Agency seeks power to take down online posts selling counterfeit goods

The Intellectual Property Office of the Philippines (IPOPHL) might eventually be able to take down online posts that sell or advertise counterfeit goods as the agency proposed to amend its rules and give it teeth against violations done in the internet.

The IPOPHL said in a statement that it had proposed to revise the rules and regulations in the exercise of its enforcement functions and visitorial power. The agency is still gathering comments from stakeholders.

As they are now, the rules do not explicitly cover intellectual property rights-infringing activities that are conducted online. According to the IPOPHL, these rules had neither been amended nor even revisited since its approval and implementation in 2013.

The latest proposed amendments were pushed by IPOPHL’s Enforcement Office (IEO) in an effort to give teeth when it comes to e-commerce.

Under the proposed new definition of IEO’s enforcement power, it would be able to enforce its mandate against the sale, streaming and distribution of counterfeit and pirated goods online, among other activities.

IEO Director Ann Edillon said this would allow the IEO to take down posts that sell counterfeit or pirated products through a warning notice and compliance order directed to the platform. To do this, an administrative complaint needs to be filed by the affected IP rights holder first.

When asked for further clarification, the IPOPHL said that the proposed rules did not discuss any liability that an online platform like Shopee and Lazada, for example, might have in case a merchant is caught selling counterfeit goods.

“The way to go about it would depend on facts before the IEO. We may order the immediate blocking of a seller but we will not necessarily do that all the time. However, we will definitely always call the platform to immediately exercise its IP policy aside from possibly directing it to remove an infringing post,” Edillon said.

“Where there is violation of, or resistance to, an IEO order issued in relation to an administrative complaint, IEO can file a case before the pertinent local government unit or the DTI (Department of Trade and Industry) for the cancellation of the violating seller’s business permit. “ she added.

Moreover, the proposed amendments also expanded the definition of an enforcement order to include the “permanent take down, blocking and removal of the infringing online sites or accounts.”

IEO would also be able to issue a cease-and-desist directive and an order to remove the counterfeit and pirated good either from the online or physical establishment.

If approved, the IPOPHL would able to issue orders that the National Telecommunications Commission would have to follow. At present, the NTC usually has to wait for an order to be issued by the court. INQ