Retail & Consumer Goods Retail and consumer services

Avoid selling counterfeit goods

Protect your business from counterfeit goods liability. Covers supplier due diligence, trade mark verification, Trading Standards seizure powers, penalties, and online marketplace duties.

UK-wide
Guide summary

Check all goods are genuine before selling. Only buy from trusted suppliers and keep records. Selling fakes can mean 10 years in prison. Contact Trading Standards if you suspect counterfeit stock.

  • Verify suppliers are brand-approved before buying
  • Check goods for genuine packaging and markings
  • Keep supplier records for 2 years minimum
  • Train staff to spot fake products
  • You risk 10 years prison for selling fakes
  • Trading Standards can seize suspected goods
  • Online sellers must still check authenticity
  • Do not destroy suspect goods - report them
  • Parallel imports may need legal checks
  • Join industry anti-counterfeiting schemes
On this page
UK-wide

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When this applies

This guide applies to all retailers, whether you sell in a physical shop, at markets, or through online marketplaces. Selling counterfeit goods is a criminal offence even if you did not know the goods were fake. You can be prosecuted, have goods seized, and face up to 10 years in prison.

Understanding what counts as counterfeit, how to verify your supply chain, and what to do if you discover suspect stock will help you avoid criminal liability and protect your business reputation.

What counts as counterfeit

Counterfeit goods are products that bear a registered trade mark (or a sign identical or confusingly similar to one) without the trade mark owner's authorisation. Common examples include branded clothing, footwear, electronics, cosmetics, and accessories sold at prices well below the genuine product.

Counterfeit vs grey market goods: Parallel imports (genuine goods imported outside the brand owner's authorised distribution channels) are not counterfeit. However, they may still infringe trade mark rights depending on the circumstances. If you are unsure whether goods are genuine parallel imports or counterfeits, seek legal advice before selling them.

How to protect your business

  1. 1

    1. Verify your suppliers

    Only buy from authorised distributors or directly from brand owners. Ask suppliers for proof of authorisation such as a distribution agreement or letter of authorisation from the trade mark holder. Be wary of suppliers offering branded goods at unusually low prices.

  2. 2

    2. Check trade mark authenticity

    Inspect goods for quality indicators including packaging, labelling, holograms, serial numbers, and finish. Compare against genuine products. Many brand owners provide authentication guides or verification services. The UK Intellectual Property Office maintains the trade mark register on GOV.UK (gov.uk/search-for-trademark).

  3. 3

    3. Keep supply chain records

    Maintain records of every supplier including their full business name, address, company registration number, and invoices for each purchase. These records form the basis of your due diligence defence if you are investigated.

  4. 4

    4. Train your staff

    Ensure staff who buy stock or accept deliveries know how to spot suspect goods. Provide clear guidance on what to do if they have concerns, including who to report to internally and how to quarantine suspect stock.

  5. 5

    5. Act on online marketplace duties

    If you sell through online marketplaces (Amazon, eBay, Etsy, or similar), you remain legally responsible for ensuring goods are genuine. Marketplace seller protections do not shield you from criminal prosecution. List goods accurately and respond promptly to any IP complaints.

If you discover counterfeit stock

If you suspect goods in your possession are counterfeit, stop selling them immediately. Quarantine the stock separately from genuine goods. Do not destroy them, as they may be needed as evidence.

Contact your local Trading Standards service to report the issue. If you purchased the goods in good faith and can demonstrate your due diligence steps, this may support your defence. However, continuing to sell goods you suspect are counterfeit removes any due diligence defence.

Review your supplier relationship and consider whether other stock from the same supplier may also be affected. Check whether your business insurance covers losses from counterfeit goods, as many standard policies exclude this.

What happens next

If Trading Standards seize goods from your premises, you will receive a notice. You have the right to challenge the seizure. If goods are confirmed as counterfeit, they will be destroyed.

For ongoing protection, consider joining an industry anti-counterfeiting programme. The Anti-Counterfeiting Group (ACG) provides guidance and resources for retailers.

Official guidance and resources