2C:21-32 Short title; definitions relative to counterfeit marks; offenses.
1. a. This act shall be known and may be cited as the "New Jersey Trademark Counterfeiting Act."
b.As used in this act:
(1)"Counterfeit mark" means a spurious mark that is identical with or substantially indistinguishable from a genuine mark that is registered on the principal register in the United States Patent and Trademark Office or registered in the New Jersey Secretary of State's office or a spurious mark that is identical with or substantially indistinguishable from the words, names, symbols, emblems, signs, insignias or any combination thereof, of the United States Olympic Committee or the International Olympic Committee; and that is used or is intended to be used on, or in conjunction with, goods or services for which the genuine mark is registered and in use.
(2)"Retail value" means the counterfeiter's regular selling price for the item or service bearing or identified by the counterfeit mark. In the case of items bearing a counterfeit mark which are components of a finished product, the retail value shall be the counterfeiter's regular selling price of the finished product on or in which the component would be utilized.
c.A person commits the offense of counterfeiting who, with the intent to deceive or defraud some other person, knowingly manufactures, uses, displays, advertises, distributes, offers for sale, sells, or possesses with intent to sell or distribute within, or in conjunction with commercial activities within New Jersey, any item, or services, bearing, or identified by, a counterfeit mark.
A person who has in his possession or under his control more than 25 items bearing a counterfeit mark shall be presumed to have violated this section.
d. (1) An offense set forth in this act shall be punishable as a crime of the fourth degree if:
the offense involves fewer than 100 items bearing a counterfeit mark;
the offense involves a total retail value of less than $1,000.00 for all items bearing, or services identified by, a counterfeit mark; or
the offense involves a first conviction under this act.
(2)An offense set forth in this act shall be punishable as a crime of the third degree if:
the offense involves 100 or more but fewer than 1,000 items bearing a counterfeit mark;
the offense involves a total retail value of $1,000.00 or more but less than $15,000.00 of all items bearing, or services identified by, a counterfeit mark; or
the offense involves a second conviction under this act.
(3)An offense set forth in this act shall be punishable as a crime of the second degree if:
the offense involves 1,000 or more items bearing a counterfeit mark;
the offense involves a total retail value of $15,000.00 or more of all items bearing, or services identified by a counterfeit mark; or
the offense involves a third or subsequent conviction under this act.
In addition, any person convicted under this act, notwithstanding the provisions of N.J.S.2C:43-3, shall be fined by the court an amount up to threefold the retail value of the items or services involved, providing that the fine imposed shall not exceed the following amounts: for a crime of the fourth degree, $100,000.00; for a crime of the third degree, $250,000.00; and for a crime of the second degree, $500,000.00.
e.All items bearing a counterfeit mark, and all personal property, including but not limited to, any items, objects, tools, machines, equipment, instrumentalities or vehicles of any kind, employed or used in connection with a violation of this act, shall be subject to forfeiture in accordance with the procedures set forth in chapter 64 of Title 2C of the New Jersey Statutes.
f.For purposes of this act:
(1)the quantity or retail value of items or services shall include the aggregate quantity or retail value of all items bearing, or services identified by, every counterfeit mark the defendant manufactures, uses, displays, advertises, distributes, offers for sale, sells or possesses;
(2)any State or federal certificate of registration of any intellectual property shall be prima facie evidence of the facts stated therein.
g.Conviction for an offense under this act does not preclude the defendant's liability for the civil remedy available pursuant to section 2 of P.L.1987, c.454 (C.56:3-13.16).
L.1997,c.57,s.1; amended 1999, c.313.
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Last modified: October 11, 2016