Malaysia has taken a decisive step in strengthening its Geographical Indications (GI) regime. For the first time, a company and its director have been charged in the Johor Bahru Sessions Court on 9 September 2025 under the Geographical Indications Act 2022¹ (“GIA 2022”) for applying a GI “KK Tanom Coffee” on 1,368 packs of coffee which indirectly refers to a registered GI, “Tenom Coffee”, without the approval of the proprietor of the registered GI.² Both the company and its director have claimed trial to the charges.³
 
This enforcement action serves not only as a legal precedent but also as a powerful reminder to producers, traders, and consumers alike: GIs are enforceable rights, and misuse carries serious consequences. It also highlights why GI owners must actively register and defend their rights to preserve product authenticity, cultural heritage, and economic value.
 
The Tenom Coffee GI: A Heritage Worth Protecting
 
East Malaysia has long led the way in GI protection, with “Tenom Coffee” among the earliest registered GIs in Malaysia, the 4^th on the GI Register after “Sarawak Pepper”, “Sabah Tea” and “Borneo Virgin Coconut Oil”.⁴ Registered on 1 November 2006 by Yit Foh Coffee Factory Sdn Bhd, the GI covers coffee powder, sachets, roasted beans and related products originating from Tenom, Sabah.
 
"Tenom Coffee" is renowned for its rich aroma, unique flavour and exceptional taste, which result from a distinct firewood and drum-rotated roasting method. It is made using Robusta beans grown in Tenom, Sabah, a region with an ideal climate and geography for cultivating Robusta coffee.
 
The registered GI ensures that only coffee produced in Tenom, Sabah following specific methods and characteristics, can be marketed as “Tenom Coffee”. The GI protects more than a product; it safeguards a regional identity, supports local livelihood and positions the product as a premium offering in both domestic and international markets.
 
Why GI Registration Matters
 
Under the GIA 2022, once a GI is registered, the registered proprietor gains exclusive rights to use the GI for the goods in accordance with the qualities, reputation, or characteristics stated in the registration. The proprietor may also authorise others to use the GI, under controlled and consistent standards. For the foregoing purposes, “use” includes making, importing, exporting, offering for sale, selling or using the GI in relation to the goods for which the GI is registered.
 
The GIA 2022 provides robust legal backing, allowing enforcement agencies to investigate complaints and institute criminal proceedings, and proprietors to commence civil proceedings against infringers — a vital measure in today's competitive markets where product authenticity is a growing concern.
 
Overview of GI Offences and Penalties
 
Unauthorised use of a registered GI is legally prohibited. The GIA 2022 sets out civil remedies and several offences with severe penalties for unauthorised use of registered GIs.
 
Criminal Offences⁵
 
Falsely applying a registered GI to goods
 
Any person who applies a registered GI to the goods without the consent of the registered proprietor where the goods are not the genuine goods of the registered proprietor, an authorised user, or the person who has the right to use the GI, or the goods are not in accordance with the quality, reputation or characteristics specified in the GI registration, commits an offence. The offence applies broadly and may include importers, sellers, or any person in possession, custody or control of such goods for the purpose of trade or manufacture.
 
In any prosecution for the above offence, the burden lies on the accused person to prove that he has obtained the consent of the registered proprietor of the GI.
 
On conviction, an offender who is not a body corporate shall be liable to a fine not exceeding RM10,000 for each of the goods bearing the falsely applied registered GI, or to imprisonment for a term note exceeding three years or to both, and for a second and subsequent offences, to a fine not exceeding RM20,000 for each of the goods bearing the falsely applied registered GI, or to imprisonment for a term not exceeding five years or to both.
 
A body corporate offender shall, upon conviction, be liable to a fine not exceeding RM15,000 for each of the goods bearing the falsely applied registered GI, and for a second and subsequent offences, to a fine not exceeding RM30,000 for each of the goods bearing the falsely applied registered GI.
 
In light of the above, if the company that has been charged in the present case is convicted of the offence, it could be liable to  a fine not exceeding RM15,000 for each of the 1,368 packs of coffee found in its possession that bear the GI “KK Tanom Coffee”.
 
Importing or selling goods with falsely applied GI
 
The GIA 2022 renders it an offence for any person to import into Malaysia for the purpose of trade or manufacture, or sell, offer or expose for sale, or have in his possession, custody or control for the purpose of trade or manufacture, any goods to which a registered GI is falsely applied, unless the person proves that he had taken all reasonable precautions against committing the offence and he had, at the time of commission of the allegedly offence, no reason to suspect the genuineness of the GI and upon demand, has provided to the Assistant Controller of Trade Descriptions (“Assistant Controller”), all the information in his knowledge as to the persons from whom he obtained the goods. 
 
The punishment for the above offence is the same as those applicable to the offence of falsely applying a registered GI to goods mentioned earlier in this article.
 
Falsely representing GI as registered
 
Additionally, a person who falsely represents that a GI is a registered GI or makes a false representation as to the goods for which a GI is registered, knowing or having reason to believe that the representation is false commits an offence. On conviction, the person shall be liable to a fine not exceeding RM10,000.
 
Disobeying summons or refusal to give evidence
 
The Registrar of GI may summon witnesses, receive evidence on oath and require the production of any document or article. Any person who disobeys the summons or request of the Registrar without lawful excuse commits an offence and shall, upon conviction, be liable to a fine not exceeding RM2,000 or to imprisonment for a term not exceeding three months or to both.
 
Complaint Mechanism⁶
 
An interested person⁷ may lodge a complaint specifying the identity of the offender, the premises where the offence is alleged to have been committed and details of the offences, with the Assistant Controller in order for him to investigate.
 
In carrying out the investigation, the Assistant Controller may direct any person to provide any information or document relevant to the alleged offence or appear before the Assistant Controller. If a document requested by the Assistant Controller is not in the custody of the person, he must state to the best of his knowledge and belief, the identity and whereabouts of the last person known to have custody of it.
 
Failure or refusal to comply with such a direction constitutes an offence. Upon conviction, the person shall be liable to a fine not exceeding RM50,000.
 
The GIA 2022 does not only compel disclosure of information and documents, but makes it an offence to knowingly disclose false or misleading information, or to omit material information, evidence, or documents. Upon conviction, the person shall be liable to a fine not exceeding RM100,000.
 
Further, it is also an offence under the GIA 2022 for a person to destroy, conceal, mutilate or alter, or send or attempt to send or conspire to remove from his premises or send out of Malaysia, any goods, document, material, article or thing kept or maintained with intent to defraud the Assistant Controller or to prevent, delay or obstruct the carrying out of the investigation. Upon conviction, the offender shall be liable to a fine not exceeding RM100,000.
 
Powers of the Assistant Controller
 
The Assistant Controller has the authority to arrest without a warrant any person whom he reasonably believes has committed, or is attempting to commit, an offence of falsely applying a registered GI to goods or to import, sell or for purposes of trade or manufacture, possess goods with a falsely applied registered GI. The person arrested must be brought to the nearest police station, and be dealt with in accordance with criminal procedure laws.
 
The Assistant Controller may also at all reasonable hours, enter any premises (except dwelling premises), to seize or detain goods, documents, material, article or thing or require any authorised person to break open any container or open any vending machine.
 
Alternatively, the Assistant Controller may seal the relevant goods, document, material, article or thing in the premises or container. It is an offence for any person to unlawfully break, tamper with or damage such seal or to remove the sealed items, or attempt to do so.
 
Civil Remedies⁸
 
In addition to criminal enforcement, GI proprietors or interested persons may initiate civil proceedings for misleading or unfair use of a GI. Remedies available include injunctions, damages or account of profits and other equitable relief.
 
This dual-track enforcement — combining criminal and civil channels — provides a comprehensive mechanism to uphold GI rights.
 
Growing Momentum in GI Protection
 
As of December 2024, Malaysia has received 146 GI applications, with 127 GIs registered, comprising 109 domestic and 18 foreign GIs.⁹ This reflects growing interest and awareness, particularly in East Malaysia, which has been at the forefront thanks to strong local initiatives and support.
 
This enforcement action is likely to accelerate that trend by sending a clear message: GI rights are not merely symbolic — they are real, actionable, and protected under Malaysian law.
 
Key Takeaways
 
This enforcement initiative underscores several key takeaways for stakeholders. For producers, it highlights the importance of registering and actively monitoring the use of their GIs. Registration provides the legal foundation needed to protect the integrity of their product and their distinctive characteristics from misuse.
 
For consumers, the case reinforces the value of authenticity in GI-labelled goods, helping to build trust and ensure consistent quality. For the broader GI landscape, such enforcement action may serve both as a deterrent to potential infringers and as a catalyst for greater compliance and awareness among businesses, producers and traders, particularly in Peninsular Malaysia, where GI uptake seems to be comparatively slower.
 
A Defining Moment for GI Protection in Malaysia
 
Although the outcome of the “KK Tanom Coffee” case remains to be determined, the case represents a defining moment for Malaysia’s GI landscape and underscores the vital role registered GIs play in safeguarding local heritage and ensuring the authenticity of products intrinsically tied to their geographical origin.
 
The message is clear for producers, consumers, and traders alike: GIs are not mere marketing labels, but enforceable legal rights that protect reputation, guarantee quality and strengthen local economies. Proactive registration and vigilant enforcement are not optional but essential to securing these rights and preserving the unique identity of GI products.
 
Article by Teh Hong Koon (Partner) of the Intellectual Property Law Practice of Skrine.
 
 

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