On 23 April 2019 the Standing Committee of the National People’s Congress issued the fourth revision of the Trademark Law, which came into force on November 1st. This has attracted much attention from the international IP community as it addresses the issue of bad-faith registrations – one of the most significant challenges to protecting international brands in China.
The new law provides that bad-faith applications made with no intent to use will be rejected. In addition, the absence of requisite intent to use is now included as grounds for opposition and invalidation proceedings.
Moreover, the law allows for a higher amount of damages that can be claimed for trademark infringement; likewise, the highest amount of statutory damages was increased from RMB 3 million to RMB 5 million in an attempt to deter infringements.
The revision also establishes new guidelines for the Trial of Cases on Trademark Authorisation and Affirmation, as well as new articles on the legal liability of applicants of bad-faith application without intent to use.
For the full analysis on the recent revision, read the full article by Charles Feng at Lexology.