In an increasingly competitive business environment, protecting the rights of enterprises has become a critical mission, not only for business owners but also for the legal system. Unfair competition, manifested in various forms such as false advertising, intellectual property infringement, and defamation of competitors, has caused significant harm to businesses. From a legal perspective, protecting business rights is not merely an economic issue but also a deeply social one.
Under the 2018 Competition Law, acts of unfair competition are specifically defined and regulated, with Article 40 explicitly prohibiting activities such as false and misleading advertising. Additionally, the 2015 Civil Code provides provisions on intellectual property rights, forming the legal foundation for protecting a business’s intellectual property assets.
A notable case occurred in 2024 between two beverage companies in Vietnam, referred to as Company A and Company B. Company A discovered that Company B had used its product images in an advertising campaign without authorization. This conduct not only violated intellectual property rights but also damaged Company A’s reputation and revenue. After gathering evidence, Company A filed a lawsuit against Company B, seeking compensation and an injunction to stop the infringing acts.
In this case, Company A employed various legal strategies to protect its rights. It collected evidence by documenting Company B’s advertisements and retaining relevant materials related to the violation. These efforts not only strengthened its case but also enhanced its credibility in court. Company A’s legal counsel argued that the unauthorized use of its product images constituted a violation of Article 41 of the Intellectual Property Law. The counsel also emphasized that this act caused financial loss and diminished consumer trust in Company A’s brand.
Ultimately, the court ruled in favor of Company A, ordering Company B to cease the infringing activities and compensate for damages. This ruling was a significant victory for Company A and served as a lesson for other businesses on protecting their rights against unfair competition.
With years of experience in intellectual property, I believe that alongside legal solutions, raising awareness of business rights is equally crucial. Business owners must understand the legal provisions regarding competition and measures to protect their interests. Organizing workshops and training sessions on competition law and intellectual property is essential to help businesses identify and promptly address unfair practices. They should also establish quality management and internal control systems to detect and respond to violations early. Collaboration with industry organizations and business associations can also create collective strength in protecting the common interests of members.
Lawyers play an indispensable role in protecting business rights. They assist businesses in drafting contracts and legal documents, advising on legal issues arising in the course of business operations. Furthermore, lawyers help businesses understand their rights and obligations in commercial transactions, thereby mitigating legal risks. In the context of unfair competition, lawyers must possess a thorough understanding of legal provisions and the ability to respond quickly and effectively to emerging situations. This not only safeguards business rights but also enhances the reputation and brand value of businesses in the eyes of consumers.
Case Studies:
- Vinamilk vs. Beverage Company (2021):
Vinamilk filed a lawsuit against a beverage company for false advertising that misled consumers about its product. The court ordered the company to cease advertising and pay damages to Vinamilk, underscoring the importance of compliance with competition law.
- Masan vs. Small Food Company (2023):
Masan sued a small food company for copying its product packaging, causing consumer confusion. The court ruled in favor of Masan, requiring the company to cease production and compensate for damages. This case highlighted the importance of protecting intellectual property rights and ensuring fair competition in the food industry.
Both cases illustrate the necessity of adhering to legal standards in business and protecting corporate interests. Protecting business rights amid unfair competition is a challenging but essential task to ensure the sustainable and healthy development of the market. Practical cases demonstrate the importance of mastering legal provisions, raising awareness, and being well-prepared. The role of lawyers is also indispensable in advising and representing businesses. Only when all these factors are effectively combined can businesses confidently stand their ground in today’s fiercely competitive landscape.
Share with me your views on unfair competition among businesses ahead of the 2025 economy!