Structural changes in IPR registration and Enforcement bodies in China

EU SMEs should be made aware of important changes made to the structure of Intellectual Property registration, management and enforcement governing bodies in China which were announced in the context of the annual plenary session of the National People’s Congress (NPC) and the National Committee of the Chinese People’s Political Consultative Conference (CPPCC) (also known as ‘Two Sessions’) which took place in early March. The restructuring of IP management and enforcement bodies is part of a wider reorganization of China’s  ministries and agencies in order to increase their efficiency. The date at which these changes will come into effect has not yet been announced.

The following existing entities are to merge together and fall under the umbrella of a newly created State Market Supervision Administration (SMSA):

  • State Intellectual Property Office (SIPO): This is the Chinese patent office and it is also in charge of the IP foreign affairs. This is the entity at which European SMEs register their patents in China.
  • State Administration of Industry and Commerce’s Function of Trademark Management: Currently Trademark registration is handled before CTMO (China Trade Mark Office), which is under SAIC (State Administration of Industry and Commerce).
  • General Administration of Quality Supervision, Inspection and Quarantine’s Function of “Place of Origin” Label Management (AQSIQ): They are currently in charge of Geographical Indications. GIs are registered here in China by the regional organisations responsible for these GIs.

Continue reading “Structural changes in IPR registration and Enforcement bodies in China” »

Chinese Court Issues First GUI Case Decision

17471462035_4b3ff87149_kToday’s blog post has been kindly shared with us by Ferrante Intellectual Property. The article discusses a recent Beijing IP Court case on the Graphical User Interface infringement. In it’s first ruling of the kind, the the IP Court has decided that the GUI cannot be protected separately from the type of the device it is applied to under the design patent protection. 

The Beijing IP Court issued a decision on the very first Graphical User Interface (GUI) infringement case in China. The lawsuit was lodged by Qihu 360 Inc. (Qihu) against Beijing Jiangmin Technology Co., Ltd (Jiangmin). Qihu claimed that the externalizing interface of Jiangmin’s software was identical to Qihu’s GUI design of “Computer with GUI” and that Jiangmin’s behaviour constituted patent infringement. In its decision, the Beijing IP Court dismisses Qihu’s claim and found that in determining the protection scope of a GUI design patent, the GUI design and that of the product using GUI shall be both considered. Hence, it held that the protection scope of Qihu’s GUI design patent shall be limited to the product of computer. Since Jiangmin’s software does not belong to the same or similar category of computer, Jiangmin’s behavior of providing the software does not constitute patent infringement. In this specific case, the users downloaded the software on their computers, which according to the Court does not constitute patent infringement. Even considering Jiangmin’s software as an “intermedium”, Jiangmin’s behavior of providing the software does not constitute indirect patent infringement. The decision gave rise to many debates, with experts arguing that existing patent law and regulations fail to properly protect GUI design. Continue reading “Chinese Court Issues First GUI Case Decision” »

Domain Name Registration and Protection in China

matrix-2502958_1920Today’s blog post on domain name registration and protection in China has been kindly shared with us by China IPR SME Helpdesk external expert Daniel Albrecht from Starke Beijing. The article first appeared on the Starke Beijing website. In this article, Mr. Albrecht gives a comprehensive overview of how and why to register and protect internet domain names in China. 

With the development and usage of World Wide Web, mobile internet and mobile phones, the Chinese E-Commerce market got an enormous growth. According to “Chinese E-Commerce Market Data Monitoring Report 2016”, the E-Commerce transaction amount reached 22.97 trillion RMB in 2016.

For both Chinese and international enterprises, to join this market is a trend but also a necessity. As one of the mainly path for entering E-Commerce market, the meaning of domain name registration is therefore getting more and more important.

Worldwide exist 330 million registered domain names currently. In China is the number in the amount of 50 million. China is becoming the second largest domain name market in the world. This market is interesting for both domain name service providers and enterprises as domain user. The foreign providers need to know the policy and rules for running a domain name business in China. And how to register and protect domain name in China is now an important issue that the enterprises should pay attention to.

Chinese government is trying to improve their laws and rules of internet administration service. The Ministry of Industry and Information Technology of the PRC (MIIT) released a new version of the “Measures for the Administration of Domain Names on Internet” on September 1, 2017. These new measures took effect on November 1, 2017. The rules should further promote the foreign investment to come into the Chinese registration market on one hand; on the other hand encourage the user to choose the registrar, which is a in China registered legal person. At the same time the rules accelerate also the development of domain name with Chinese characters. Continue reading “Domain Name Registration and Protection in China” »

IP Considerations for R&D in China

anatomy-1751201_1280As many European SMEs are considering having their R&D-intensive business in China, so in today’s blog post, we are taking a closer look on how to protect your inventions that require research and development in China. The article discusses the common issues relating to IP ownership and IP licensing.

Many European SMEs may not consider that they conduct any R&D activities in China because they do not have a laboratory or research facility there, but in reality, a high proportion of these companies engage in activities which fall under at least one of the terms: research or development. An example of R&D might include an SME that enters into a contract with a local company to use their engineers to develop a prototype into a commercial product or application.

Intellectual property is a critical consideration for European SMEs that come to China wishing to tap into the market potential for business growth, or the talent pool for technology development. When engaging in R&D in China, new intellectual property is being created, the rights to which need to be clearly defined from the outset to avoid disagreements later. Continue reading “IP Considerations for R&D in China” »

China’s trademark law: Evicting the squatters

Today’s blog post has been kindly drafted for us by Ms. Marie Ferey and Mr. Fabio Giacopello from HFG Law & Intellectual Property. Ms. Ferey and Mr. Giacopello use several high-profile case studies to discuss how companies can fight against trade mark squatters in China. 

Several high-profile cases show that trademark owners in China can succeed in removing squatters. Marie Ferey and Fabio Giacopello of HFG report.

When it was introduced the new Chinese Trademark Law (TML) didn’t seem tough enough against trademark squatting, but after three years of implementation we have found that the TML has many resources and provisions that can be used to stop malicious trademarks.

‘Face book’

On January 24, 2011, an individual called Hongqun Liu filed an application for registering ‘face book’ as a trademark before the Chinese Trademark Office (CTMO). It designated “vegetable canned food, potato chips” in class 29, “coffee beverage, tea beverage and candy” in class 30, and “fruit juice (beverage), iced (beverage), vegetable juice (beverage)” in class 32. The trademarks were preliminarily approved by the CTMO.

Social media platform Facebook later undertook legal action in order to invalidate the trademarks and succeeded at the Beijing No. 1 Intermediate Court. According to article 44 of China’s TML, the court stated: “If improper means are found in the examination stage of a trademark application, it is detrimental to restrain such means by cancellation of a registered trademark instead of rejecting the registration at the approval stage.”

In this case, Facebook succeeded in proving that Liu had filed multiple applications for ‘face book’ trademarks in many different classes. Besides, Liu has also registered reproductions and imitations of others trademarks with high reputation. Continue reading “China’s trademark law: Evicting the squatters” »