Summary of the Committee Version of the Bill

HB 1756 -- COUNTERFEITING

SPONSOR:  Walton

COMMITTEE ACTION:  Voted "do pass" by the Special Committee on
Homeland Security by a vote of 8 to 0.

This bill changes the laws regarding the counterfeiting of goods.
In its main provisions, the bill:

(1)  Specifies that a counterfeiting offense involving less than
100 items or services valued at $1,000 or less will be a class A
misdemeanor;

(2)  Increases the penalty for a counterfeiting offense involving
100 to 1,000 items or services valued at $1,000 to $10,000 from a
class D felony to a class C felony;

(3)  Increases the penalty for a counterfeiting offense from a
class C felony to a class B felony when the person has been
previously convicted two or more times, the violation involves
1,000 or more items or services valued at $10,000 or more, or the
person knowingly or recklessly causes or attempts to cause the
physical injury of another person;

(4)  Adds the penalty of a class A felony if a person knowingly
or recklessly causes or attempts to cause the serious physical
injury or death of another person in the commission of any
counterfeiting offense;

(5)  Requires the forfeiture of all counterfeited property used
or sold and any property directly or indirectly obtained as the
result of the counterfeiting offense;

(6)  Requires the court, at the conclusion of all criminal and
civil forfeiture proceedings, to order any forfeited item to be
destroyed with the written consent of the trademark owners; and

(7)  Requires any person convicted of a counterfeiting offense to
pay restitution to the trademark owner and any other victim of
the offense in the amount of any expenses incurred by the
trademark owner in the investigation and prosecution of the
offense as well as any profits realized by the person convicted
of the offense.

FISCAL NOTE:  Estimated Cost on General Revenue Fund of Less than
$100,000 in FY 2009, FY 2010, and FY 2011.  No impact on Other
State Funds in FY 2009, FY 2010, and FY 2011.

PROPONENTS:  Supporters say that the bill protects the creative
energy and hard work of Missouri businesses that are being
undermined by individuals and organizations that deal in
counterfeit goods.  The counterfeited goods lack quality control
measures that make them potentially dangerous to consumers.
Counterfeiters promote child labor and unsafe labor conditions.
The goods also are generally sold without sales tax costing lost
tax revenue.  It is estimated that counterfeiting costs Missouri
an estimated 750,000 jobs.  Some counterfeiters produce
pharmaceutical products that are very dangerous.

Testifying for the bill were Representative Walton; Donna
Schmitt, Energizer; Travis Johnson, International
Anti-Counterfeiting Coalition; Pfizer, Incorporated; Charles
Kleinhagen, Haldex Brake Products, Corporation; and Novartis
Pharmaceuticals Corporation.

OPPONENTS:  There was no opposition voiced to the committee.

Copyright (c) Missouri House of Representatives


Missouri House of Representatives
94th General Assembly, 2nd Regular Session
Last Updated October 15, 2008 at 3:11 pm