Tips on how to spot counterfeit electrical products
Counterfeiting of electrical products is a serious and growing issue in Canada and around the world. The World Intellectual Property Organization estimates counterfeit goods account for hundreds of billions of dollars worldwide. These products can present long-term economic risks related to safety and their negative impact on legitimate manufacturers.
A counterfeit product generally uses, without authorization, the trademark, service mark, or copyright of another product, with the intention of deceiving prospective customers into believing the product is genuine. Counterfeit electrical products can present serious health and safety risks to consumers and to the electrical industry. These products can overheat or cause short circuits, leading to fires, shocks, or explosions that can cost people their lives and produce considerable property damage.
Risks for contractors
With each project, contractors face risks when installing unfamiliar materials. When they are responsible for sourcing products, much of this risk is understood by the contractor. However, as end users begin sourcing their own materials directly from suppliers, contractors are faced with several new risks:
Installing materials that could be uncertified for use in Canada (this is becoming more prevalent with online and offshore purchasing).Being asked to install products that may be unfamiliar to the contractor (products that are not part of typical project specifications).Time plays a key role as well; end users are increasingly demanding work be performed within a tight timeframe, yet contractors have no control over the delivery of parts sourced by the end user.
Risk factors are even greater when you consider maintenance and warranty issues. When products are purchased by an end user and a system becomes inoperable because of a faulty product, the question still remains, who is ultimately liable and held accountable? Many end users are placing the onus on contractors to uphold warranties and repair/replace faulty products.
How to spot a potential counterfeit product
First and foremost, the best way to avoid counterfeit electrical products is to purchase products from the manufacturer’s authorized distributor or resellers. Counterfeit products are often less expensive than legitimate products because they’re made by cutting corners. There is a higher risk of counterfeits if you can’t trace the path of sale to the original manufacturer. You should also:
Scrutinize labels and packaging for certification marks and suspicious labeling not applied by the original manufacturer.Make sure all parts are present, including the owner’s manual and product registration card.
Common red flags to look for when assessing the authenticity of a product
Look closely for obvious quality issues with packaging or the product itself.Look for misspellings, errors, or misprints on certification labels, tags, plates, or packaging.Be suspicious of pricing that is “too good to be true.”Be wary of products from unknown sellers, online auctions, or no-name stores, including “copycat” e-commerce websites.
How to report a counterfeit product
If a product is believed to be counterfeit, it is recommended to contact the brand owner. This will allow authentication of the product and ensure the potentially hazardous product is removed from the marketplace. When reporting a suspected counterfeit product you should:
Provide as much information as possible. The more information a brand has, the better chance it can find similar products and remove them from the marketplace to protect consumers. This includes:Name, business name, address, domain name, and any other identifiers of the vendor.Description of commodity, including explanation on why it is suspected to be counterfeit.
Know that you can help
From the manufacturer designing the product to the contractors installing them, everyone across an industry can be subject to the dangers of counterfeiting. It can be crucial to work together to prevent these unsafe counterfeit products from causing harm to people and property. It’s also important to establish a process for reporting counterfeit electrical products. This can provide a collaborative outlet for alerting fellow workers and protecting your property.
If you need to report a counterfeit product, there are several options available to you:
The Canadian Anti-Counterfeiting Network represents a coalition of businesses and associations that have united in the fight against product counterfeiting, fraud, and copyright piracy in Canada and abroad. To report a fake visit ca/report-a-fake-2.Reach out to Crime Stoppers.Contact the nearest detachment of the RCMP.
For more information on making your business safer, you can visit our Risk Management Solutions page.