China Daily

Supreme Court tightens IP protection

- By CAO YIN caoyin@chinadaily.com.cn

China’s top court pledged to harshly punish people who infringe on intellectu­al property rights, especially those stealing business secrets, to intensify IP protection and promote technologi­cal innovation.

The Supreme People’s Court issued a guideline on fully strengthen­ing judicial protection of IP rights on Tuesday, ordering courts at all levels to safeguard business secrets, ensure fair competitio­n of enterprise­s and boost technologi­cal creativity by improving the quality of IP-related cases.

Courts nationwide should give heavier criminal punishment­s to people who steal, threaten or lure others to obtain business secrets and those who seriously damage IP rights by other means, according to the guideline.

A report released by the top court also on Tuesday showed that courts at provincial, city and district levels filed 5,242 IP-related criminal cases last year, up 21 percent year-on-year.

The crimes mainly covered those falsifying registered trademarks, illegally making or selling trademarks and infringing on trade secrets, it said.

“To strictly combat IP-related offenses, we began giving punishment­s and bigger compensati­on to the offenders when ruling on cases, in a move to increase infringeme­nt cost and protect IP right owners,” said Jiang Bixin, vice-president of the top court.

Demanding increasing­ly intensifie­d efforts in combating the IPrelated crimes, he also urged courts across the country to continue crackdowns against improper trademark applicatio­ns to better regulate the trademark registrati­on by rule of law.

“Registerin­g a trademark is for its use, not for making a deal, so those who seek huge profits through trademark squatting or hoarding must be dealt with,” said Lin Guanghai, a judge from the top court.

“Such improper trademark registrati­on seriously violates the principle of good faith and disturbs the market order.”

Besides alleviatin­g the problem through rulings, Chinese courts have improved trademark registrati­on informatio­n exchanges with IP-related government department­s as a joint force to tackle violators, he added.

With fast developmen­t of the economy and technology, the country has seen rapid IP growth in recent years, which has also brought a large number of disputes.

According to the top court’s report, courts at each level filed more than 481,000 IP-related cases in 2019, most of which were in Beijing, followed by Shanghai and Jiangsu province.

To efficientl­y solve the booming disputes and improve the quality of case hearings, Yang Boyong, a judge from the Beijing High People’s

Court, said on Tuesday that they took various measures, including drafting legal documents to unify ruling standards, visiting technology enterprise­s to understand advanced technology and having seminars with experts to ensure accuracy in the applicatio­n of the law.

Last year, a national-level IP Court was also establishe­d in the capital as a new division under the top court for handling appeals of civil and administra­tive patentrela­ted cases.

The new court has played a bigger role in streamlini­ng the appeal process by allowing litigants to bypass top provincial courts if they are not happy with rulings made by intermedia­te courts at city or prefecture levels and also helping prevent inconsiste­ncy in legal applicatio­ns.

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