China’s Five-Year Plan calls for the development of a Chinese-style socialist rule of law that also has an impact abroad. The country is to distinguish itself as a first-choice jurisdiction for resolving cross-border disputes and promote the application of Chinese law abroad. International legal and regulatory norms should be amended and the Chinese legal system… Continue reading Patents and Data: Extraterritorial Effect of Chinese Laws
Category: Patents
China’s Drug Patent Linkage System
Innovation in China’s patent system: On July 4, 2021, the National Medical Products Administration (NMPA) and the China National Intellectual Property Administration (CNIPA) published methods for the early resolution of drug patent disputes. Thus, China now has a system of patent linkage. The patent linkage system links the market approval of generic drugs to the… Continue reading China’s Drug Patent Linkage System
Patentability of Software-Related Inventions
Since patents were traditionally intended to protect technical solutions such as those required for mechanical devices, it is still not possible to obtain a patent for a computer program per se. However, there are ways to include software in a patent application. In 2020, the China National Intellectual Property Administration (CNIPA) revised its examination guidelines… Continue reading Patentability of Software-Related Inventions
The New Stamp Duty Law also Reduces the IP Costs
On June 10, 2021, the new Stamp Tax Law of the People’s Republic of China (中华人民共和国印花税法) was passed by the National People’s Congress. It will reduce or even eliminate the stamp tax previously levied on certain legal documents, licenses or certificates issued by an administrative authority. The new law replaces the previous Transitional Stamp Tax… Continue reading The New Stamp Duty Law also Reduces the IP Costs
Undesirable Technology Transfer through Chinese Investment
The method is familiar, what is new is that a lawsuit is being filed over it. Highly innovative U.S. company Icon Aircraft has filed a lawsuit in Delaware Chancery Court against its Chinese majority shareholders, including major shareholder Shanghai Pudong Science and Technology Investment (PDSTI). Icon developed the A5 amphibious aircraft, which set new standards… Continue reading Undesirable Technology Transfer through Chinese Investment
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
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