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Consumer Law News South Africa

Dupe or deal? Navigating counterfeit goods and scams this Black Friday

As Black Friday and Cyber Monday approach, savvy shoppers and bargain hunters are gearing up for the year’s ultimate shopping adventure. But as wallets open and deals beckon, swindlers and scammers are ready to pounce on unsuspecting buyers. Whether browsing online or dashing through stores, consumers face a greater risk of encountering intellectual property (IP) tricks and traps and staying vigilant is crucial to avoid being deceived during this bustling season. As the quest for unbeatable deals intensifies, use these tips to avoid the dupes, counterfeits, and deceptions.
Image: Supplied
Image: Supplied

Double trouble look-alikes (dupes, fakes, and counterfeit goods)

When chasing down the best deals, focus is often more on the price than the product and shoppers can easily be drawn to products that closely resemble well-known products but are not the real thing. From designer-inspired dupes to outright counterfeits, these often carry hidden risks. While both dupes and counterfeit goods may appear as alternatives to high-end products, the distinction between the two is significant – and knowing the difference is essential.

Dupe-iously good alternatives or faux real goods?

Counterfeit goods are products, typically of inferior quality, that are produced or sold using a third party’s trade mark or copyright protected works without authorisation. They are designed to imitate genuine items, deceiving consumers by replicating the appearance and branding of authentic products.

A “dupe” (short for “duplicate”) is a less expensive alternative to a more costly product, typically designed to offer similar quality or functionality. The term is especially popular in the beauty and fashion industries, but it can apply to nearly any product category, from tech gadgets to home décor. Dupes often mimic the style, colour, or features of well-known products without directly copying or using protected trade marks, copyrighted works, or designs. These look-alikes provide a more affordable option without infringing on IP rights.

Dupes offer consumers a “look for less” without claiming to be the real thing, whereas counterfeits are outright impersonations intended to deceive. This distinction separates inspired admiration from outright imitation, with only one being on the right side of IP law.

Consumers should be especially cautious, as IP theft is not a victimless crime. Knowing how to spot a fake can protect buyers from inferior goods. So, avoid a mistake and spot the fake by checking for the following:

  • Spelling mistakes, especially in product information.
  • Noticeable grammatical errors.
  • Blurry or unfocused images on packaging.
  • Lack of information regarding the manufacturer or supplier.
  • Overall presentation quality:

    • Broken seals beneath lids on FMCG goods.
    • Products that are damaged, in poor condition, or poorly shrink-wrapped.

Parallel imports – it’s real, but warranty-free

“Parallel importation” occurs when goods manufactured by the IP rights owner (or with their permission) and intended for sale in a particular country are exported to another country without the IP owner’s consent.

These parallel imported goods are often called “grey goods” because they are genuine, not counterfeit, but not distributed by the IP rights owner or an authorised licensee, and do not come with the warranties or guarantees offered by the authorised distributor or licensee.

In South Africa, parallel importation is lawful and is explicitly permitted under the Consumer Protection Act (CPA). The CPA requires sellers of grey goods to disclose, with a conspicuous notice, that the goods were imported without the IP rights owner’s permission, and that the warranties or guarantees from the authorised distributors or licensees will not apply.

While these goods can be great finds and are often sold at lower prices, it's important to be aware of the lack of warranties or guarantees. If you want the brand’s backing, make sure to look for grey goods notices on the goods to avoid any post-purchase surprises.

Spotting phishing scams and fake websites

Nishaat Slamdien, Associate, Spoor & Fisher
Nishaat Slamdien, Associate, Spoor & Fisher

Phishing scams

Phishing emails are a type of cyber scam where criminals impersonate trusted retailers, brands, or organisations in order to deceive you into revealing sensitive information, such as login credentials, financial details, or personal data. These emails often appear to come from legitimate sources – retailers, banks, or even your employer – but contain malicious links or attachments designed to compromise your security.

This season, inboxes are likely to be filled with “exclusive offers” and “limited-time deals” – but not all of them are safe. Before clicking, carefully examine the sender’s email address. It may closely resemble a familiar retailer or brand, but with subtle typographical errors or unusual domain extensions, which can be red flags.

Domain names

A domain name is the address used to access a website on the internet. It acts as a human-readable identifier for an IP address, making it easier for users to find websites without needing to remember complex numerical addresses.

Some domain names may imitate the registered and/or well-known trade marks of trusted brands by altering a single letter or adding extra words. These domain names can infringe on and/or take unfair advantage of these trade marks, potentially leading to fake websites that impersonate legitimate businesses and deceive users into entering personal information. Makes sure you’re only shopping on trusted, verified sites.

Google Ads

Google Ads (formerly known as Google AdWords) is an online advertising platform developed by Google that allows businesses and individuals to display ads on Google’s search engine results pages, YouTube, and other websites within Google’s ad network.

Advertisers bid on keywords relevant to their products or services. When users search for those keywords on Google, the sponsored ads appear at the top or bottom of the search results.

While Google diligently vet’s ads on its platform, it’s still possible for sponsored ads to misdirect consumers to fraudulent websites or those impersonating reputable brands. These ads may appear genuine and trustworthy, but it’s essential for consumers to verify the website’s authenticity before providing any sensitive data.

Buyer’s beware

In conclusion, as the shopping season brings a wave of tempting offers, it’s crucial to stay vigilant when making purchases. By being aware of common IP tactics and deceptive practices, consumers can protect themselves from counterfeit goods and other risks, ensuring a smoother and more secure shopping experience.

Remember, a little caution can go a long way in safeguarding your hard-earned money and ensuring that your holiday shopping is both enjoyable and safe. Stay informed, shop smart, and enjoy the season's best deals without falling prey to scams and deceptions.

About Nishaat Slamdien

Nishaat Slamdien is an Associate at Spoor & Fisher
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