15 JUN 2016

What is to be expected in Customs: strengthening of IP protection provided by new Draft Law On amendments to the Customs Code of Ukraine

In order to approach the customs legislation of Ukraine to the Association Agreement between Ukraine and the EU and to implement the basic EU regulations in the field of customs control, as to observance of Intellectual Property rights into national legislation of Ukraine, the Draft Law 'On amendments to the Customs Code of Ukraine' was submitted for consideration to the Parliament of Ukraine.

The Draft Law proposes the following amendments:

  • to expand the list of Intellectual Property which will be protected on the customs border of Ukraine while crossing the goods across it. Thus, the Customs Code of Ukraine in the current version provides legal protection as to copyright and related rights, patents, utility models, industrial designs, trademarks, geographical indications (indications of origin) and plant varieties. By the said bill involving in a specified list of trade names and integral circuit layout-design is proposed;

  • providing of new definitions for the terms 'goods that infringe Intellectual Property rights', 'counterfeit goods', 'pirate goods'. In the current version of the Customs Code of Ukraine only such term as 'counterfeit goods' is determined. Instead, the Draft gives a general definition of 'goods that infringe Intellectual Property rights', which involves counterfeit goods, pirated goods and other goods that infringe Intellectual Property rights. By the Draft, the definition of all the aforesaid terms and detailed definition of the term 'counterfeit goods' are more completely provided (compared to the current definition);

  • under the Draft not only the right holder is entitled to apply for the protection of the Intellectual Property rights when goods are crossing across the Customs border (as provided by the current Customs Code), however also the authorized representative of the rights holder;

  • to expand the list of customs regimes in which the goods are applied the measures of Intellectual Property rights protection. Such list involves the following regimes: customs regime of import, re-import, export, re-export, temporary import, temporary export, customs warehouse, free customs zone, inward processing procedure, processing outside the customs territory;

  • do not apply measures of protection of Intellectual Property rights to the so-called 'parallel imports' and to goods crossing the Customs border of Ukraine in customs transit regime;

  • to strengthen measures to prevent crossing of counterfeit goods in international mail or international express shipments, in particular by introducing a special procedure for the destruction of small consignments of goods for which it is suspected of infringing Intellectual Property rights.

  • The Draft was submitted for deputies' familiarization.