The Illusion Of Legality In Parallel Imports
- IJLLR Journal
- Aug 1
- 1 min read
Tmt. Aehahini N, LL.B., ML (IPR), Assistant Professor, Chennai Dr. Ambedkar Govt Law College, Pudupakkam
Dr. V Vijayashri, Assistant Professor, Chennai Dr. Ambedkar Govt Law College, Pudupakkam
ABSTRACT
Parallel imports in India operate at the intersection of intellectual property law, fiscal regulation, and consumer protection frameworks. While Indian courts have recognized the principle of international exhaustion by permitting the import and resale of genuine goods without the rights holder’s consent. The legality of such imports remains subject to compliance with other statutory regimes. Goods entering through grey channels often bypass essential requirements under customs law, GST regulations, and the Legal Metrology Act, 2009. This divergence results in the erosion of sovereign regulatory control, loss of tax revenue, and dilution of consumer safeguards. The legal position under Section 30 of the Trade Marks Act, 1999, read with judicial interpretation in Kapil Wadhwa v. Samsung Electronics, affirms the legality of parallel imports from a trademark perspective, yet leaves unaddressed several compliance lacunae. The IPR (Imported Goods) Enforcement Rules, 2007 and the Courier Imports and Exports (Clearance) Regulations, 1998 present additional procedural gaps, including vulnerabilities such as misuse of de minimis exemptions. A comprehensive regulatory approach is required, where legality is contingent not only on the genuineness of goods but also on adherence to all applicable legal frameworks governing import, sale, and consumer information standards.
Keywords: Parallel Imports, Intellectual Property, Exhaustion Doctrine, International Exhaustion, Trademark Law, Customs Act, Legal Metrology Act, GST Compliance, IP Enforcement Rules, De Minimis Exemption, National Treatment, TRIPS, Consumer Protection, Grey Market, Regulatory Evasion.
