Category Archives: Registration

How Do Chinese Courts Distinguish “Manufacture” and “Sale” When Hearing Design Patent Infringement Cases?

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(By Luo Yanjie) Generally, the manufacture and sale of patented products are easily distinguished. Sale normally refers to infringing sale and purchase of patented products with no engagement in assembly or manufacture. In the case introduced in this essay, however, whether the behavior of the defendant was “manufacture” or “sale” is the key point argued. Now we would like to use the case and relevant law to introduce the difference between design patent “manufacture” and “sale.”

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Is it Infringing LV’s Trademark Right when Registering Similar Images as Patented Design?

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(By Albert Chen)  Brief of the case:The Louis Vuitton Company (the “LV Company”) holds the rights to the “LV” trademark in Mainland China, and it registered the trademark “LV” as early as January 15, 1986. At present, the term of protection of the mark has been extended to January 14, 2016. The registered classes for the “LV” trademark include toys, Chinese checkers, Backgammon, golf gloves, etc. On November 13, 2003, Guo filed an application for a patented design called “Mahjong (23)”, and the application was approved and published on July 14, 2004. The published patent includes 5 pictures, which contain the front view, left view, back view, top view and three-dimensional views. Among them, the front view contains an image consisting of the letters “L” and “V.”

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Who Has the Burden of Proving “Profit After Tax” When Calculating Remuneration for a Patented Invention?

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(By Albert Chen) In the previous post, the author introduced how to determine the unit granted the patent right by looking at a case decided by a Shanghai court. Today, the author will use a case from a Guangdong court to introduce how the court there held on who must prove “the profit after tax” when a dispute breaks out on invention remuneration payable by the unit granted the patent right.

Summary of the case:

The employee inventor, Mr. Zhu, worked for Dongguan Wei Ba Cleaning Equipment Co., Ltd (the “Wei Ba Company”) from 1998 to 2006. During his employment, Mr. Zhu participated in the development of sixteen patents and was also registered as a joint inventor in the company’s patent applications. Afterwards, the Wei Ba Company exercised some of the patents but did not pay Mr. Zhu any remuneration. For this reason, Mr. Zhu filed a lawsuit against the Wei Ba Company, claiming that remuneration payable for his invention should be calculated based on the 2004 Annual Joint Inspection Report that the Wei Ba Company submitted to the Ministry of Commerce, which indicated the company’s total profit after tax. Moreover, Mr. Zhu claimed that the remuneration shall be calculated for the past two years.

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Shall Parent Company Make the Payment for Subsidiary Employees’ Invention for Hire?

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(By Albert Chen) In past essays, the author has introduced the legal issues related to the establishment of remuneration for inventions developed under work for hire schemes, and payment of said remuneration. Through a study of two recent cases, the author has found that the comments made by the judge in them is of reference value when deciding the “unit granted the patent right” and the “one liable to prove after tax profits”. In the meantime, the author would like to share his interpretation and analysis in these two posts.

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New Rules on the Protection on the Patent Made for Hire in China

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(By Albert Chen) In previous posts, we introduced our readers to ways to pay remuneration for the invention made for hire, and the standard adopted by Chinese courts in related disputes. On 26th November 2012, the State Intellectual Property Office (the “SIPO”), accompanied by 12 other authorities, jointly released the “Several Opinions on Further Strengthening the Protection of Service Inventor’s Legal Interests and Promoting IPR Implementation (the “Opinions”), which demand a strengthened protection on the rights of service inventors in several aspects. In today’s post, you will be able to become more familiar with the main points contained within the Opinions.

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How Chinese Courts Determine Remuneration for Employee Inventions?

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(By Albert Chen) Yesterday’s post introduced regulations concerning calculation and payment of remuneration for the invention made for hire. The post also pointed out problems in the existing law, both at the by the central government and local level, namely that they lack binding authority, have low enforcement, or provide inadequate regulation on the liability of the unit.

The author has conducted research on these points in the established cases in China and found a case decided last year by the Guangdong High People’s Court (“Guangdong Court”), which is of referential value to settling the above problems.

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How Should Chinese Businesses Pay Remuneration for Inventions Created by Their Employees?

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(By Albert Chen) Statistics have shown that since 2007, the invention made for hire have comprised over half of China’s patent applications, and the number is still increasing. According to Article 16 of the Patent Law: “The unit that is granted the patent right shall reward the inventor or designer of an employee invention. After such patent is utilized, the inventor or designer shall be given a reasonable amount of remuneration according to the scope of application and the economic results.”

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How to Record Patents with Chinese Customs？

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(By Luo Yanjie) According to the Customs Protection Regulations for Intellectual Property (“Regulations”) patent protection through customs recordation means that customs protects the intellectual property rights related to import and export as well as those rights protectable under Chinese laws and regulations. It generally covers the protection of trademark’s exclusive use right, copyright, and patent. As to trademark protection through custom recordation, you may check our past article “How to Apply for Trademark Recordation in China Customs”. Today we would focus on patent protection through customs recordation.

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China’s Millionth Invention Patent, a Global Record Made in the Shortest Time

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As reported, China issued a patent certificate which marked the 1 millionth invention patent granted in the country. However, it only took China 27 years to achieve that amount in the invention patent since the nation’s first patent law took effect in 1985, and it’s also the record to make that achievement in the shortest time.

China spent 6 years to see her 10, 000th invention patent in 1991, and another 12 years to total 100, 000 invention patents (2003). But it only took the country 9 years to increase from 100, 000 invention to the 1 millionth (2012). So far as is known, till the end of the 2nd season of 2012, SIPO has received 3.114 million applications for invention patents, and of the 1 million granted by the middle of July, ,518,000 came from China.

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SINO-RUSSIA PPH Has Started from 1st July

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By Huang Mengren

The SINO-RUSSIA PPH program will start from this 1st July, this program is similar to those of SINO-USA and SINO-JAPAN. And the following is our past essay on the PPH program between China and other countries.

The Patent Prosecution Highway is Piloting in China

—introduction on PPH programs between China and USA, Japan

Recently, China government has speeded up the process of international patent cooperation. Currently, the Patent Prosecution Highway (PPH) Program between China and several other countries has started or prepared to start. Among the cooperations, the Sino-Japan PPH is piloting from 1st November, 2011, the Sino-America PPH will be carried out on 1st December, 2011, and Sino-Korea program will start from March, 2012.

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Data on IPR Development in China, 2011

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In recent, the News Office of the State Council held a news conference (note: the link is in Chinese), releasing the data on China IPR development in 2011, and the details are as follows:

Under the unified deployment of special acts by the State Council in combating the IPR infringement and the production and selling of the fake and substandard products, the filed cases in the administration of each level are 155, 900 with the involved amount of CNY 3.43 billion, 1, 702 cases were transferred to judicial organs and 9, 135 shelters were shut down.

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To Accelerate Overseas Patent Layout by PPH System

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By the news released on the website of the State Intellectual Property Office (SIPO), the PPH respectively between China and Japan, USA, Germany, South Korea has been launched for a test run of 1 year.

Then what is PPH? What benefit may company gain from it in the patent layout? DeBund Law Offices, the mother institution of our website, is qualified as the patent agency institution. Today, we invite Mr. Gao Shaoyi, who once worked in Huawei as the patent engineer to share us his understanding on the PPH sysem.

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Introduction to the China Patent Exploitation License Contract Record System

Recently, our lawyers are consulted for the necessity and attentive point of patent exploitation license record, and as a professional patent agency qualified by the administration, DeBund Law Offices provides the service of application of the license contract record for the global client in China. Today we will introduce the system of the paten exploitation license contract record in China.

I. The function of the administrative record

1. The information disclosure

For the data coming from the patent exploitation license record, the State Intellectual Property Organization (“SIPO”) has established a special data base, which is available for public check. And in addition, for the registered data, SIPO also makes the record on Patent Register and will also make a publication on the Patent Gazzete.

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Why Apple Store’s Design Patent Application is Not Necessary? II

The post will be published on our website for two days, and today is the second half of it. (the image is the picture of Apple Store in Lujiazui from the www.apple.com.cn)

III. The legal risk in the lawsuit filed against design infringement

Furthermore, once Apple initiate the lawsuit basing on the design, it may be trapped in the patent validity and serial lawsuits, and it’s also a common challenge of patent lawsuits in China.

1. The poor stability of design patent

Despite the design patent is granted by the administration after approval, the organ will not examine the novelty and creativity of the patent applied for it being instable at all. For example, in the design dispute between SECO and HONDA (note: the link is in Chinese), when HONDA sued against SECO for the claimed plagiarism of SECO’s S-RV to its CR-V, the defendant filed the application of patent validity, and present the evidence including the previous design patent applied by HONDA.

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Why Apple Store’s Design Patent Application is Not Necessary? I

The post will be published on our website for two days, and today is the first half of it. (the image is the picture of Apple Store in Lujiazui from the www.apple.com.cn)

By the report of Shanghai Daily, Apple Inc filed an application to the United State Patent and Trademark Office (USPTO) for the appearance design of its store in Lujiazui, Pudong New Area. In consideration of the fake Apple Store in Kuning, Yunan Province in south and west China, the application made this time may be the international application, and will enter into China soon to stem the flooding knock off stores. More interesting is that the journalist of the Daily interviewed our attorneys before the report, and we reserved our opinion on the application. To complete our comments on it, here’s our analysis on the issue:

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