Infringement, Penalties, and Remedies under the Geographical Indications of Goods (Registration and Protection) Act, 2000
⚖️ Infringement, Penalties, and Remedies under the Geographical Indications of Goods (Registration and Protection) Act, 2000
๐น 1. Meaning of Infringement
Under Section 22 of the GI Act, 2000, “infringement” occurs when any person uses a registered Geographical Indication (GI) on goods that do not originate from that region, thereby misleading the public about the true origin of the goods.
๐ก Example:
If someone labels their tea as “Darjeeling Tea” when it is actually grown in Assam, this is infringement — because it misleads buyers into believing that the tea comes from Darjeeling.
๐น 2. What Constitutes Infringement (Section 22)
A person is said to infringe a GI when they:
- Use the GI on goods not originating from the registered region, misleading the public as to the true origin.
- Use the GI in such a manner that constitutes unfair competition (e.g., passing off).
- Use another GI that misleads consumers as to the origin of the product.
- Use a false GI, even if the true origin is mentioned or terms like “style,” “type,” or “kind” are added (for example, “Scotch-type Whisky”).
- Produce, manufacture, or sell goods with false GI labeling.
๐น 3. Who Can File a Complaint of Infringement
Under Section 21, the following persons can take action:
- The registered proprietor of the GI, or
- An authorized user of the GI (i.e., someone legally registered to use it).
Both have exclusive rights to:
- Use the GI in relation to the registered goods, and
- Obtain relief in case of infringement.
๐น 4. Duration of Protection and Renewal
- As per Section 18, registration of a GI is valid for 10 years.
- It can be renewed every 10 years indefinitely by paying the prescribed renewal fees.
- If not renewed, the GI is removed from the register, but it can be restored within one year.
๐น 5. Penalties for Infringement (Chapter VIII – Sections 37 to 39)
The Act imposes criminal penalties to discourage misuse or false representation of GIs.
| Offence | Relevant Section | Punishment |
|---|---|---|
| Applying false GI to goods | Section 39 | Imprisonment not less than 6 months, extendable up to 3 years, and fine ₹50,000–₹2,00,000 |
| Selling goods with false GI | Section 39(2) | Same as above |
| Falsely representing a GI as registered | Section 40 | Imprisonment up to 3 years or fine up to ₹2,00,000, or both |
| Tampering with origin indications | Section 41 | Imprisonment up to 3 years or fine up to ₹2,00,000 |
| Abetting or attempting any of these offences | Section 42 | Same punishment as for the main offence |
Note: These offences are cognizable and non-bailable, meaning police can arrest without warrant.
๐น 6. Civil Remedies (Section 67)
A person whose GI rights are infringed can approach a District Court for the following remedies:
- Injunction – To stop the defendant from using the false GI immediately.
- Damages – Compensation for loss suffered due to false use.
- Delivery-up of infringing goods – Court can order seizure and destruction of false-labeled goods.
๐น 7. Types of Remedies
a) Civil Remedies
- Permanent or temporary injunctions
- Damages or account of profits
- Seizure or destruction of infringing goods
b) Criminal Remedies
- Imprisonment and fine
- Confiscation of goods and machinery used in producing false GIs
c) Administrative Remedies
- Registrar of GIs can remove or cancel a misleading GI from the register (Section 27).
⚖️ Important Case Laws Related to Infringement & Remedies
1️⃣ Tea Board of India v. ITC Ltd. (2011)
Court: Calcutta High Court
Facts:
- Tea Board owned the registered GI “Darjeeling” for tea.
- ITC used the name “Darjeeling Lounge” for its restaurant in Kolkata.
- Tea Board claimed this use violated its GI rights.
Judgment:
- The Court held that “Darjeeling” used for a restaurant does not mislead consumers about the origin of goods (tea).
- Therefore, it was not infringement under Section 22.
Principle:
GI protection applies only to goods, not to services or establishments using the same name.
Significance:
This case clarified that GI protection is product-specific, not general name protection.
2️⃣ Scotch Whisky Association v. Golden Bottling Ltd. (2006)
Court: Delhi High Court
Facts:
- The defendant sold Indian whisky under the name “Red Scot,” confusing consumers with “Scotch Whisky.”
Judgment:
- The court held that the use of “Scot” misled buyers into believing it was Scotch Whisky.
- It constituted infringement under Section 22.
- The court granted injunction and damages to the Scotch Whisky Association.
Principle:
Misleading names or packaging that deceive consumers about origin amount to GI infringement.
Significance:
Protected the authentic reputation of international GIs in India.
3️⃣ Feni Case (Goa Feni Distillers Association, 2016)
Facts:
- After “Feni” got GI registration, some local companies started selling cheap duplicates without authorization.
Judgment:
- The GI Registry and local courts enforced penalties and injunctions under Sections 22 and 39.
- The offenders were fined, and fake products were seized.
Principle:
Enforcement under the GI Act helps preserve traditional, authentic quality of region-specific goods.
4️⃣ Tirupati Laddu Case (2014)
Facts:
- After GI registration, counterfeit “Tirupati Laddus” were sold in markets.
- TTD filed complaints for infringement and misrepresentation.
Judgment:
- Authorities took criminal action under Sections 39–41.
- Sellers were penalized for misleading the public and tarnishing the GI’s sanctity.
Principle:
Unauthorized use of religious or cultural GI goods attracts criminal penalties.
5️⃣ Basmati Rice Case (APEDA v. Indo European Breweries, 2018)
Facts:
- Fake “Basmati Rice” imported from other countries was being sold in India under Indian GI names.
- APEDA sued for infringement.
Judgment:
- Court granted injunction and directed authorities to confiscate all fake rice.
Principle:
Only products grown and processed in the registered GI regions can use that GI name.
๐งพ Summary Table (For Quick Revision)
| Aspect | Section | Description | Example Case |
|---|---|---|---|
| Meaning of Infringement | 22 | Misleading use of GI on non-originating goods | Scotch Whisky Assn. v. Golden Bottling |
| Who can sue | 21 | Registered proprietor/authorized user | Tea Board of India v. ITC |
| Duration of Protection | 18 | 10 years, renewable | Tirupati Laddu Case |
| Penalties | 39–42 | Jail 6 months–3 years; fine ₹50,000–₹2,00,000 | Feni Case |
| Remedies | 67 | Injunction, damages, delivery-up | Basmati Rice Case |
๐ง Conclusion
The Geographical Indications Act, 2000 not only helps register and protect India’s regional goods but also ensures strong enforcement through:
- Civil remedies for immediate relief,
- Criminal penalties to deter misuse, and
- Judicial precedents that protect India’s cultural and economic identity.
Through these provisions and landmark cases, India has built a system where authenticity, tradition, and fairness are legally protected against imitation or false trade practices.
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