Rules 11 explained: this guide covers what it means, who it applies to, the step-by-step process, documents required, fees, due dates and penalties in India — so you can stay compliant with confidence and avoid costly mistakes.
Rules 11 to 13 of the IPR Enforcement Rules, 2007 close the sequence. Rule 11 says what happens to goods found to infringe, rule 12 keeps personal baggage and small personal consignments outside the Rules, and rule 13 protects officers who act in good faith.
This article reads the Rules as amended up to the CBIC text updated 22 June 2018 (reflecting Notification No. 56/2014-Cus. (N.T.) and No. 56/2018-Cus. (N.T.)). Later notifications should be checked, as no official consolidated text exists beyond the CBIC text.
Once goods are found to infringe and are confiscated under section 111(d) with no legal proceedings pending, the officer destroys them under official supervision or disposes of them outside the normal channels of commerce, after the right holder's no objection. Silence for twenty working days counts as concurrence. Re-export in an unaltered state is not allowed, and the right holder bears the costs. Personal baggage and small personal consignments are outside the Rules.
Rule 11: disposal of infringing goods
Rule 11(1). Where the Deputy Commissioner or Assistant Commissioner finds that goods detained or seized have infringed intellectual property rights, and they have been confiscated under section 111(d) of the Customs Act, 1962 and no legal proceedings are pending in relation to that determination, he shall either:
- destroy the goods under official supervision; or
- dispose of them outside the normal channels of commerce,
after obtaining the "no objection" or concurrence of the right holder or authorised representative.
First proviso: deemed concurrence. If the right holder or authorised representative does not oppose or react to the proposed mode of disposal within twenty working days after being informed, or within an extended period granted by the Commissioner at the right holder's request, not exceeding another twenty working days, he is deemed to have concurred.
Second proviso: costs. The costs of destruction, demurrage and detention charges incurred till destruction or disposal are borne by the right holder. This matches the bond that the right holder gives under rule 5(a); see our article on rules 1 to 5.
Rule 11(2). Re-exportation of goods infringing intellectual property rights in an unaltered state is not allowed. An importer therefore cannot avoid destruction by sending the same goods back out.
Rule 11(3). The Deputy Commissioner or Assistant Commissioner may, on his own or at the right holder's request, retain samples of infringing goods before destruction or disposal and give them to the right holder or importer if they are needed as evidence in pending or future litigation.
Disposal at a glance
| Step | Printed requirement |
|---|---|
| Trigger | Goods infringe and are confiscated under section 111(d); no legal proceedings pending |
| Mode | Destroy under official supervision, or dispose of outside the normal channels of commerce |
| Right holder's say | No objection or concurrence; deemed after twenty working days (plus up to twenty more if the Commissioner extends) |
| Costs | Destruction, demurrage and detention charges borne by the right holder |
| Re-export | Not allowed in an unaltered state |
| Samples | May be retained as evidence for pending or future litigation |
Example. Customs confiscates a lot of counterfeit watches under section 111(d), and no appeal or court case is pending on the finding. The officer informs the right holder, Meridian Timepieces, that he proposes destruction. Meridian is silent. After twenty working days it is deemed to concur. The officer retains two watches as samples under rule 11(3) in case the importer or Meridian needs them in later litigation, and destroys the rest under official supervision. Meridian bears the destruction and detention costs.
Facing a notice about confiscation of your goods? Our trademark infringement notice team can help you assess the position. For the confiscation power itself, see the Customs Act articles on penalties and section 11.
Rule 12: baggage and de-minimis imports
Goods of a non-commercial nature contained in personal baggage, or sent in small consignments intended for the personal use of the importer, are not subject to the above Rules. A traveller carrying a single branded item for personal use, or a person receiving a small parcel for his own use, falls outside the suspension and disposal scheme.
The rule has two limbs. First, the goods must be non-commercial. Second, they must be either in personal baggage or in a small consignment for personal use. The Rules do not define "small" or give a value, so no figure can be quoted. Where the character of the goods is doubtful, the officer's view will turn on the facts. For the baggage rules themselves, see our article on rules 1 to 4 of the Baggage Rules, 2026.
Rule 13: protection of action taken
Customs officers who act in good faith and have followed the procedures in the Rules are not liable for:
- (a) any failure to detect goods infringing intellectual property rights;
- (b) the inadvertent release of such goods; and
- (c) any other action in respect of such goods.
Two conditions must both be met: good faith and compliance with the procedures. A right holder cannot rely on the Rules to hold an officer responsible merely because infringing goods were released by mistake. The corollary is that the right holder must make the notice and its supporting material as clear as possible, so that detection is easy.
The Annexure
What follows rule 13 in the text is the Annexure, the notice format referred to in rule 3(2). It is not a rule and is covered by headings in our article on rules 1 to 5.
For the preceding stage, suspension and examination, read rules 6 to 10.
Need help with a disposal or confiscation notice?
Once goods are confiscated, the twenty working day window and the cost allocation matter to both sides. If you are an importer or right holder dealing with a disposal proposal, speak to our trademark infringement notice team about the options.
Key takeaways
- Disposal arises only after confiscation under section 111(d) and with no legal proceedings pending.
- The officer destroys the goods under official supervision or disposes of them outside the normal channels of commerce, after the right holder's no objection.
- Twenty working days of silence is deemed concurrence; the Commissioner may extend by up to another twenty working days.
- The right holder bears destruction, demurrage and detention costs; re-export in an unaltered state is not allowed.
- Non-commercial goods in personal baggage and small personal consignments are outside the Rules; officers acting in good faith are protected.
Read next
- Rules 1–5 of the IPR Enforcement Rules, 2007: notice by the right holder and registration
- Rules 6–10 of the IPR Enforcement Rules, 2007: suspension of clearance and examination
- Border measures: customs seizure of counterfeit goods and trademarks
- Section 11 of the Customs Act: power to prohibit import or export
Disclaimer: Based on the customs rules named above as published on the CBIC Tax Information Portal and, for sets amended since 2023, the amending notifications (read through a TaxClue consolidated reading text; no official consolidated text exists), as consulted on 3 October 2026. Later notifications, rates and the Customs Act, 1962 provisions referred to should be checked. This article is general information, not legal advice; check the official text before acting.