owner, depending on the de facto situation and related products. These remedies include serious fines, injunctive orders, destruction of counterfeit goods, imposition of litigation charges, and in exceptional cases infringers are required to pay the trademark owner's attorneys fee. Fees and survey costs.
Can you still make a lawsuit or cause a criminal proceeding even if you call a counterfeit item "a reproduction item"? The answer is absolutely yes.
The product itself is still considered a fraud, regardless of the specific way it is sold and sold. This is intended to confuse consumers around the point of sale. Calling thousands of false clocks sold online is not as harmful to the brand owner who brand has become diluted and dirty as a result of the flooding of counterfeit goods on the market.
Furthermore, there is no guarantee that counterfeit watches will not be given as gifts or will not be re-sold later to suspect consumers. Therefore, even if you call a counterfeit product simply as a "copy," it is not legal to sell it.
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