Violation of data protection: RMB 50 million fine

On September 6, 2023, after a 14-month review, the Cyberspace Administration of China (CAC) announced that the private platform China National Knowledge Infrastructure (CNKI) was fined RMB 50 million for the unlawful processing of personal data. CNKI is one of the leading academic platforms, digital learning platforms and knowledge bases in China, and its main operators… Continue reading Violation of data protection: RMB 50 million fine

Evidence in Case of Trade Secrets Infringement

To successfully prove a trade secret infringement in court, viable evidence is required. The plaintiff can prove various forms of infringement: The acquisition of a trade secret through illegal means such as theft, bribery, or fraud; the defendant’s disclosure, use, or permission to use the acquired trade secret; the breach of confidentiality obligations; or the… Continue reading Evidence in Case of Trade Secrets Infringement

Compensation for Trade Secret Infringement

The Beijing Intellectual Property Court has published a guide for the protection of trade secrets. This also deals with the possibilities of claiming damages in the event of trade secret infringements. However, protecting trade secrets in court requires a clear statement of the infringement and the resulting damages. Companies should ensure that they have all… Continue reading Compensation for Trade Secret Infringement

Patents and Data: Extraterritorial Effect of Chinese Laws

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

Regionalization: Avoiding Loss of Control

Many international companies are currently considering regionalizing their production and upstream supply chains for specific markets to a greater extent and making their subsidiaries in different world regions more independent of each other. The goal is to secure supply chains by deepening regional value creation and to better meet regional customer needs through regionally manufactured… Continue reading Regionalization: Avoiding Loss of Control

DSL: What is “Important Data”?

The Data Security Law (DSL), which further strengthens China’s regulation of data security, will come into effect on September 1, 2021. The critical question for foreign companies is to what extent they will be affected by the DSL. The crux of the matter here is the so-called “important data.” This special category of data is… Continue reading DSL: What is “Important Data”?

Chinese GDPR: On the Safe Side

China has taken another step toward data protection with the release of the second draft revision of the Personal Information Protection Law (PIPL). Although not the final law, it appears that personal data protection legislation has entered the final stages, and it is believed that the PIPL will soon be formally enacted. It is not… Continue reading Chinese GDPR: On the Safe Side

The Obligation to Localize Data Affects More Companies

When it comes to data protection in China, data localization is inevitable for foreign companies. The basic requirements are currently mainly set out in the Cyber Security Law, and many service providers such as the financial sector, providers of public health information, and online cab booking services have issued their own data localization requirements. The… Continue reading The Obligation to Localize Data Affects More Companies

China’s New Biosecurity Law Affects European Companies

China’s Biosecurity Law, which comes into force on 15 April 2021, is the new framework for the nearly one hundred laws, regulations and rules already in place in this area. It contains regulations on a wide range of topics – including the prevention and control of epidemic diseases, the establishment of a risk monitoring and… Continue reading China’s New Biosecurity Law Affects European Companies

Stricter Criminal Law Punishes Industrial Espionage

China continues to tighten the legal reins in the prosecution of industrial espionage – even for foreign companies. In October 2020, the National People’s Congress published a new draft amendment to China’s criminal law, which includes better protection of trade secrets. In recent months, China has issued a number of amendments to the law or… Continue reading Stricter Criminal Law Punishes Industrial Espionage