What is Counterfeiting / Intellectual Property (IP) Theft?

 

Counterfeiting is a federal and state crime, involving the manufacturing or distribution of goods under someone else’s name, and without their permission.  Counterfeit goods are generally made from lower quality components, in an attempt to sell a cheap imitation of similar goods produced by brands consumers know and trust.

 

Legitimate manufacturers devote significant efforts to building a reputation for quality among consumers; counterfeiters, in turn, seek to profit unfairly off of another company’s good name.

 

Just How Big is the Counterfeiting Problem?

 

Counterfeiting is Big Business.

 

In Fiscal Year 2012, the Department of Homeland Security seized counterfeit goods valued at over $1.25 billion at U.S. borders. Unfortunately, we also know that those represent only a small percentage of the total market for counterfeit goods. Globally, the trafficking of counterfeit goods is much larger, and growing. That growth is driven in part by CONSUMER DEMAND.

 

Counterfeiters often prey on consumers’ desire for low prices, but consumers should recognize that there is a real difference between a cheap price and bargain. And the cheap prices offered by counterfeiters often come at a very high cost to others.

 

What Types of Goods Can Be Counterfeit?

 

Counterfeit goods span across multiple industries including everything from apparel, accessories, music, software, medications and cigarettes, to automobile and airplane parts, consumer goods, toys and electronics.

 

How Does This Impact You?

 

   • Counterfeit goods are often made using cheap, substandard, and dangerous components that put the health

     and safety of consumers at risk.

 

   • Purchasing from counterfeit websites puts you at risk for identity theft.

 

   • Counterfeiting is illegal and purchasing counterfeit products supports illegal activity.

 

   • Counterfeiters do not pay taxes, meaning less money for your city's schools, hospitals, parks and other

     social programs.

 

   • Counterfeiters do not pay their employees fair wages or benefits, have poor working conditions, and often use

     forced or child labor.

 

   • The profits from counterfeiting have been linked to funding organized crime, drug trafficking and terrorist activity.

 

   • When you purchase a fake, you become part of the cycle of counterfeiting and your money directly supports things

     you would never want to support.

 

 

What Can You Do To Help?

 

   • Be cautious when purchasing products.

 

   • If the price looks too good to be true, it probably is.

 

   • If the product is being sold without its packaging, or the packaging appears to be of low quality, or includes

     printing errors (e.g., blurry pictures, typos), these can be indicators that a product is not what it purports to be.

 

   • Consider where the product is being sold, and whether you’d normally expect to find the product for sale there.

 

   • Deal only with legitimate / established merchants.

 

   • If in doubt, trust your instincts.  Does that professional-looking website include poorly-written product descriptions

     (e.g., poor grammar and typos)?  Do they have a no-returns or no-refunds policy?