Have you ever eagerly awaited the arrival of a product, only to discover that it is a fake? Imagine receiving a vPhone even though you purchased an iPhone!
While platforms like Zalora and Shopee may have return policies and specific measures to handle counterfeit products, some resellers do not have such a policies or measures. What then is your legal remedy? Let’s look at three separate legislations.
Under the Consumer Protection Act 1999 (“CPA 1999”), resellers selling counterfeit products will face serious legal consequences for misleading the consumers. CPA 1999 is the cornerstone of consumer rights in Malaysia, providing various protections against unfair practices like the sale of counterfeit products.
CPA 1999 prohibits sellers from engaging in false or misleading representations regarding quality, grade and model of the products they sell.[1] This means that if a reseller claims their product is authentic but is actually fake, they are in violation of the law. Companies caught selling fakes can be fined up to RM250,000 while individual sellers face fines up to RM100,000 or a prison term of up to 3 years, or both.[2]
The above position is in line with the Sale of Goods Act 1957 (“SGA 1957”), which ensures that goods sold must meet certain requirements, including being a satisfactory quality and fit for their intended purpose.[3] When you purchase a product, there is an implied condition that the product matches its description. So, if the reseller claims that the product is authentic, the product must meet that description is authentic.[4] If a product does not meet these standards, the buyer has the right to reject the goods and demand a refund or replacement.[5]
Selling counterfeit products is not just unfair, it is also a serious criminal offence under the Trade Marks Act 2019. The penalties can be fines of up to RM10,000 per item and imprisonment for individuals, and up to RM15,000 per item for companies.[6]
If you find yourself in possession of a counterfeit product, you can first request for refund or replacement from the reseller. If the reseller is uncooperative, lodge a complaint with the Ministry of Domestic Trade and Cost of Living, which will investigate the matter.
Dealing with counterfeit products can be a headache, but knowing your rights and the laws in place can make the process less daunting. Malaysian laws like the Consumer Protection Act 1999, the Sale of Goods Act 1957 and the Trademarks Act 2019 provide robust protections against counterfeit products. Protect yourself from unscrupulous sellers and ensure that your consumer rights are upheld!
[1] Section 10, CPA 1999.
[2] Section 25(1), CPA 1999.
[3] Section 16(1), SGA 1957.
[4] Section 15, SGA 1957.
[5] Section 59, SGA 1957.
[6] Section 102(1), SGA 1957.
About the Author
Lee Jia Vin is a Legal Associate at XK Law, bringing a wealth of experience across a diverse spectrum of legal matters. Her expertise spans corporate disputes, industrial relations litigation, adjudication claims, and criminal cases. Jia Vin is committed to maintaining a balanced lifestyle, engaging in activities such as yoga, hiking, swimming, and playing ultimate frisbee to support her well-being.
