CS (OS) No. 2982/2011 in the matter of L.G. Electronics India Pvt. Ltd. (petitioner) vs. Bharat Bhogilal Patel, Commissioner of Customs, Mumbai / Delhi before the Hon’ble High Court of Delhi – Regarding.
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Customs authority power to block imports for patent infringement affirmed; enforcement via IPR Rules and notification permitted. The core issue is whether Customs may restrict import clearance for alleged patent infringement absent a prior judicial determination. While the High Court observed that Customs should exercise caution and not restrict consignments on the sole basis of a patent or complaint, the statutory scheme under Section 11 of the Customs Act and Notification No. 51/2010-Cus(NT), read with the IPR Rules, empowers Customs to prohibit infringing imports and to act ex officio. The Board instructs field formations to treat patent infringement as actionable under the statute, use expert and registration authority assistance for determination, and defend the departmental position as necessary.
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Customs authority power to block imports for patent infringement affirmed; enforcement via IPR Rules and notification permitted.
The core issue is whether Customs may restrict import clearance for alleged patent infringement absent a prior judicial determination. While the High Court observed that Customs should exercise caution and not restrict consignments on the sole basis of a patent or complaint, the statutory scheme under Section 11 of the Customs Act and Notification No. 51/2010-Cus(NT), read with the IPR Rules, empowers Customs to prohibit infringing imports and to act ex officio. The Board instructs field formations to treat patent infringement as actionable under the statute, use expert and registration authority assistance for determination, and defend the departmental position as necessary.
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