Latest updates

Trademark use on signboards by unauthorised retailers
Wanhuida Intellectual Property
  • Intellectual Property
  • China
  • 04 May 2020

In China, foreign brand owners are becoming increasingly concerned about unauthorised retailers using their trademarks on signboards. The legal issue is complicated by the fact that these unauthorised retailers are selling genuine goods which originate from parallel imports.

Factoring in design space when determining similarity of designs
Wanhuida Intellectual Property
  • Intellectual Property
  • China
  • 13 April 2020

The Patent Law provides that a design for which a patent is granted must significantly differ from prior designs. Further, the similarity between a patent design and a prior design must be determined from the perspective of ordinary consumers in the relevant market. To this end, the Supreme People's Court uses certain parameters, including so-called 'design space'. This article analyses the application of these parameters in a recent design patent administrative suit.

Article 4 of new Trademark Law: an efficient weapon against bad-faith trademark filings
Wanhuida Intellectual Property
  • Intellectual Property
  • China
  • 30 March 2020

The fourth amendment of the Trademark Law came into force on 1 November 2019. The revised Article 4 of the law now states that a "trademark filed in bad faith without intention to use shall be rejected". This modified version is also mentioned in Article 44.1 of the law, which provides that any trademark registered in violation of Article 4 and any trademark registered by fraudulent or unfair means will be declared invalid.

Trends in biotechnology patent prosecution
Wanhuida Intellectual Property
  • Intellectual Property
  • China
  • 23 March 2020

China has witnessed a number of significant developments in biotechnology patent prosecution in recent months. The amended Patent Examination Guidelines, which the China National Intellectual Property Administration (CNIPA) has been implementing since 1 November 2019, brought significant changes to the use of human embryonic stem cells. Further, in one of the few cases of its kind, the Supreme People's Court overturned a CNIPA re-examination decision in a patent administrative litigation.

Use of recycled beer bottle without original embossed trademark deemed illegal
Wanhuida Intellectual Property
  • Intellectual Property
  • China
  • 02 March 2020

In November 2019 the China National Intellectual Property Administration (CNIPA) stated that when a trademark embossed on a bottle cannot be removed, recyclers should ensure that they cover said trademark with another label to avoid the likelihood of confusion. The CNIPA added that affixing another label bearing another trademark on a bottle, leaving the original embossed trademark visible, is insufficient to avoid confusion.

Supreme People's Court Honda OEM case: end of a long story?
Wanhuida Intellectual Property
  • Intellectual Property
  • China
  • 24 February 2020

When goods are manufactured in China by an original equipment manufacturer factory for export, the foreign buyer is not always the owner in China of the trademark that is affixed on the goods. But what if the trademark is registered in the name of a third party and such third party decides to sue the factory for infringement and stop the export of the goods? This is a long-debated question of which the courts have demonstrated different understandings.

SPC clarifies requirements for citing prior use defence in trademark infringement cases
Wanhuida Intellectual Property
  • Intellectual Property
  • China
  • 17 February 2020

A recent Supreme People's Court (SPC) decision clarified the requirements to cite the prior use defence under Article 59.3 of the Trademark Law. In this regard, the court stated that the only person eligible to cite this defence is the prior user themselves and that such use must have occurred prior to the registration application and the trademark owner's use of the registered trademark. Further, for the first time, the SPC made it clear that geographical scope is a key element in defining the original scope of use.

Disputes over geographical indications
Wanhuida Intellectual Property
  • Intellectual Property
  • China
  • 10 February 2020

Geographical indications identify goods as originating from a certain region or locality, where a given quality, the reputation or another characteristic of the good is essentially attributable to the natural or humanistic features of the indicated place. However, if an indication is accredited as a geographical indication in its country of origin, is this sufficient for it to be granted protection in China without being registered as a trademark?

Scope of reasonable protection in medical use claims
Wanhuida Intellectual Property
  • Intellectual Property
  • China
  • 03 February 2020

Claims are technical solutions seeking protection and should be a generalisation of the content sufficiently disclosed in a patent description. However, poorly drafted claims that include inappropriate generalisations risk being unsupported by their description. When ascertaining whether a claim of medical use invention is supported, it is crucial to reasonably interpret the scope of the claim.

SAMR publishes regulations discouraging bad-faith trademark applications
Wanhuida Intellectual Property
  • Intellectual Property
  • China
  • 13 January 2020

The State Administration for Market Regulation recently published Certain Provisions for Regulating Applications for Trademark Registration. The new regulations set parameters for determining bad-faith practices and bad-faith applications for trademarks that are not intended for use. They also introduce procedures and countermeasures for identifying not only bad-faith applications, but also perpetrators (ie, bad-faith applicants), facilitators and enablers (ie, unethical trademark intermediaries).

Is filing a trademark without intention to use an act of bad faith?
Wanhuida Intellectual Property
  • Intellectual Property
  • China
  • 23 December 2019

In China, the practice of defensive trademarks appears to be a guiding factor when determining the legitimacy of a trademark application, but said trademarks remain subject to cancellation in case of non-use. The main challenge is the bad-faith strategy of applying to register many different trademarks without the aim of using them. In this respect, the recent revision of the Trademark Law gives hope that such a highly prejudicial phenomenon will be progressively eradicated.

Assessing non-obviousness in improvement drug invention patents
Wanhuida Intellectual Property
  • Intellectual Property
  • China
  • 18 November 2019

Drug invention patents protect multiple types of invention, including compounds, crystal forms, dosage forms, preparation methods and uses. Nonetheless, in practice, it is difficult to patent improvement drug inventions in China. In proving the patentability of such an invention, patentees often face difficulties in establishing its non-obviousness (inventiveness).

TRAB releases statistical analysis on 2018 trademark administrative cases
Wanhuida Intellectual Property
  • Intellectual Property
  • China
  • 11 November 2019

The Trademark Review and Adjudication Board (TRAB) has released analysis of its decisions that were challenged before the courts in 2018. In addition to this analysis, the TRAB has provided comments on the admissibility of evidence in cancellation cases based on non-use for three consecutive years. This article provides an in-depth overview of the TRAB's findings.

IP enforcement strategies against counterfeit market sellers
Wanhuida Intellectual Property
  • Intellectual Property
  • China
  • 04 November 2019

So-called 'notorious markets' are markets which are well known for selling counterfeit products, often to tourists and visitors looking for good deals on famous branded products. Brand victories in the fight against physical market sellers and landlords selling counterfeit goods are all too rare. However, there are a number of practical strategies that can be employed to maximise success in the battle against counterfeits.

Beijing High Court guidelines on administrative trademark cases come with surprises
Wanhuida Intellectual Property
  • Intellectual Property
  • China
  • 26 August 2019

The Beijing High Court recently published an extensive set of guidelines on administrative trademark cases, which are divided into two parts: procedural issues and substantive matters. Although the guidelines clarify a number of matters (eg, the possibility of bringing an action against a ruling of the National Intellectual Property Administration when such ruling was remade in accordance with an effective court judgment), they contain a number of unpleasant surprises.

Dilemma and solution – enforcement of GUI patents
Wanhuida Intellectual Property
  • Intellectual Property
  • China
  • 12 August 2019

China has followed the global trend of protecting graphical user interfaces (GUIs) by acknowledging them as patentable designs in its amended Patent Examination Guidelines. However, under the Patent Law, designs are patentable only when filed together with a product which embodies the design. Since GUIs and software per se are not recognised as products, GUI patentees are faced with a dilemma if they attempt to challenge software developers for merely offering software which exploits their patented GUI design.

Offering to sell constitutes patent infringement
Wanhuida Intellectual Property
  • Intellectual Property
  • China
  • 29 July 2019

Offering to sell is an independent act of patent exploitation. However, it is not necessarily established on the premise that the product is physically manufactured or actually sold. In this context, the Beijing Intellectual Property Office recently had to consider how to determine whether an accused drug falls within the protected scope of a patent, without appraising a physical product, and the criteria needed to determine whether a product is being offered for sale.

Matters to be addressed in future revision of Trademark Law
Wanhuida Intellectual Property
  • Intellectual Property
  • China
  • 22 July 2019

In 2019 the Trademark Law was rapidly revised without public consultation. This revision, which was relatively limited, aimed to address the problem caused by trademark applications made in bad faith and without the intention to use and to increase the powers of the courts in judicial enforcement. This article analyses what remains to be done and what a fifth revision of the Trademark Law should cover.

CNIPA releases draft amendment to patent examination guidelines
Wanhuida Intellectual Property
  • Intellectual Property
  • China
  • 24 June 2019

The China National Intellectual Property Administration has released the Draft Amendment to the Patent Examination Guidelines. The draft proposes revisions to both substantive and procedural aspects in preliminary examination, substantive examination and invalidation proceedings regarding patents. This article analyses the major proposed changes to patent examinations.

Exception in determining functional features in patent infringement disputes
Wanhuida Intellectual Property
  • Intellectual Property
  • China
  • 17 June 2019

In patent infringement disputes, it is possible to narrowly construe a feature to the specific embodiment and its equivalent embodiment by arguing that a claimed feature is a functional one. The accused infringer usually adopts this strategy in its non-infringement defence to narrowly construe the scope of patent protection to obtain a favourable position in the infringement comparison. A recent case serves as a reference on how to determine the functional features in patent infringement disputes.

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