Tag Archives: Business

Handling of your Trade Secrets in South-East Asia

Posted on by
Reply

MP900285073[1]Many European SMEs are thinking about bringing their technology to South-East Asia, but are concerned about IP issues. In today’s blog post, we discuss another IP protection measure – namely trade secrets. Trade secrets are a valuable but often overlooked means of IP protection that SMEs wishing to bring their technology to South-East Asia should be aware of, as good trade secret protection can be the key to successfully bringing your technology to South-East Asia. 

What are Trade Secrets?

Trade secrets are a highly valuable form of intellectual property that nearly all businesses in all industries and sectors possess. However, they are frequently overlooked by businesses, partly because there is confusion about what actually constitutes a trade secret. So what is a trade secret?

According to the World Intellectual Property Organization (WIPO), any confidential business information that is of considerable commercial value to businesses and that provides an enterprise with a competitive edge may be considered a trade secret. In practice, this could be:

  • sales methods
  • distribution methods
  • consumer profiles
  • advertising plans
  • pricing strategies
  • lists of suppliers and clients
  • manufacturing processes

In other words, more often than not trade secrets are the ‘know-how’ that a business builds up over time. Typically, the longer the SME is in business the more valuable its trade secrets will become, and the more its business grows the more its competitors will seek to discover this valuable working knowledge. Therefore, it is increasingly important to take steps to protect trade secrets.

Unlike some other forms of IP rights, such as patents and copyrights that have a finite term, trade secrets can theoretically enjoy an infinite term of protection, so long as the trade secret remains just that – a secret. Furthermore, to be enforceable by law it is generally required that as well as not being known to the public and providing economic benefits to the holder, the secret should be subjected to reasonable efforts to protect it (and there should be evidence of these efforts). Continue reading “Handling of your Trade Secrets in South-East Asia” »

Dealing with Partners and Employees: Writing a Good Manufacturing Non-disclosure Agreement in China

Posted on by
Reply

MP900438585There are various ways in which European SMEs can protect their IP. The most obvious way is to register IP in the country where SMEs do business in. At the same time, another, sometimes overlooked, way to protect IP is using well-written contracts. The people and companies that SMEs do business with in China, and therefore contract with, will often use the European SMEs’ IP to varying degrees. Therefore, it is also very important for the European SMEs to protect their IP with well-written manufacturing contracts. Today’s blog post gives some  practical tips on how to write good manufacturing non-disclosure agreements for doing business in China. 

Defining protected information: keeping everyone on the same page

NNN agreements should clearly define which rights are being disclosed or licensed, their nature, and their scope. Clear mechanisms for identifying and marking, accounting for, and maintaining secrecy for this information (or indications of who will bear these responsibilities, what general types of information should be considered confidential, or processes for retroactively marking material as confidential) should be present. If desired, additional clauses can also outline what types of information will not be considered confidential. Naturally, before these types of information can be identified, an SME should first understand just what its trade secrets are. Conducting an IP assessment and audit can identify key IP which was otherwise taken for granted or not fully appreciated by the SME and can assign a value to the IP which will make calculating contract damages much easier.

While the contract is in force, these rules should be strictly followed. Over the course of the contract, additional IP may be generated as a result of the work of employees or independent innovations on the part of the manufacturer. NNN agreements can also include clauses which dictate that all such IP belongs to the SME and can thereby avoid future disputes. Note, however, that China places restrictions on the export of some technology—meaning that agreements automatically granting new IP to the SME could be struck down in court. Continue reading “Dealing with Partners and Employees: Writing a Good Manufacturing Non-disclosure Agreement in China” »

Drug Innovation through Better Enforcement: IPR Protection in the Pharmaceutical Industry in China

Posted on by
Reply

singapore-desig_20936179_291437f5e9d7dd7c8ce0b4b67e7eddf6629f8e0d (1)Underpinned by the governmental support, the pharmaceutical industry is booming in China, offering some promising business opportunities for the European SMEs. However, despite the improvements in Chinese IP laws and regulations, IP infringements are still commonplace in China. Thus, European SMEs wishing to do business in the pharmaceutical sector in  China need to pay attention to IP issues. Today’s blog post discusses IP protection measures in the Pharmaceutical industry, focusing especially on patents and trade secrets as the main IP protection measures in the Pharmaceutical Industry. 

IP Protection in the Pharmaceutical Industry

China is one of the largest pharmaceutical markets in the world. Its development is high on the government’s reform agenda, as they seek to provide stimulus and intensify research and development (R&D) activity. This, coupled with enhanced health awareness among a rapidly growing patient pool, makes the country an increasingly attractive market for foreign business. The China IPR SME Helpdesk explains the current intellectual property regime in China, and says that better enforcement will create a more secure environment that can attract more R&D and stimulate higher levels of innovation in China’s pharmaceutical industry.

The level of intellectual property (IP) enforcement in China has constrained pharmaceutical companies’ efforts in carrying out R&D activities in the country. However, China’s Patent Law is soon due to be revised, and is expected to foster greater innovation and slow the proliferation of counterfeit drugs. A growing number of companies have become increasingly attracted to having an R&D center in China, as a local presence provides generally lower cost base and favorable tax rates.

Patents

China’s Patent Law protects technological innovations for active pharmaceutical ingredients, drug combinations, pharmaceutical formulations, preparation processes of pharmaceutical products, new medical indications of a known drug and medical devices, among others. Most pharmaceutical innovations are protected by invention patents which provide 20 years’ protection. Continue reading “Drug Innovation through Better Enforcement: IPR Protection in the Pharmaceutical Industry in China” »

Using Customs to Fight Counterfeiting in Singapore: A Case Study

Posted on by
Reply

shutterstock_118547785The Customs can often work as the first line of defense, when companies are dealing with counterfeiters. However, not many SMEs are aware of the different cooperation opportunities with the customs. Thus, today’s blog post focuses on how the SMEs can use the customs in order to protect their IP in Singapore, one of the busiest ports in the  world. In order to give practical advice , the blog-post discusses a case-study on customs cooperation in Singapore. 

Singapore’s port is one of the world’s busiest ports and therefore a major transit point for imports and exports between Europe and Asia. EU exporters in a number of sectors have set up distribution centers in Singapore’s harbor from where they serve the wider region. As Singapore’s port is a major transport hub, it is also at high risk of shipments of counterfeits. To promote vigilance and bolster the safety and security of trade, the EU-Singapore Free Trade Agreement (ESFTA) contains provisions to strengthen cooperation in the field of Customs. In particular, the ESFTA will facilitate the granting of assistance based on reasonable suspicion of an operation being in breach of customs legislation and will promote greater exchange of information between authorities.

European SMEs can liaise with Customs to fight against counterfeiting of their products. The Singapore Customs is a governmental agency of the Ministry of Finance and their objective is the implementation of customs and trade enforcement measures including the checking and detainment of suspected infringing goods crossing the border. The Singapore Customs has the authority to detain imports, exports and re-exports of IPR- infringing goods. Continue reading “Using Customs to Fight Counterfeiting in Singapore: A Case Study” »

Trade Marks in China: Q&A for the International Comparative Legal Guide to Trade Marks 2017

Quote

Posted on by
Reply

For any EU SME operating in China, Trade Marks will be an important IP asset to have. So in order to meet any questions you might have, our China IPR SME Helpdesk expert Mr. Charles Feng from East & Concord Partners based in Beijing has kindly drafted for us a very useful and informative blog post on Trade Mark Protection in China. In this comprehensive Trade Mark guide, our Q&A with Mr. Feng will give you all the answers you need on Trade Mark protection in China. 

1          Relevant Authorities and Legislation

1.1       What is the relevant trade mark authority in your jurisdiction?

The Trademark Office (“TMO”), which is affiliated with the State Administration for Industry and Commerce, is the authorised government agency in charge of trademark administration including examinations of trademark applications, oppositions as well as the cancellation of trademark registrations for three years of non-use.  The Trademark Review and Adjudication Board (“TRAB”) oversees the examination of various applications for appeals against the TMO’s decisions, as well as trademark invalidation matters.

In addition, local Administrations for Industry and Commerce (“AICs”) or Market Supervision Administrations (“MSAs”) are in charge of the administrative enforcement of trademark rights.

People’s Courts have jurisdiction over trials for trademark-related administrative or civil litigation.

1.2       What is the relevant trade mark legislation in your jurisdiction?

The most fundamental legislations include the Trademark Law of the People’s Republic of China (“PRC Trademark Law”), the Implementing Regulations of the PRC Trademark Law as well as multiple Judicial Interpretations related to trademark law which are issued by the Supreme People’s Court.

In addition, the Anti-Unfair Competition Law of PRC provides protection to unregistered marks such as distinctive names, packaging or decoration of famous goods.  The criminal code provides protection against counterfeiting activities where the illegal turnover exceeds a certain amount.

Continue reading “Trade Marks in China: Q&A for the International Comparative Legal Guide to Trade Marks 2017” »