Title 4 Frauds (public Interest)

Question 1

What are the crimes classified as frauds?

Answer 1

1. Machinations in public auctions. (Art. 185)
2. Monopolies and combinations in restraint of trade. (Art. 186)
3. Importation and disposition of falsely marked articles or merchandise made of gold, silver or other precious metals. (Art. 187)
4. Substituting and altering trademarks and tradenames or service marks. (Art. 188)
5. Unfair competition, fraudulent registration of tradename, trademark, or service mark; fraudulent designation of origin and false description. (Art. 189)

Question 2

Acts punishable under Art. 185.

Answer 2

1. By soliciting any gift or promise as a consideration for refraining from taking part in any public auction.
2. By attempting to cause bidders to stay away from an auction by threats, gifts, promises or any other artifice.

Question 3

Elements of soliciting gift or promise: (first act)

Answer 3

a. That there be a public auction.
b. That the accused solicited any gift or a promise from any of the bidders.
c. That such gift or promise was the consideration for his refraining from taking part in that public auction.
d. That the accused had the intent to cause the reduction of the price of the thing auctioned.

Question 4

Elements of attempting to cause bidders to stay away

Answer 4

a. That there be a public auction.
b. That the accused attempted to cause the bidders to stay away from that public auction.
c. That it was done by threats, gifts, promises or any other artifice.
d. That the accused had the intent to cause the reduction of the price of the thing auctioned.

Question 5

Acts punished as Monopolies and combinations in restraint of trade.

Answer 5

A. Combination to prevent free competition in the market.
B. Monopoly to restrain free competition in the market.
C. Manufacturer, producer, or processor or importer combining, conspiring or agreeing with any person to make transactions prejudicial to lawful commerce or to increase the market price of merchandise.

Question 6

Theory of the law in penalizing monopolies and combinations in restraint of trade.

Answer 6

The theory of the law in penalizing monopolies and combinations in restraint of trade is that competition, not combination, should be the law of trade. (Miller, Criminal Law, 448-449)

Question 7

When offense is committed by a corporation or association, what is the liability of the president and directors or managers?

Answer 7

By express provision of Art. 186, the president and each one of the directors or managers of the corporation or association shall be held as principals of the crime of monopolies and combinations in restraint of trade. (People vs. Torres, C.A., 51 O.G. 6280)

Question 8

Elements of importations and disposition of falsely marked articles or merchandise made if gold, silver or other precious metals or their alloys.

Answer 8

1. That the offender imports, sells or disposes of any of those articles or merchandise.
2. That the stamps, brands, or marks of those articles of merchandise fail to indicate the actual fineness or quality of said metals or alloys.
3. That the offender knows that the stamps, brands, or marks fail to indicate the actual fineness or quality of the metals or alloys.

Question 9

Acts punishable under Substituting and altering trademarks, trade- names, or service marks.

Answer 9

1. By (1) substituting the tradename or trademark of some other manufacturer or dealer, or a colorable imitation thereof, for the trade name or trademark of the real manufacturer or dealer upon any article of commerce, and (2) selling the same.
2. By selling or by offering for sale such articles of commerce, knowing that the tradename or trademark has been fraudulently used.
3. By using or substituting the service mark of some other person, or a colorable imitation of such mark, in the sale or advertising of his
   services
4. By printing, lithographing or reproducing tradename, trademark, or service mark of one person, or a colorable imitation thereof, to enable another person to fraudulently use the same, knowing the fraudulent purpose for which it is to be used.

Question 10

The acts of the offender punished under Art. 189 are:

Answer 10

1. By selling his goods, giving them the general appearance of the goods of another manufacturer or dealer. (Unfair competition)
2. By (a) affixing to his goods or using in connection with his services a false designation of origin, or any false description or representation, and (b) selling such goods or services. (Fraudulent designation of origin; False description)

3.By procuring fraudulently from the patent office the registration of trade name, trademark or service mark. (Fraudulent registration)

Question 11

Bid rotation