Section 49 of The Geographical Indications of Goods (Registration and Protection) Act, 1999
- (1)If the person committing an offence under this Act is a company, the company as well as every person in charge of, and responsible to, the company for the conduct of its business at the time of the commission of the offence shall be deemed to be guilty of the offence and shall be liable to be proceeded against and punished accordingly: Provided that nothing contained in this sub-section shall render any such person liable to any punishment if he proves that the offence was committed without his knowledge or that he exercised all due diligence to prevent the commission of such offence.
- (2)Notwithstanding anything contained in sub-section (1), where an offence under this Act has been committed by a company and it is proved that the offence has been committed with the consent or connivance of, or that the commission of the offence is attributable to any neglect on the part of, any director, manager, secretary or other officer of the company, such director, manager, secretary or other officer shall also be deemed to be guilty of that offence and shall be liable to be proceeded against and punished accordingly. Explanation.--For the purposes of this section,--
- (a)"company" means any body corporate and includes a firm or other association of individuals; and
- (b)"director", in relation to a firm, means a partner in the firm.
Summary
- This law makes companies and their leaders responsible for crimes committed by the business.
- Both the company and the specific person in charge of its daily operations are considered guilty at the same time.
- A person is not punished if they prove the crime happened without their knowledge or that they took all possible care to prevent it.
- Specific officers like directors, managers, or secretaries are liable if it is proved they ignored or helped the crime happen.
- The term company includes corporations, firms, and other groups of individuals.
- For a firm, the word director means a partner in that firm.
Practical examples
FAQ
1. Who is liable for a company's offence under Section 49 of the Geographical Indications of Goods (Registration and Protection) Act, 1999?
Under Section 49(1) of the Geographical Indications of Goods (Registration and Protection) Act, 1999, the company and every person in charge of and responsible for the conduct of its business are liable.
2. Can a director escape punishment under Section 49 of the Geographical Indications of Goods (Registration and Protection) Act, 1999?
Yes, under Section 49(1) of the Geographical Indications of Goods (Registration and Protection) Act, 1999, they are not liable if they prove the offence was committed without their knowledge or that they exercised all due diligence.
3. What does the word director mean for a business firm under Section 49 of the Geographical Indications of Goods (Registration and Protection) Act, 1999?
According to the explanation in Section 49 of the Geographical Indications of Goods (Registration and Protection) Act, 1999, a director in a firm means a partner in that firm.
Test yourself
Q1.Under Section 49 of the Geographical Indications of Goods (Registration and Protection) Act, 1999, who besides the company is deemed guilty of an offence?
Q2.What must a person prove to avoid liability under Section 49 of the Geographical Indications of Goods (Registration and Protection) Act, 1999?
Q3.Under Section 49 of the Geographical Indications of Goods (Registration and Protection) Act, 1999, a director is liable if the offence is attributable to their:
Q4.How does Section 49 of the Geographical Indications of Goods (Registration and Protection) Act, 1999 define a company?