Criminal penalties are applicable in severe trademark infringement cases involving counterfeiting of products. Counterfeiting is considered to be an extreme form of trademark infrigmement since the infriger knowlgy takes advantage of the trademark, bandname, and goodwill of a firm to deliverately create counterfeit products (i.e. lower quality immitations) for the purpose of seeking economic gain. The Trademark Counterfeiting Act of 1984 and the Anticounterfeiting Consumer Protection Act of 1996 address the problem of trafficking in countefeit trademarked goods and the distribution of imitations of well-known trademarked mechandize. According to these Acts "(w)hoever intentionlly traffics or attempts to traffic in goods and services and knowingly uses a counterfait mark on or in connection with such goods or services" is guildty of a felony. These acts lso ammend the Lanham Act to provide stronger civil penalties in cases involving counterfeiting.

References:
[1] Stim, R. "Intellectual Property. Patents, Trademarks, and Copyrights" West Legal Studies.
[2] Black's Law Dictionary 5th ed., (West Publishing, 1979).
[3] Acceptable Identification of Goods and Services Manual
[4] Trademark Examiners Manual of Procedure (TMEP)
[5] International Schedule of Classes of Goods and Services.
[6] Lanham Act of 1988.
[7] Trademark Counterfeiting Act of 1984
[8] Anticounterfeiting Consumer Protection Act of 1996

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