Import Question

[tfbpa]

I am looking into the possibility of importing brand name apparel to resell here in Thailand in a physical retail store and would like to know more about the legal aspect of it. All products are 100% authentic, but most likely I will not receive explicit permission from the brands to resell and would therefore like to know if it is legally possible to sell without their explicit permission.

My questions are:

- Is parallel import of apparel legal in Thailand?'

- Does Thailand have something like a "First Sale Doctrine" or "Exhaustion of Rights"? If so, is it applicable when products are both manufactured and bought outside Thailand and imported into Thailand for resale in Thailand? Specific countries where imports are possible from are USA, Hong Kong, United Arab Emirates and the European Union if it is country specific.

- How can brands/manufacturers legally restrict the distribution and sales of their products in Thailand? I have read that if they want to do so, they have to own the Trademark in Thailand and then an Exclusive Licensing Agreement or Exclusive Distribution Agreement is necessary, which in turn needs to be registered. If this is correct, how and where can I check what kind of licensing agreements they have and with whom?

- Which law is applicable? According to my research the Copyright Law is not applicable, but then which law is?

Thank you very much.

[Sunbelt Asia]

As for your first question, you can import, buy, sell, re-sell any authentic branded apparel in physical shop if you do not use their brand name as the store name or claim that you are their auhorized dealer or licensed branch.

The 2nd question regarding Exhaustion of rights, Exhaustion of Rights pertains to Copyright and Patent but not to Trademarks. Trademarks or Trade names are protected indefinitely, while the product, whether technology, medical or a drink is patented and would have the "Exhaustion of Rights."

And finally, lets say you set up "Mark's Fashion Outlet" and you sell "Calvin Klien" and Gucci or other branded apparel in there...I don't think any of the fashion house will stop you and they can't stop you. You went in to a Gucci store and you paid the money for goods. On the receipt, they did not forbid you from resale. Let's say you then take the goods to Thailand and sell it in Mark's Fashion Outlet, it's perfectly legal. Just don't name your outlet "Gucci" or make any claims or any action which may lead consumers to believe that you are a licensed store. If they don't want you to sell their goods, they will simply not sell to you. You can't be buying direct from their factory in China either as normally they will have an exclusive contract with the factory not permitting the factory to sell their designed products to a third party.

[sunbelt][/sunbelt]