Vietnam: Guidance on determining illicit profit amounts earned through the commission of administrative violations in the field of industrial property

According to Circular No. 11/2015/TT-BKHCN of the Ministry of Science and Technology of Vietnam, illicit profit amounts earned through the commission of administrative violations are benefits earned through committing such administrative violations, including:

- Money;

- Valuable papers;

- Other assets.

Determination of illicit monetary profit amounts:

1. The monetary amount earned by an infringer through committing an administrative violation in the field of industrial property is (=) the quantity of goods or volume of services illegally transferred, sold, dispersed or destroyed multiplied by (x) the unit price.

In which:

- The quantity of goods or volume of services provided shall be determined on the basis of declaration by the infringer and inspection and verification by the competent person.

- The unit price shall be determined on the basis of dossiers and documents of the infringer or the market price of similar goods or services.

2. In case the quantity, volume and unit price cannot be determined, the illicit profit amount is the total money amounts earned by the infringer from the infringement.

- In case of illegal transfer, sale, dispersal or destruction of banned, smuggled or counterfeit goods or provision of services subject to conditional business, the money amount earned by the infringer is (=) the quantity of goods or volume of services illegally transferred, sold, dispersed or destroyed multiplied by (x) the unit price.

- In addition to goods and services specified at Point b Clause 2 Article 6 of Circular No. 11/2015/TT-BKHCN, in case of illegal transfer, sale, dispersal or destruction of other goods or services, the money amount earned by the infringer is (=) the quantity of goods or volume of services illegally transferred, sold, dispersed or destroyed multiplied by (x) the unit price minus (-) direct costs of such goods or services (if the infringer has sufficient dossiers and documents to prove the legality and validity of such costs).

3. In case there are no grounds for determination of illicit monetary profit amounts under Clause 2 Article 6 of Circular No. 11/2015/TT-BKHCN, illicit profit amounts shall be determined to be valuable papers or other assets.

View full text at Circular No. 11/2015/TT-BKHCN of the Ministry of Science and Technology of Vietnam, effective from August 11, 2015.

Thu Ba

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