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What kinds of conduct fall afoul of the Unfair Competition Prevention and Trade Secret Protection Act?

There is a senior colleague with whom I ran a business partnership for several years before we decided to part ways, and I was the one operating the business we had originally been running. However, I learned that this senior colleague is operating a business in the same industry with almost identical products. I feel a great sense of betrayal and find it outrageous. Might this senior colleague's conduct also run afoul of the Unfair Competition Prevention and Trade Secret Protection Act?

Unfair Competition Prevention and Trade Secret Protection Act

Violation of the Monopoly Regulation and Fair Trade Act

Answer

Published: 2023-03-30

Author : Kuk Il KIM

An act of unfair competition refers to an act in which a person without authority registers, holds, or uses a domain name that is identical or similar to another person's name, trade name, trademark, or other mark that is widely recognized within the country.

In particular, for an act of unfair competition to be recognized, it is important to establish its purpose.

▶ The purpose of selling or leasing to a person with a legitimate right to a mark, such as a trademark, or to a third party

▶ The purpose of obstructing the registration and use of a domain name by a person with a legitimate right

▶ The purpose of otherwise obtaining a commercial benefit

If you suffer business damage due to an act of unfair competition, or there is a concern that you may, you can request from the court the cancellation of the registration and the suspension of use of the subject of that act of unfair competition.

This means that if a trade name, a trademark, and a name are being used commercially, they are recognized as a kind of property right, and it acknowledges that infringing them constitutes a legally unlawful act.

In addition, if damage arises as a result, you can seek liability for damages.

If, in relation to this, you apply to the court for an injunction or the matter leads to civil litigation, it is advisable to obtain assistance from an attorney with relevant expertise for a detailed legal assessment and review.