ISSN 1175-396X 12 CUSTOMS FACT SHEET » IMPORTANT INFORMATION INTELLECTUAL PROPERTY RIGHTS TRADE MARKS AND COPYRIGHT This fact sheet describes how trade mark and copyright owners can file border protection notices with Customs to help protect them against the importation of unauthorised copies of their intellectual property. WHAT IS INTELLECTUAL PROPERTY? The Intellectual Property Office of New Zealand (IPONZ) describes intellectual property (IP) as an umbrella term used for human innovations and creativity that are capable of being protected under national law and international treaties. Under IP law, owners are granted certain exclusive rights to a variety of assets, such as musical, literary, and artistic works; discoveries and inventions; and words, phrases, symbols, and designs. IS NEW ZEALAND PARTY TO ANY INTERNATIONAL AGREEMENTS RELATING TO THE ENFORCEMENT OF IP RIGHTS? New Zealand is party to the international agreement on Trade Related aspects of Intellectual Property Rights (TRIPS). The agreement requires participating parties to adopt minimum standards for the protection and enforcement of IP rights. New Zealand has enacted border enforcement measures against counterfeit trade mark goods and pirated copyright goods. These are contained within the Trade Marks Act 2002 and the Copyright Act 1994. The two Acts allow for trade mark and copyright owners to file notices with Customs requesting the detention of imported goods that appear to infringe their intellectual property. The two Acts also provide Customs with the power to investigate such importations and determine whether any detained goods appear to be goods to which a notice relates. HOW DOES A PERSON FILE NOTICES WITH CUSTOMS AND ARE THERE ANY OTHER REQUIREMENTS ASSOCIATED WITH THIS? Notices filed with Customs under the Trade Marks and Copyright Acts must be in writing. The formats of these notices are set out in the schedules of the Trade Marks Regulations 2003 and the Copyright (Border Protection) Regulations 1994. Template guides for completing a notice may be found on the Customs website www.customs.govt.nz by searching on ‘trade marks guide’ or ‘copyright guide’. When you file a notice with Customs under the Trade Marks Act 2002 it must be in respect of goods for which a trade mark is registered in New Zealand. The notice you file must be accompanied by a copy of the Case Details Report (CDR) relative to the trade mark number stated on the notice. Trade mark CDRs may be downloaded from the IPONZ website www.iponz.govt.nz/cms/ trade-marks/ using the ‘search for trade marks’ facility. Customs is unable to accept trade mark notices for classes 3545. These classes are service related, not goods related, and are intangible assets. When you file a notice with Customs under the Copyright Act 1994 for a copyright work you must supply with the notice the relevant means (images, drawings, description etc) with which Customs can readily identify your work at the border. Your copyright work must be in a tangible form otherwise Customs will have little or no chance of identifying it during border checks. Before Customs will accept a notice filed under the Trade Marks or Copyright Acts, you will be required to lodge a cash security of NZ$5,000 and complete a security instrument (downloaded from the Customs website www.customs.govt. nz by searching on ‘security instrument’). The security instrument indemnifies Customs against administrative and legal costs it may incur when enforcing a notice and provides the mechanism for allowing Customs to draw funds from the cash security. Cash securities held in trust by Customs remain on-call at all times and accrue interest at prevailing bank interest rates. When you choose to withdraw your notice(s), the cash security and any accrued interest will be returned to you. Issue date November 2013 CUSTOMS FACT SHEET 12 If you are using an agent to file your notices with Customs, or you represent an overseas based entity in New Zealand, you will be required to file an ‘authorisation of agent’ letter with Customs from the trade mark or copyright owner. The letter must state what functions and delegations the trade mark or copyright owner has empowered, or delegated to his/her New Zealand agent to carry out on his/ her behalf. WHAT HAPPENS ONCE A NOTICE HAS BEEN FILED WITH CUSTOMS? Notices accepted by Customs are published on the Customs website. These are listed under the names of the trade mark or copyright owners who have filed notices and allow prospective importers of branded goods the opportunity to view the range of IP assets that Customs is enforcing at the border. Customs is able to use its resources to target and identify commercial imports of potentially infringing goods for which it has received a notice. When Customs discovers potentially infringing goods at the border it will conduct an investigation to determine whether or not it considers that the goods appear to infringe the notice. If Customs considers this to be the case, it will detain the goods and serve a notice of determination on the importer (or claimant) of the goods and the rights holder who filed the notice with Customs. Importers who have had a notice of determination served on them have the option of voluntarily forfeiting the goods to the Crown in which case, Customs will arrange for the destruction of the goods. If an importer disputes a notice of determination, the rights holder will have 10 working days from the issue date of the notice of determination to either persuade the importer to forfeit the goods, or obtain an order from the High Court declaring the goods to be infringing goods. The 10 working day period may, on application, be extended to 20 working days if Customs considers it appropriate to do so in all the circumstances. If the rights holder chooses to take no action against an importer who disputes a notice of determination, Customs will release the detained goods to the importer. Customs recommends that a rights holder filing notices with Customs should consult with a lawyer specialising in intellectual property law before filing a notice. A rights holder should have a prepared action plan of the options available to them in the event of Customs detaining infringing goods. The rights holder should also have an appreciation of what action he/ she must take, within a 10 working day timeframe, if Court action is the only option available to prevent an importer exploiting his/her intellectual property rights. HOW LONG IS A NOTICE VALID FOR? Notices filed with Customs may be in force for a period up to five years from the date the notice is filed. If the trade mark, or copyright in a work, expires within the period of five years then the notice will be in force for the lesser period. DOES THE FILING OF A NOTICE PROTECT ME AGAINST PARALLEL IMPORTED GOODS? There is no law in New Zealand prohibiting parallel imports of genuine (not being counterfeit or pirated) goods. When you file a notice with Customs under the Trade Marks Act 2002, the notice is a request to Customs to detain any goods on, or in physical relation to, which an infringing sign is used that are in, or at any time come into, the control of Customs. In other words, the request to Customs from the trade mark owner is to detain any counterfeit goods only that come into the control of Customs, not genuine trade-marked goods. A similar situation applies with works protected by copyright. A notice will request Customs to detain any pirated works only (unlicensed copies of an original) that come into the control of Customs, not genuine or licenceproduced examples of the same. FOR FURTHER INFORMATION Visit the Customs website www.customs.govt.nz, or email IPRnotices@customs.govt.nz for assistance, or call Customs on 0800 428 786 (0800 4 CUSTOMS) or contact your nearest office of the New Zealand Customs Service. Office of the Comptroller of Customs, PO Box 2218, Wellington Phone: +64 4 901 4500 » Fax: +64 4 901 4555 » www.customs.govt.nz ISSN 1175-396X Intellectual Property Rights Trade Marks and Copyright Issue date November 2013 2