To What a Sum can a Trademark Infringement Constitute a Crime in China?

January 31, 2010

According to Interpretation by the Supreme People’s Court and the Supreme People’s Procuratorate on Several Issues of Concrete Application of Laws in Handling Criminal Cases of Infringing Intellectual Property, using an identical trademark on the same merchandise without permission of its registered owner in any of the following circumstances falls under the definition of “the circumstances are serious” stipulated in Article 213 of the Criminal Law and shall be sentenced to fixed-term imprisonment of not more than three years or criminal detention and shall also, or shall only, be fined for committing the crime of forging registered trademarks:

(1) the amount of illegal business volume being more than RMB 50,000 or that of illegal gains being more than RMB 30,000;
(2) forging more than two registered trademarks, the amount of illegal business volume being more than RMB 30,000 or that of illegal gains being more than RMB 20,000;
(3) other circumstances of a serious nature.

Whoever having any of the following acts that falls under the definition of “the circumstances are especially serious” stipulated in Article 213 of the Criminal Law shall be sentenced to fixed-term imprisonment of not less than three years but not more than seven years and shall also be fined for committing the crime of forging registered trademarks:

(1) the amount of illegal business volume being more than RMB 250,000 or that of illegal gains being more than RMB 150,000;
(2) forging more than two registered trademarks, the amount of illegal business volume being more than RMB 150,000 or that of illegal gains being more than RMB 100,000;
(3) other circumstances of an especially serious nature.

Whoever knowingly sells commodities bearing counterfeited registered trademarks, if the amount of sales is more than RMB 50,000, and thus falls under the definition of “the amount of sales is relatively large” stipulated in Article 214 of the Criminal Law shall be sentenced to fixed-term imprisonment of not more than three years or criminal detention and shall also, or shall only, be fined for committing the crime of selling commodities bearing counterfeited registered trademarks.

Whoever selling such commodities of more than RMB 250,000 in value falls under the definition of “the amount of sales is huge” stipulated in Article 214 of the Criminal Law and shall be sentenced to fixed-term imprisonment of not less than three years but not more than seven years and shall also be fined for the crime of selling commodities bearing counterfeited registered trademarks.

Whoever forges or makes representations of another person’s registered trademarks without authorization of the person or sells such representations in any of the following circumstances and thus falls under the definition of “the circumstances are serious” stipulated in Article 215 of the Criminal Law shall be sentenced to fixed-term imprisonment of not more than three years, criminal detention or public surveillance and shall also, or shall only, be fined for committing the crime of illegally making registered trademarks and selling illegally-made registered trademarks:

(1) the amount of the representations of other person’s registered trademarks forged or made without authorization or that of the sold representations of other person’s registered trademarks forged or made without authorization being more than 20,000 copies, or the amount of illegal business volume being more than RMB 50,000, or the amount of illegal gains being more than RMB 30,000;
(2) the amount of the representations of other person’s registered trademarks forged or made without authorization or that of the sold representations of more than two of other person’s registered trademarks forged or made without authorization being more than 10,000 copies, or the amount of illegal business volume being more than RMB 30,000, or the amount of illegal gains being more than RMB 20,000;
(3) other circumstances of a serious nature.

Whoever having any of the following acts that falls under the definition of “circumstances of an especially serious nature” stipulated in Article 215 of the Criminal Law shall be sentenced to fixed-term imprisonment of not less than three years but not more than seven years and shall also be fined for committing the crime of illegally making registered trademarks and selling illegally-made registered trademarks:

(1) the amount of the representations of other person’s registered trademarks forged or made without authorization or that of the sold representations of other person’s registered trademarks forged or made without authorization being more than 100,000 copies, or the amount of illegal business volume being more than RMB 250,000, or the amount of illegal gains being more than RMB 150,000;

(2) the amount of the representations of other person’s registered trademarks forged or made without authorization or that of the sold representations of more than two of other person’s registered trademarks forged or made without authorization being more than 50,000 copies, or the amount of illegal business volume being more than RMB 150,000, or the amount of illegal gains being more than RMB 100,000;

(3) other circumstances of an especially serious nature.

Source: www.ipr.gov.cn

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The Supreme Court of the People’s Republic of China has Issued Judicial Interpretation to Strengthen Patent Protection

January 31, 2010

The Supreme Court of the People’s Republic of China has issued the Interpretation of Issues in the Application of the Law in Patent Infringement Disputes Trials.

The judicial interpretation covered major law applicable issues occurred in current patent infringement trials, including the clear definition of the protection on patent right of invention and utility models and judging rules on infringement, judging rules on industrial design patent infringement, the counterplea on current technology and the application of the right of prior use deraignment, the acceptance of the lawsuit of the identification of non-infringement.

This law follows such guidance: First, giving interpretations according to the law. Based on the main function of judicial interpretation, it will strictly follow the patent law, law of civil procedure and other laws to give interpretation. Second, balance of interests. On one hand, meeting the need of national strategy, we need to protect the fruit and interests of innovation, urge enterprises to enhance their capacity for independent innovation, and push forward technological innovation and economic development. On the other hand, we will give a more precise interpretation for the patent claims; clearly set the range of protection and fully respect the publication and identifying function of patent claims. We will prevent the irrational expansion the patent protection which would surpass innovation and affect public interests. Third, principles of pertinency and maneuverability. We will closely focus on the application of fundamental and universal laws in the patent judicial practices. We will review and draw lessons from years’ judicial experience. The interpretation will provide practical and standard reference for trials when making judgments.

Dec. 28, 2009

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