Internet Society of China Published the Convention of Self-Discipline for Internet Terminal Security Service

(By You Yunting) On December 4, 2013, Internet Society of China (the “ISC”) published the Convention of Self-Discipline for Internet Terminal Security Service (the “Convention”) in Beijing. Those eight Internet terminal security service providers, such as Tencent (0700.HK), Baidu (NASD: BIDU), QIHOO (NYSE:QIHU), Kingsoft Corporation Limited (03888.HK), RISING, Jiangmin Technology, TOPSEC and NetIQ Mobile Inc, signed on the Convention. Afterwards, there are about 23 companies, i.e. SOHU (NASDAQ:SOHU), Sogou, Xunlei and Xiaomi Technology signing related documents in favor of the Convention. The Convention, comprising of 6 chapters and 27 articles, aims to protect legal interests of users, maintain a fair and harmonious market competitive environment and promote the healthy development of internet industry.

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How China Government Regulates Risk Prevention for Bitcoin Transaction?

(By You Yunting)  The Circular on Issues Concerning Risks Prevention forBitcoinwas published on December 3rd in regards to regulating the bitcoin bubble, a virtual currency bubble, that has exploded in popularity in China and soared in value in recent months.The circular was issued jointly by People’s Bank of China, Ministry of Industry and Information Technology (the “MIIT”), China Banking Regulatory Commission (the “CBRC”), China Securities Regulatory Commission (the “CSRC”) and China Insurance Regulatory Commission (the “CIRC”), which states that Bitcoin has no legal status of monetary equivalent and must not circulate on the Chinese market.

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MOC Issues New Censorship Regulation on Online Game and Online Music

(By You Yunting) Pursuant to the Implementing the Administrative Measures for Content Self-review of Network Culture Operators that came into effect on December 1, 2013, an Internet entity holding an Internet Culture Business License may be entitled to self-examine the contents of online game and online music but the operators of said internet entity need to attend a content self-review training hosted by the Ministry of Culture.

The specific contents are as follows:

1.      Licensed Scope of Business:

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China’s Latest Laws and regulations in October 2013, Part II

7. Circular by the General Office of the CPC Central Committee and the General Office of the State Council on Cessation of New Construction of Buildings, Halls and Chambers and Clearing Up Housing for Office Use of Party and Governmental Offices

 

Promulgated on July 23, 2013 by the General Office of the CPC Central Committee and the General Office of the State Council, the Circular on Cessation of New Construction of Buildings, Halls and Chambers and Clearing Up Housing for Office Use of Party and Governmental Offices was created in order to ensure the cessation in every aspect of the new construction of buildings, halls and chambers, and to regulate the management of housing for office use.

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China Attempts to Utilize Patent to Protect Graphical User Interface for Software

(By You Yunting) In the epic battle of Apple Inc. v. Samsung Electronics Co. starting from 2011, Apple filed its lawsuit against Samsung in the United States, alleged that Samsung infringed several graphical user interface (the “GUI”). If Apple filed its lawsuit against Samsung in China, however, its complaint regarding infringing several GUI may not be filed because at present China has not accepted applications of patent for GUI. Nevertheless, good news comes that China’s governments are changing their attitude on the application for GUI.

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China’ s Latest Laws and regulations in October 2013, Part I

1.Provisions of the Supreme People’s Court on the Procedures of Dealing with Self-Compensation Cases

Promulgated on July 26, 2013 by the Supreme People’s Court, the Provisions on the Procedures of Dealing with Self-Compensation Cases were effective on September 1, 2013.

The self-compensation cases in the Provisions refer to the cases of state compensation handled by a People’s Court where such court is the judicial organ liable for the compensation. The Provisions further indicates that the State compensation groups of primary People’s Courts, and compensation committees of the Intermediate People’s Courts or the People’s Courts of higher level shall each be responsible for the handling of self-compensation cases at the same level. In regard to compensation applications made by a claimant, the People’s Courts shall conduct an examination and file each case in accordance with the Provisions of the Supreme People’s Court on the Work of Case Filing of State Compensation Cases.

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Four Problems of China Supreme Court‘ s Judicial Interpretation on Crackdown of Web Rumor

(By You Yunting) Recently, the Supreme People’s Court and the Supreme People’s Procuratorate jointly issued the Interpretations on Some Issues Concerning the Application of Laws for in the Handling of Defamation via Information Networks and Other Criminal Cases (hereinafter the “Judicial Interpretation”).

Upon reading the whole text of the Judicial Interpretation, in the author’s opinion, this Judicial Interpretation has a bad negative impact upon the rule of law and freedom of speech rather than the positive value of cracking down on web rumors and purifying the environment of internet, because of considering that this Judicial Interpretation attempts to use the idea of “governing the country with severe law during the trouble times” to solve the web rumors so that current crackdown against web rumors is too hard and the legislative proceedings of this Judicial Interpretation are defective .
II. The Problem in Violation of the Principle of Legality

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Full text of 2013 China Trademark Law

Notice: On August 30, 2013, China issued a new revision of Trademark Law which will come into force on May 1, 2014. We spent a week to translates the new revision of the Trademark Law into English and post it today. If any one needs to reprint our translated revision on web, please note the following content on the reprint page: This law is translated by Bridge IP Law Commentary http://www.chinaiplawyer.com.

                  Trademark Law of the People’s Republic of China

   ( Adopted at the 24th Session of the Standing Committee of the Fifth National People ‘s Congress on August 23, 1982, as amended according to the “Decision on the Revision of the Trademark Law of the People’s Republic of China”  adopted at the 30th Session of the Standing Committee  of the Seventh National People’s Congress on February 22, 1993, and  the “Decision on the Revision of the Trademark Law of the People’s Republic of China” adopted at the 24th Session of  the Standing Committee of the Ninth National People’s’ Congress on October 27 2001, and amended for the third time according to the “Decision on the Revision of the Trademark Law of the People’s Republic of China” adopted at the 4th Session of  the Standing Committee of the Twelfth National People’s’ Congress on August 30, 2013 )

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Trademark Law of the People’s Republic of China (2013, Comparison Version)

Noctie: On August 30, 2013, China issued a new revision of Trademark Law which will come into force on May 1, 2014. We spent a week to translates the new revision of the Trademark Law into English and post it today. If any one needs to reprint our translated revision on web, please note the following content on the reprint page: This law is translated by Bridge IP Law Commentary http://www.chinaiplawyer.com.

To help foreign friends better understanding of Chinese laws, today we would first publish a comparison of different versions between the 2001 version and the 2013 version.

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The Exposure Legal Defects of Chinese Crackdown on Online Rumors

(By You Yunting) Recently, Chinese governments have cracked down on the spreading of rumors online, and have arrested some web users for allegedly fabricating or disseminating online rumors. A lot of netizens have voiced their objections that this crackdown suppressed the “proper freedom of speech.” In our opinion, theoretically, online rumors shall better be handled through other means of self-remedy, such as the victims filing civil or criminal lawsuits against the alleged rumormongers. However, government intervention is in some cases a realistic necessity to more effectively crackdown online rumors, because in some cases the victims hurt by online rumors cannot file a lawsuit on their own initiative, often resulting from a failure to discern the rumormonger’s identity.

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Trademark “Zhuomuniao”: Cancelled for Squatting Though It Has Been Put into Use

(By Luo Yanjie) Abstract: when applying for a trademark, the trademark office will judge the similarity of the submitted trademark based on the International Classification of the Trademark Registration for Product and Service (the “Classification”), but the court does not use this only standard. Even if the court finds that the later trademark application to be similar with the earlier applications, and the trademark office approves the later applied trademark’s application, the earlier trademark holder shall have no right to demand the later user for any damages.

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How to Judge the Validity of Trademark Transfer without Inner Approval of the Company in China

(By Albert Chen) Abstract:

When a company’s trademark agent transfers a trademark without approval, a judgement of the validity of said transfer requires not only a consideration of the company approval, but also a determination of the third party good faith in the transfer. When a condition is not fulfilled the transfer will invariably be considered invalid.

Case Introduction:

In 2001, Leidi (China) Co., Ltd. (“Company L”) was granted the exclusive right in the use of the trademark “雷迪” (read as “Leidi” in Chinese). In November of 2002, Wu, as the executive director of Leidi China, transferred the trademark to the Hua Qu Duo Investment Company (“Company H”). The State Trademark Office made an announcement regarding the transfer in October 2003. Subsequently, Company H licensed the trademark to the Shanghai-based Leidi Mechanics Co., Ltd. (“Company S,” which had no affiliation with Company L).

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Would Those First Users Involved in OEM Constitute Trademark Infringement?

(By Albert Chen) The author once introduced readers to different judicial opinions adopted in the Shanghai and Guangzhou courts over whether trademark infringement could be caused by an OEM. According to a ruling handed down by the Fujian Higher People’s Court in 2012, which came to the attention of the author recently, the judge confirmed that an OEM could lead to trademark infringement, but decide at the same time that no liability shall be taken by the first user of the mark, for no confusion would be made. As for that point, the author certainly has a different opinion.

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Could User Information Be Considered Trade Secret in China?

Abstract: trade secret must have three basic features: confidentiality, practicability, and security. Therefore, whether user information in a website could be considered as trade secret or not, it shall also be judged based on these three basic features.

(By Luo Yanjie) User information is very important to a website daily operation. To judge it from the legal protection perspective, it is generally protected as a trade secret. The case introduced in this article is a typical dispute on whether the user information could be considered a trade secret, and thereby could infringement be decided.

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Will Magic be Protected as A Work under China’s Copyright Law?

(By Luo Yanjie)

Case summary:

Yigal Messika is an Israeli magician. In March 2008, Messika began to design a tool used in his magic show named Tarantula, through the operation of which the audience could see floating art objects. Messika filmed a DVD recording his performance with the Tarantula. The Tarantula DVD went on sale in the United States on February 29, 2000, accompanied by the Tarantula gimmick. Each pair was sold for $ 75. Later on, Messika heard that his product was being ripped off by a Chinese businessman starting in April 2009. The copyright holder subsequently filed a lawsuit in court to protect the copyright infringed. The Court held that, because China, the US and Israel are all signatories to the Berne Convention, once the plaintiff’s magic met the standards in China’s Copyright Law, it could be protected by China’s laws.

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