Russia raises the stakes for IP infringers

Infringement is a constant companion of intellectual property. Thus, as the law regulating IP develops, regulations aimed at protecting IP owners have also evolved.

The Russian laws on patents and trademarks in 1992 were quite modest in their articulation of protective measures. They provided that the IP owner’s damages should be restored.

Over time, it became clear that the existing measures did not adequately protect IP owners. The situation changed in 2002, as Russian trademark law included a provision allowing trademark owners to claim damages or, as an alternative, compensation of up to RUB 5 million (approx. USD 65,000). That amount of compensation was in effect until 2026, when it was doubled to RUB 10 million. In isolated cases, where several IP rights were infringed, or the infringement was blatant, the compensation may amount to RUB 20 million.

Russian patent law did not include compensation for infringement until 2015, when a relevant provision was included in the patent section of the Civil Code. As with trademarks, the compensation was an alternative to damages and amounted to RUB 5 million, or compensation could be calculated as twice the cost of using the invention under normal conditions.

Likewise, the amendments to the law of January 2026 put patents on the same footing as trademarks. Aside from damages, compensation was raised to RUB 10 million. The double cost of use of the invention remained active.

Compensation instead of damages was introduced because the patent or trademark owner cannot precisely assess the scope of infringement. The infringer is never ready to disclose the scale of their infringing activities.

Since claiming compensation may be confusing, the Supreme Court explained in its Resolution No 10 of 2019 that when compensation is claimed, the court should award it within the limits prescribed by law. The plaintiff should provide evidence in support of their claims, while the respondent may challenge the claimed compensation. The plaintiff has the right to choose the method of calculation: either claim compensation within the above limits and provide a calculation of the claimed amount, or they may claim the double cost of the right of use of IP, or, in case of trademarks, they may claim the double cost of the counterfeit goods. In the last two cases, the plaintiff should also provide a calculation of the cost of a license on the market or the price of the counterfeit goods (including from other countries), which is relatively easy to do.

The amount of compensation awarded should be explained by the court. It is necessary to take into account the duration of the infringement, whether the infringement is recurrent, projected losses of the IP owner, whether the infringement is a substantial part of the business of the infringer, and possibly other aspects of the infringement.

It is worth noting that the compensation in double the amount has no upper limit and shall be calculated based on actual market prices. In practice, the amount may reach many millions of rubles. The awarded sums may equal or even exceed damages. This may serve as a powerful deterrent to potential infringers.

The new regulations took immediate effect. The Gillette Company sued an infringer, evaluated its compensation at twice the cost of the infringing goods, amounting to almost RUB 10 million, and the court agreed to award that compensation.

Later, however, Gillette showed understanding for the infringer’s dire state; the parties concluded an amicable agreement, and the infringer paid Gillette only RUB 1 million. The judgment was handed down in April 2026.