IP TIPS and WATCH-OUTS in Indonesia

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indonesiaIn this blog post, we will provide you with all the basics you need to successfully protect your Intellectual Property Rights in Indonesia. Known for its diverse and rapidly growing market, Indonesia provides opportunities for many European SMEs interested to expand their business into South-East Asia. This blog post will give a concise overview of IP tips and watch-outs for Indonesia – enjoy.

General IP TIPS and WATCH-OUTS in Indonesia

  • Indonesia recognises ‘well–known’ trade marks (recognition of this is made on a case-by-case basis), but only to the extent that they may be used to prevent a third party from registering a similar trade mark, at least in theory. Often, ‘bad-faith’ registrations (intentionally registering someone else’s pre-existing IP) get registered by third parties and the rightful owner has to go through the expensive process of filing proceedings in the commercial court to cancel these bad-faith registrations.
  • When the need arises to enforce rights through the authorities, it is best that IP rights owners be aware of recent media coverage of corruption cases in Indonesia. The fact that corruption cases have been surfaced demonstrates the government’s efforts at cleaning up corruption cases; however it is still worth discussing a potential corruption risk with your attorney when enforcing your rights via the authorities.
  • Because IP rights enforcement in Indonesia can still be problematic, it is essential to register your rights there in order to stand a chance of defending them. Intellectual Property Rights are territorial in nature, which means that registrations in one country’s jurisdiction are not automatically enforceable in others, and therefore registrations in multiple countries may be necessary, particularly for businesses looking to internationalise. Indonesia operates under a ‘first-to file’ system, meaning that the first person to file an IP right in the Indonesian jurisdiction will own that right once the application is granted.

Continue reading “IP TIPS and WATCH-OUTS in Indonesia” »

Handling of your Trade Secrets in South-East Asia

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” »

Handling Trade Secrets in China: IP Case Study

MP900387752In today’s blog post we are taking a closer look at a rather overlooked means of IP protection, namely trade secrets. Even though, trade secrets are a type of IP that does not require formal registration, there are still some aspects to pay attention to when using trade secrets to protect your inventions in China. We’ve chosen a case study involving a Dutch SME to highlight some of these aspects. 

Trade Secrets in China 

Nearly all businesses in all industries and sectors possess trade secrets. Trade secrets are a valuable and highly useful form of intellectual property that are nevertheless often undervalued and overlooked by their owners. This is not least the case in the service sector where the relative value of trade secrets as intangible assets can be extremely high. For example, a logistics firm may not hold any patents or few trade marks and substantial copyrights, but the value of its operations could heavily derive from information contained within client lists and standard procedures.

A considerable advantage for trade secrets is that 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. The main difference between protecting something by patent or as a trade secret is that, while technical information is publicly disclosed in patents, it is kept away from the public eye in trade secrets. A trade secret can last forever as long as the confidentiality measures that protect it continue to work. An invention patent typically expires after 20 years.

On the other hand, legal protection of trade secrets is easily lost. Once the information becomes public information, it no longer enjoys any legal protection. As a result, prevention is the golden rule when it comes to protecting your trade secrets, because once your secret is out, there is usually very little that you can do about it. China, like most other countries, provides a legal framework for the protection for trade secrets, and the law provides for remedies in the event that your trade secrets are unlawfully disclosed. Continue reading “Handling Trade Secrets in China: IP Case Study” »

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

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” »

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

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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” »