On January 21, 2025, amendments to the Korean Trademark Act and the Design Protection Act were promulgated to increase the upper limit of punitive damages for willful infringement of trademarks and designs from three times to five (5) times the actual damages. The amendments will take effect on July 22, 2025.

This legislative change aligns with the previously amended Korean Patent Act and the Unfair Competition Prevention and Trade Secret Protection Act, which increased the upper limit of punitive damages to five times for patent infringement, trade secret infringement, and misappropriation of ideas. The revised laws came into effect on August 21, 2024.

The introduction of fivefold punitive damages for trademark and design infringement is notably high compared to other major jurisdictions. For instance, Japan does not impose punitive damages for such infringements, while the United States allows up to threefold punitive damages for design infringement but does not apply the system to trademark infringement. Until now, China has been the only jurisdiction permitting up to fivefold punitive damages. 

It is expected that the amendments will strengthen the protection of intellectual property rights within Korea.