Kuwait Court Lifts 20-Year-Old Trademark Seizure Order

The Kuwaiti judiciary has revoked a precautionary seizure order issued in 2000 on goods bearing a global trademark that had been monopolized by a local company. The ruling, secured by Attorney Dr. Fawaz Al-Khatib, marks a significant step toward fostering market competition and eliminating restrictive trade practices.

Background of the Case

More than two decades ago, the local trademark agent obtained a seizure order to restrict the import of goods bearing the trademark through Kuwait’s customs ports. Consequently, the Kuwait General Administration of Customs (KGAC) enforced the order, blocking any imports that fell under the ruling.

An importer of goods carrying the same global trademark filed a grievance after KGAC refused to release a shipment, preventing him from accessing his merchandise. Seeking legal recourse, the importer turned to the judiciary, enlisting the support of Attorney Dr. Fawaz Al-Khatib.

Legal Violations and Court Ruling

Al-Khatib argued that the seizure order violated multiple legal provisions, including:

• Code of Civil Procedure
• Commercial Agencies Regulation Law
• Trade Law
• Competition Protection Law

After extensive legal proceedings, the judiciary ruled in favor of the complainant, annulling the seizure order and lifting the monopolistic restrictions.

Impact of the Ruling

Attorney Al-Khatib emphasized that this verdict strengthens Kuwait’s economic framework by promoting fair trade and competition. He highlighted that the ruling enhances the confidence of traders and investors in Kuwait’s legal system and aligns with modern economic regulations.

This decision is expected to encourage a more transparent and competitive market environment, ensuring businesses can operate without undue restrictions.