“As a consequence, in spite of the Exclusive Importer’s agreement with the Original Manufacturer that guarantees the exclusive right to Import to the Exclusive Importer, parallel importing does not constitute a violation of Korean Laws and the Parallel Importer is not bound by the contractual rights and obligations granted and imposed by the exclusivity agreement between the Sole Importer and the Original Manufacturer.”
Simply, the argument is that the Parallel Importer is not a party to the contract and no other Korean Law is violated. Most jurisdictions have come to identical conclusions.
I will be writing over the next few weeks about other parallel importing issues including issues related to unfair competition, trade secrets, copyrights, trademarks and how to protect your brands in Korea from grey market goods. Take a look.
Other posts that may be of interest:
- Beware the Grey-market Trap in Korea
- How to Protect your Brands in Korea
- Protecting Brands in Korea getting Easier?
Sean Hayes may be contacted at: SeanHayes@ipglegal.com.
Sean Hayes is co-chair of the Korea Practice Team and Entertainment, Media and New Tech Law Team at IPG Legal. He is the first non-Korean attorney to have worked for the Korean court system (Constitutional Court of Korea) and one of the first non-Koreans to be a regular member of a Korean law faculty. He assists clients in their contentious, non-contentious and business developments needs in Korea and China.
- Protecting Products from Parallel Imports into Korea: Trademark/IP in Korea?
- Korea Parallel Imports: How to Protect Your Brand in Korea: The Korean Courts May not be the Answer
- A “Tasty” Exclusive Agent Agreement for Artists & Entertainers in Korea: Entertainment Law Basics in Korea
- Distribution Agreement in Korea: Factors to Always Keep in Mind
- Korean Manufacturing/Sub-Contractor Agreement Payment Terms Matter: Don’t fall for the “Service” Trap
- Protecting Trade Secrets in Korea: Top 5 Things to Know Before Subjecting your Business Secrets to the Korean Market
- Korean Patent Court’s Intellectual Property Infringement Guidelines
- Korea Contracts Don’t Forget the Counter-party: Due Diligence before Executing an Agreement in Korea
- Drafting of Korean Distribution Agreements for your Distributor in Korea.
- Weekly Korean Legal News From International Law Firm – IPG Legal for the Week of July 21, 2014