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Laws and Legal Compliances applicable upon Foreign Companies for Selling Beauty Products and Cosmetics in India: Lawyers Advice

The Central Drugs Standard Control Organization (CDSCO) regulated the cosmetics in India. The Indian Parliament passed the Drug and Cosmetic Act 1940 and Rules 1945 to regulate the import, manufacture, distribution and sale of drugs and cosmetics. Rules Governing Cosmetics and Beauty ProductsAs per Section 3 (aaa) of the Drugs and Cosmetics Act, 1940, “cosmetic” means any item designed to be poured, sprinkled, rubbed or sprayed on or otherwise applied on the human body or any part of the human body, for beautifying, cleansing, altering the appearance or promoting attractiveness and also consists of any item designed for use as a...

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Legal Challenges to Copyright Registration in India: Lawyers Advice

Indian Copyright Law abides by international standards laid down in the TRIPS Agreement. The Copyright Act, 1957, after a number of amendments, completely abides by the Berne Convention, 1886 and the Universal Copyrights Convention.However, there are also various requirements for a copyright to be registered and there are various legal challenges to the registration of a copyright. Challenging a Copyright on its Nature Methods, Ideas or SystemsMethods, ideas and systems and are not protected under Copyright Law, this includes scientific or technical methods or discoveries; making, or building things; business operations or procedures; formulas, algorithms; mathematical principles; or any kind of concept,...

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Important Points to Consider for Patent Registration in India: Lawyers Advice

The Patents Act, 1970 governs the Patent Law in India and given the number of inventions claiming to be unique in modern times, the law is extremely serious about granting Patents. An invention which is pointless in its operation or in contravention to something already established is almost immediately rejected. At times, heavy amounts of fine have to be paid by people claiming patents for trivial inventions. The Patent must be capable of profitable exploitation but it cannot be against public morality or public order. A patent should be beneficial to the public in some manner. Important Case Laws in the...

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Legal Tips on how Parties can invoke Arbitration Clause enshrined in an Agreement: Lawyers Advice

Arbitration in India is supervised by the Arbitration and Conciliation Act, 1996 which says that for implementing arbitration as a dispute resolution device, an agreement in that respect, should be signed between the disputing parties.Laws governing Arbitration Clause/Agreement in India: -Section 7(1) of the Arbitration and Conciliation Act, 1996 (as amended in 2015) explains Arbitration Agreement as: -In the presence of a legal relationship between the parties, a relation which may or may not be a contractual, an agreement is signed between parties deciding arbitration as the mechanism for resolution of disputes, wholly or in part, that may arise or...

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Effects of COVID-19 on Home Buyers and Real Estate Developers: Lawyers Advice

The real estate sector has been coping with a decelerating economy, credit crunch and growing inventories for quite some time, and the COVID-19 pandemic has only made matters worse. The nationwide lockdown, that came as a result, has stopped most activities relating to construction and has seen labourers planning to or having already gone back to their villages. This would obviously lead to a shortage in labour for quite some time and can further delay the recovery progress for such a sector. The reduction in demand in the residential sector has already cut project launches, housing sales and price growth in...

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Mitigating the Effect of COVID-19 on MSMEs and Business Loans: Lawyers Advice

Medium, Small and Micro Enterprises (MSMEs) have contributed immensely to our economy and with investment at low levels, it has been giving the highest employment in the country giving a wide range of services and products.Due to the lockdown, the MSMEs are one of the worst hit because of the sudden pause on all operations, thereby creating a state of alarm. Regulations regarding Secured Lending in India: -Secured lending is regulated in India. A number of institutions are authorized to participate in lending activities. These include: • scheduled and non-scheduled commercial banks; • non-banking finance...

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Legal Steps to Terminate a Franchise Agreement: Lawyers Advice

A franchise business is a quick way to get into the market and beneficial for both the parties in the Franchising agreement i.e. Franchisor and the Franchisee. The franchisee gets instant recognition, resources and established market and on the other hand, the franchisor gets royalties, vast reach and better business prospects by reaching different target countries.However, sometimes the situations are not as it was expected before or there has been some change in the minds of either of the parties in regards to the Franchising pact. Legal Implications of Termination vs. Non Renewal of the Franchise Agreement: In franchising business both...

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Legal Solutions for Franchisor against Under-Billing & Under-Reporting of Sales by a Franchisee: Lawyers Advice

Franchisee under-reporting is when the franchisee does not report the exact income or sales than what he actually earns so that the accountability of lesser money will be less. The Courts have little sympathy for franchisees who fail to report all revenue making the franchisor suffer wrongful loss. Legal Steps to reduce Under-reporting and under-billing by a FranchiseeIt boils down to these critical steps: • Track data regarding third-party delivery: Third party aggregators generate more data for your organization. • Centralized Data within the Point of Sale (POS):.Centralized data storage allows for increased use of...

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Legal Solutions for Franchisor to Recover Unpaid Franchise Royalty fees: Lawyers Advice

Franchise agreements benefit the franchisees by providing with well established recognition of the business. But there is a price to pay quite literally. The initial license fee is paid along with regular royalty fees which can be weekly, monthly quarterly or even yearly that depends upon the mutually decided term. Four legal steps to be taken by the franchisor on default of royalty payment:The following steps should be undertaken to recover unpaid franchising royalty fees in case of default by franchisee: • Negotiation should be the first step to approach the problem of default of royalty payment. The...

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Legal Solutions to Franchisee for facing Lack of Ongoing Support & Quality Management from the Franchisor: Lawyers Advice

In any business a company may have an objective of increasing profit margin by engaging in activity which would reduce the expenditure or increase the revenue. Due to the company’s goal sometimes franchisees suffer a great deal by not getting adequate support from the franchisor’s end. Many franchise agreements are made a certain way which is silent or contains fewer provisions about franchisor’s obligations but many obligations on the franchisees. This makes it tough for the franchisee to prove that there had been lack of support by the franchisor which violates the rights of the franchisee. It becomes difficult for...

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