Powered by Rouse

Powered by Rouse, the emerging markets IP firm. www.rouse.com

Wednesday, August 1, 2012

Customs IP border protection in Indonesia

The Supreme Court Regulation on Provisional Measures was issued on 30 July 2012. This sets out, after many years waiting the rules on court orders confirming Customs suspensions at borders. The IP provisions of the 1995 Customs law to implement TRIPS were never implemented. The law was amended in 2006 and again not implemented for IP border protection. No recordal system exists and no ex parte seizures can be made.

Applications to detain imports must now be filed at the Commercial District Courts. Procedures for swift hearings and decisions are provided and seem relatively clear. The court can set hearings very quickly and order temporary detention for 10 days to hear the matter more fully. So far so good.

However in order to preserve the temporary detention the IP holder must file a full civil action for infringement. Given legal costs are unrecoverable in Indonesia that will in most cases outweigh the value of the seizure.

Costs relating to the seizure must be borne by the applicant, in cash or bank guarantee. If an order is granted a security deposit equal to the value of goods must be paid.  That will put most IP holders off, if the costs of civil court proceedings don't. 

Then the rules state that detailed clear information on the import consignment must be provided, which of course is impossible in most import cases, by definition. 

These rules go against almost every recommendation made by the World Customs Organisation to simplify IP border protection.  IP Komodo can hardly imagine a set of regulations that would make IP border seizures harder!

No comments:

Post a Comment