China Expands IP Legal System

The Chinese government is focusing more on legal certainty in intellectual property and is condensing the network of agencies responsible for IP. Currently, the structure of courts handling IP infringement lawsuits is organized according to the principle of “1 plus 4 plus 22.” Here, the number 1 represents the IP court at the national level,… Continue reading China Expands IP Legal System

Market Entry with Strong IP: Not Always Recommended

Western companies are often enthusiastic about their innovative technology and rely on their strong patents to be monetized globally. But what about the company’s own competitive advantage in the Chinese market and in third markets already served by strong-patent Chinese competitors? Does the company have freedom of exercise there, or does it infringe already existing… Continue reading Market Entry with Strong IP: Not Always Recommended

IP Due Diligence Reduces Risk of Investments in Startups

Because new technologies such as artificial intelligence, Big Data, the Internet of Things and blockchain are developing rapidly in China, Chinese high-tech startups have become the most popular investment targets for multinational companies. While intellectual property is the greatest asset of these startups, it also poses a high risk to investors. Is its IP protected… Continue reading IP Due Diligence Reduces Risk of Investments in Startups

To Punitive Damages by Sending Lawyer’s Letter

In protecting intellectual property rights in China, the effect of a lawyer’s letter is generally limited. Lawyer letters have also been sent with caution because they can have unpleasant side effects. They can not only trigger aggressive countermeasures from the recipient, but also damage the legitimate rights and interests of the opponent, triggering unfair competition… Continue reading To Punitive Damages by Sending Lawyer’s Letter

Anti-Suit Injunction (ASI): The Global Legal Battle over SEP Licenses

A new global trade war is brewing between China and the West over licenses for standard essential patents (SEPs), which are supposed to be granted under FRAND (fair, reasonable and non-discriminatory) terms. Chinese companies are increasingly trying to obtain cheaper licenses for their cell phones via anti-suit injunctions (ASI). Experts are already talking about an… Continue reading Anti-Suit Injunction (ASI): The Global Legal Battle over SEP Licenses

China Is Creating a Huge Reservoir of Prior Art

When it comes to patents, the U.S. increasingly finds itself at a disadvantage in the innovation race with China. For example, AI patent applications from China significantly outpace those from the U.S., which means that China’s patent applications hurt U.S. innovators because they create a huge reservoir of “prior art.” This dramatically increases the amount… Continue reading China Is Creating a Huge Reservoir of Prior Art

China Reports IP Data from 2020

In January 2021, the China National Intellectual Property Administration (CNIPA) released the 2020 statistics on patents, trademarks and geographical indications (GI). According to the data, Chinese IPRs were not affected by Covid-19 in 2020, and in fact rose to a new level. This can be seen in three areas. For example, CNIPA granted a total… Continue reading China Reports IP Data from 2020

CSCS is Extended to the Field of IPR

China intends to expand the Corporate Social Credit System (CSCS). In the IPR field, it is intended to establish an IPR Credit System to strengthen the protection of rights holders and fight counterfeiters. So far, the application of the CSCS in the field of IPR is still limited to serious infringements of patents and to… Continue reading CSCS is Extended to the Field of IPR

New Regulation in Patent Law

China strengthens the interests and rights of patent owners, including punitive damages and provisions on abuse of patent rights. In current judicial practice, due to the non-substantive examination for utility model and design applications, malicious applicants apply for and are eventually granted patents that do not meet patent requirements. These malicious applicants then use their… Continue reading New Regulation in Patent Law

Expansion of Design Protection

An amendment to China’s Patent Law, which comes into effect on June 1, 2021, will provide more protection for designs in the future. Registered designs (design patents) are intended to protect the aesthetic and commercial value of a product, but were previously only valid for ten years. This meant that valuable designs could be legally… Continue reading Expansion of Design Protection