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The fine for copyright infringement might be increased.

The deputies adopted the bill aimed at further strengthening the protection of intellectual property on its first reading.

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The Legislative Chamber of the Oliy Majlis reviewed conceptually and accepted at the meeting on February 18 a bill aimed at further strengthening the protection of intellectual property in the first reading, was accepted.

This bill proposes relevant amendments and supplements to increase liability for the violation of copyright and related rights, as well as rights to objects of industrial property in the Criminal, Criminal-Procedural, Administrative Liability and Civil Codes.

Specifically, the bill proposes:

  • increasing the amount of administrative fines for infringement of copyright and related rights;
  • introducing administrative liability for infringement of plant variety rights;
  • including confiscation of goods used in the commission of patent-related violations (invention, utility model, industrial design, and plant variety) as an additional administrative penalty;
  • granting justice bodies the authorities to inspect and register counterfeit goods;
  • strengthening criminal liability measures for violating the personal non-property rights of the author, with the scope of intellectual property objects subject to such liability being expanded;
  • establishing criminal liability for violating the property rights of intellectual property owners (trademarks, inventions, software, industrial designs, etc.);
  • providing for the confiscation and destruction of counterfeit products manufactured under a trademark, at the expense of the violator.

According to analyses, the last five years have seen an increase in the use of intellectual property in business activities and dishonest business practices by some business representatives, leading to a sharp increase in violations in this area. Specifically, in 2023, courts reviewed more than 249 administrative cases related to the protection of intellectual property objects, with relevant decisions being made.

As noted by deputies, the adoption of the bill will help to foster a respect for intellectual property rights in society and protect the material interests of intellectual property owners, put a stop to the circulation of counterfeit products, and further increase the responsibility of both the public and, particularly, business entities for legal use of intellectual property objects through strengthening liability measures in the field of intellectual property.

Unauthorized use of another's trademark, service mark, geographic indication, place of origin of goods, or signs that are deceptively similar to them with respect to such types of goods (services), or unauthorized use of another's company name — leads to confiscation of the items violating the law and imposition of fines ranging from 15 to 30 times the minimum monthly wage.

If similar violations are committed within one year after an administrative penalty was imposed — confiscation of the items violating the law and a fine of 30 to 50 times the minimum monthly wage (from 11 million 250 thousand to 18 million 750 thousand sums) will be imposed.

Unauthorized production, application, import, offer for sale, sale, bringing into civil circulation in any other way, or storage for these purposes of a product or item that includes a patented invention, utility model, or industrial design, as well as application of a method protected by an invention patent or bringing into civil circulation of a product made using a directly patented method — leads to imposition of fines on citizens from 5 to 10 times the minimum monthly wage (from 1 million 875 thousand sums to 3 million 750 thousand sums), and on officials — from 10 to 20 times (from 3 million 750 thousand sums to 7.5 million sums) the minimum monthly wage.

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