Writing a Good Manufacturing Non-disclosure Agreement in China

MP900438585In today’s blog post we are discussing how to protect IP when seeking Chinese manufacturers and will address what it takes to design an NNN (non-use, non-disclosure, and non-circumvention agreements) which can pose enough of a credible threat to dissuade contract violations.

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 “Writing a Good Manufacturing Non-disclosure Agreement in China” »

Trade Fairs in China: Steps to Protect You IPR

Page 1. 1.Protecting your IP at Trade FairsIn today’s blog post we are taking a closer look on how European SMEs can protect their intellectual property when they attend trade fairs in China. You’ll learn how to prepare for a trade fair, what to do and pay attention to during the trade fair and, of course, what to do in a case that someone is violating your IPR rights.

Trade fairs are an excellent opportunity for a business to showcase their new products and scout out business partners for manufacturing, promotion, and distribution. Unfortunately, in China these exhibitions are a common prowling ground for infringers, so it is of utmost importance to ensure all intellectual property precautions are undertaken. It is not sufficient to merely gain intellectual property rights for a company’s assets – steps should be taken before, during and after a trade fair to ensure maximum protection. This article takes a look at some of the steps foreign businesses should take.

Before the trade fair: fail to prepare, prepare to fail

Determine your strategy in advance of the trade fair. Do you want to take enforcement action at the fair, or only use the fair as an opportunity to gather evidence? If you are not certain about securing all necessary evidence and paperwork to carry out an action at the fair, gathering evidence there first may be a better strategy.

Prepare the required documents – some may need to be notarised and legalised which can take up to two months. The required documents include: Continue reading “Trade Fairs in China: Steps to Protect You IPR” »

How to Remove Counterfeit Goods from E-Commerce Sites in South-East Asia

2. Credit CardE-commerce has also been growing in South-East Asia and it’s attracting many European Companies. Together with the growth of e-commerce, the presence of counterfeit goods on these e-commerce sites has also been growing. In today’s blog post we are discussing how to remove counterfeits from the major e-commerce sites like Lazada in South-East Asia. 

A growing middle class coupled with increasing internet access has led to fast-paced e-commerce growth in South-East Asia in the past decades. The middle-class population of ASEAN, according to expert estimates, may grow from 190 million in 2012 to 400 million in 2020[1] . Additionally, there are approximately 200 million people in South-East Asia with access to the internet and this number is expected to grow three-fold by 2025. E-commerce in South-East Asia can thus offer many promising business opportunities for the European SMEs.

Besides being a forum for legitimate vendors and original products, the internet is also used by unscrupulous businesses as a platform for the distribution of counterfeit goods which infringe intellectual property rights of others. The explosive growth in access to the internet has resulted in counterfeiters to move their illegal activities online. Online e-commerce websites might become easy and anonymous options for counterfeiters to reach out to potential customers as well as popular social media platforms. A recent study reported that 20% of 750,000 posts on the popular social media platform Instagram alone in relation to well-known fashion brands involved the offer of counterfeit products for sales, with many of the vendors identified to be based in China, Malaysia and Indonesia among others[2]. Continue reading “How to Remove Counterfeit Goods from E-Commerce Sites in South-East Asia” »

The realities of doing business in China – Copyrights and Trade Marks

dreamstime_m_24720610In today’s blog post we are taking a closer look at copyrights and trade mark rights in China. You’ll learn how to protect these right in China and how to create a comprehensive trade mark and copyright protection strategy before entering China’s market.

China’s intellectual property rights (IPR) system has come a long way in the past 30 years, and development continues – a revision of the trade mark law came into force in May, paving the way for more thorough protection for rights holders. Although China is now coming into line with international IPR standards, there are still many ways in which the system differs from the European one. Below, the China IPR SME Helpdesk takes a look at two major types of intellectual property rights, trade marks and copyright, and considers how these differ from European standards.

Copyrights

The Chinese system for copyrights is very similar to that used in Europe. Copyrights last for 50 years from the date of creation, or the lifetime of the author plus 50 years, and it protects a range of creations, such as artistic works, books, websites, or computer software. As in Ireland, copyrights are automatically protected as long as the creator can be clearly identified; however, unlike most countries in Europe, China also offers copyright registration for owners, a process handled through the Copyright Protection Centre of China (CPCC). Continue reading “The realities of doing business in China – Copyrights and Trade Marks” »

IP Protection for the ICT Industry in Malaysia

board-453758_1920In today’s blog post we are discussing IP protection in Malaysia’s ICT industry, which has recently been offering many promising business opportunities for the European SMEs. You’ll  learn more about patent and design protection and how to ensure that your brand is safe from counterfeiting. 

Malaysia has a booming ICT industry with the ICT sector being forecasted to contribute about 20% to the country’s GDP by 2020.[1] The ICT sector is being further supported by Malaysian government that has taken special interest in developing the Internet of Things (IoT) and cloud computing. The government namely hopes that adoption of cloud computing and building on the National Broadband Initiative, would accelerate Malaysia’s development into an advanced economy[2].

As the government is investing heavily into ICT- related projects like developing smart city infrastructure or strengthening cybersecurity, the ICT sector will offer many promising business opportunities for the European SMEs whose top-notch technology and know-how are highly sought after through encouragement of foreign investments in the ICT sector.

European ICT companies should, however, pay attention to protecting their IP rights when planning their business strategy for Malaysia’s market, because IP infringements are still relatively common in the country. Well-managed IP is often a key factor for business success and neglecting to register IP rights in Malaysia could easily end SMEs’ business endeavor in the country. Thus, a robust IPR strategy is needed, when entering Malaysia’s market. Continue reading “IP Protection for the ICT Industry in Malaysia” »