Section 272: Passing off and damaging another trader's credit

Firm annotation

Section 272 groups three separate trade wrongs, each with its own test. Paragraph (1) is passing off: taking the name, figure, invented mark or any statement used in another person's trade and using it, or causing it to appear, on goods, on a box, wrapper or covering, on advertising, a price list, a commercial letter or any similar thing, in order to make the public believe that they are that other person's goods or trade. The purpose is an element. Paragraph (2) is imitating a sign or any similar thing so that the public is likely to believe that the offender's place of business is the place of business of another person situated nearby; the test here is objective likelihood rather than proved purpose, and the two businesses must be neighbouring. Paragraph (3) is trade disparagement: spreading false statements in order to damage the credit of another person's place of business, goods, industry or commerce, with a view to benefiting one's own trade. The penalty for all three limbs is up to one year, or a fine of up to 20,000 baht, or both. The section expressly makes the offence compoundable, so it can be settled between the parties and, under Section 96, the injured trader must complain within three months of learning of the offence and the offender or the case is barred. Section 271, the neighbouring offence, protects the buyer against deceptive selling rather than the competitor, and Sections 273 to 275 deal with registered trademarks.