Article 131

The commission of any of the following acts constitutes an offense, and the perpetrator shall, in addition to compensation for damage and confiscation of the property and proceeds derived from the offense, be sentenced to a fine of the fifth degree or a fine equal to twice the damage caused, whichever is greater:

1. 1.Any unauthorized exploitation that, following registration of a patent, industrial design, or utility model, as the case may be, constitutes infringement of economic rights in accordance with the provisions of this Act.
2. 2.Any unauthorized exploitation and use of a trade name, trademark, collective mark, or certification mark contrary to the provisions set forth in this Act, in such a manner as is of a nature to deceive the public.
3. 3.Obtaining or disclosing trade secrets belonging to another without his consent, or contrary to Articles (123) and (126) of this Act.
4. 4.The commission of acts deemed unfair competition under this Act.

Note 1 — The commission of conduct that, under the provisions of this Act, constitutes infringement of moral rights is punishable by a fine of the sixth degree.

Note 2 — Commission of the offense referred to in Clause 2 of this Article in cyberspace is, in addition to the punishment prescribed in this Article, punishable by imprisonment of the sixth degree.

Note 3 — The offenses referred to in this Article, except Clause 2, are pardonable offenses [prosecutable only upon complaint], and where the complainant grants pardon or requests discontinuation of prosecution, the seized property shall be released from seizure, unless the parties have settled otherwise.

Note 4 — Where the perpetrator's inability to pay the fine is established, Articles 529, 530, 531, and 533 of the Code of Criminal Procedure, adopted 1392/12/4 [23 February 2014], shall apply.

Note 5 — In all offenses referred to in this Article except Clause 2, where the other statutory conditions for issuing an order suspending prosecution, an order deferring judgment, or a suspension of punishment exist, the judicial officer may, in addition to the directives provided for in the relevant statutory articles, order the perpetrator to carry out one to three of the following directives:

1. (a)Attendance at intellectual property classes, conferences, or training courses for at most two hundred hours within two years
2. (b)One-year employment, within six months, of at most three persons whose names appear as inventor or industrial designer in a patent or industrial design registration certificate
3. (c)Production of, or financing the production of, an educational video clip or visual program to promote a culture of respect for intellectual property rights, and arranging for its broadcast through the national media, within one year
4. (d)Facilitating the export of one of the domestically produced products of registered knowledge-based companies, within six months to one year
5. (e)Publication of an apology to the complainant in the journals of the relevant trade, local journals, or widely circulated journals, at his own expense — particularly in cases of infringement of moral rights referred to in this Act — within three months
6. (f)Cessation of the making, importation, offering, or advertising of items containing infringement of the complainant's mark protected by this Act, and voluntary delivery of the production mold and the said items to the complainant, or their destruction, where necessary and where it does not amount to forbidden waste (israf), in his presence, within one month
7. (g)Collection from the market of all products offered by him that contain infringement of the rights protected by this Act, and voluntary delivery of the said products to the complainant, or the return or removal of the elements contrary to the rights and, where that is not possible, their destruction where necessary and where it does not amount to forbidden waste, at his own expense, within two months

Note 6 — If the party alleging infringement, by means of an official notice, warns the infringing person that his activity constitutes infringement of his rights and demands the immediate cessation of the infringing activity, and the infringing person nevertheless continues his activity, then, where infringement is proven, he shall be sentenced to payment of a penalty equal to three times the damage caused from the date of service of the official notice until the issuance of the judgment. The rule of this Note does not apply in cases where the subject of the patent is a process, or where the patent holder has not produced and sold the subject of the patent.