Offences in respect of trade descriptions

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Offences in respect of trade descriptions

Offences in respect of trade descriptions are set out in Section 7 of the Trade Descriptions Ordinance (Chapter 362). These offences essentially cover the following criminal activities:

applying a false trade description to goods;
supplying or offering to supply goods to which a false trade description is applied;
possessing for the purpose of trade or manufacture goods to which a false trade description is applied;
disposing of or possessing a machine or instrument for the purpose of making or applying to goods a false trade description.

All these offences involve the use of a “false trade description”, which broadly means a trade description that is false or misleading to a material degree (see Section 2 of the Trade Descriptions Ordinance). "Trade description" means a direct or indirect indication of the characteristics of the goods such as their dimension, method of manufacture, composition, fitness for purpose, test results, approval by any person, place or date of manufacture, manufacturer, warranty etc. Section 9 of the Trade Descriptions Ordinance defines offences in respect of trade marks. These offences include, among other things, the following criminal activities:

forging any trade mark (Section 9(1)(a));
applying to goods a deceptive mark which is so nearly resembling a trade mark as to be calculated to deceive (Section 9(1)(b));
making a machine or instrument for the purpose of forging a trade mark (Section 9(1)(c));
disposing of or possessing a machine or instrument for the purpose of forging a trade mark (Section 9(1)(d));
selling, or exposing or possessing for the purpose of trade or manufacture, goods to which a forged trade mark or deceptive mark is applied.

By virtue of these provisions, any commercial dealing with goods using a false trade description, forged trade mark or deceptive mark is a crime in Hong Kong. The maximum penalty for an offence under Section 7 or 9 is a fine of $500,000 and imprisonment for 5 years on conviction on indictment, and a fine of $100,000 and imprisonment for 2 years on summary conviction.

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Cybercrime

Offences in respect of trade descriptions

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