Despite the tortuous path ahead for the US election campaigns and the trials and tribulations of 2020, the US-China Phase One Trade Deal remains in place. As China begins to further open its financial market, foreign insurance institutions (FIIs) may be wondering whether non-US FIIs have any chance of benefiting from China's treatment of US insurers. If only US insurers benefit, would that be a Global Agreement on Trade in Services (GATS) violation or would it be GATS compliant?
The Supreme People's Court recently published the draft Judicial Interpretation on Several Issues Concerning the Application of Law in Civil Litigation on Trade Secret Violation. The draft judicial interpretation provides further details on several matters, including what can be protected as a trade secret, what protective measures a trade secret owner should apply and how damages should be calculated.
The App Special Governance Panel recently issued the 2019 Special Governance Report on Apps for Illegal Collection and Use of Personal Information, summarising governance efforts from January 2019. According to the report, illegal collection and use activities by apps will be cracked down on and enterprises' capacity to protect personal information will be greatly improved. Further, knowledge of personal information protection by apps should be extensively available.
The Supreme People's Court recently released the Opinions on Tightening Sanctions on Intellectual Property Infringement (for Consultation) for public opinion until 31 July 2020. The opinions contain 21 articles aimed at strengthening preservation measures, stopping infringement in a timely manner by ordering cessation, enhancing compensation and reinforcing criminal crackdown on IP violations.
According to the Notice of the People's Bank of China on Issuing Financial Industry Standards on Strengthening the Security Management of Mobile Financial Client Application Software, the National Internet Finance Association of China has organised a real-name filing for mobile financial apps. There are 73 apps in the first batch to be filed with the association.
The rapid spread of the COVID-19 pandemic has affected business operations worldwide. For many companies, business interruption (BI) as a result of the pandemic is one of the greatest operational risks of 2020. Although many companies are insured against BI, their coverage may not extend as far as they believe. For example, compensation under a BI policy is often based on the condition that damage to property has occurred. This article sheds some light on this rule.
The Supreme Court recently released an exposure draft on several provisions concerning evidence specifically relating to civil litigations involving IP matters. The draft contains five chapters and 53 provisions, encompassing aspects of the provision of evidence by the parties, the investigation of evidence, the collection and preservation of evidence, evidence exchanging and cross-examination, and evidence assessment and admissibility. The draft also attempts to codify some customary practices.
The Ministry of Industry and Information Technology (MIIT) recently established third-party testing institutions to monitor mobile apps and ordered app operators found to have infringed users' rights and interests to rectify this problem. The MIIT subsequently found that 16 app operators had failed to meet the rectification requirements and ordered them to comply with its request.
Alongside increased administrative action, Chinese companies increasingly bring private antitrust actions against rival companies, particularly in the technology sphere. These suits are often accompanied by an administrative complaint that can lead to investigations and penalties. This article clarifies China's hybrid antitrust system in order to better understand the antitrust risks facing foreign enterprises in China.
In the first quarter of 2020, the Network Security Department of the national public security organs reportedly developed its functions, strengthened the protection of citizens' personal information and investigated and dealt with 386 illegal apps for collecting citizens' personal information in accordance with the law. This article provides a brief summary of the department's activities.
To further regulate the dissemination of information online and protect the public interest, the Cyberspace Administration of China (CAC) recently launched a nationwide clean up the Internet campaign lasting for eight months from May 2020. According to the CAC, the campaign comprehensively covers various online communication channels and platforms and aims to remove illegal and harmful information from the Internet.
The Supreme People's Court recently released for public comment two judicial interpretations that address online IP infringement. Some of the drafts' articles reflect government commitments made during the first phase of the China-US Economic and Trade Agreement, including exempting brand owners from liability for submitting erroneous takedown notices provided that they are submitted in good faith and imposing liability for takedown notices and counter notifications that are submitted in bad faith.
The State Administration for Market Regulation and the National Information Security Standardisation Technical Committee recently released the Information Security Technology Classification Guide for the Classified Protection of Cybersecurity to provide methods and procedures for the classification and protection of information systems and other protection targets which do not involve state secrets (collectively known as 'targets of classified protection').
It is no secret that China's insurance industry presents good upside growth opportunities and China's insurtech market continues to grow rapidly. Foreign insurers are currently underrepresented in this market, even as former market barriers to entry continue to fall. This market presents great potential for foreign insurers, and Western insurers in particular have centuries of experience to share with their Chinese counterparts.
In March 2020 the China National Intellectual Property Administration released an exposure draft on the Guide for Determining Geographical Indications as Generic Names. The guide is considered a response to the first phase of the China-US Economic and Trade Agreement, since it completely absorbs the standards for determining generic names stipulated in the agreement.
The China National Intellectual Property Administration (CNIPA) recently issued the new Administrative Measures for the Use of Special Marks Reserved for Geographical Indications (GIs) (Trial). The special mark reserved for GIs is an official mark for consumers to verify GI-protected products in China and can be used by authorised producers, members affiliated with rights holders of GI collective trademarks, licensees of a GI certification trademark and other parties subject to CNIPA recordal and publication.
In response to the Sino-American trade agreement signed in January 2020, the Supreme People's Court (SPC) recently issued a notice soliciting public opinions on two documents concerning the enforcement of IP judgments. The promulgation of the SPC's documents may allow the judiciary to review the entire enforcement regime to further clarify and simplify not only enforcement procedures, but also bankruptcy procedures.
The Tianjin Cyberspace Administration recently issued a circular which requires the operators of apps (including mini-programs and website tools) for the prevention and control of COVID-19 to fulfil personal information obligations in accordance with the law, provide relevant information on personal information protection online and carry out security-based self-assessments and rectification processes, where required.
The Beijing IP Court recently held that two Tianjin-based companies had infringed Chinese Patent 201310030601.2, which is owned by the largest specialty mushroom grower in China, Shanghai Finc Food Co Ltd. This is the first case concluded in the Beijing IP Court to involve an infringement dispute concerning a patented microorganism per se.
The China National Intellectual Property Administration (CNIPA) recently invalidated Daimler's Design Patent 201430032306.6 regarding the new Mercedes-Benz Smart generation following a validity challenge by Shandong Lichi, a Chinese new energy vehicle company. The CNIPA held that the two designs in the patent at issue had no obvious difference to the prior designs, which had been published in news media.