Introduction and Interpretation of China’s Judicial Interpretation on the Right to Network Dissemination of Information, I

Judicial Interpretation on the Right to Network Dissemination of Information, interpretation, analysis, Supreme People’s Court, Regulation on Several Issues Concerning Application of Law in Hearing Civil Disputes on the Right to Network Dissemination of Information, history, development, China Academy of Science, NCFC, NSFNET, copyright law, Interpretation on

(By You Yunting) On December 26 2012, China’s Supreme People’s Court published the “Regulation on Several Issues Concerning Application of Law in Hearing Civil Disputes on the Right to Network Dissemination of Information” (the “Network Interpretation”). The Network Interpretation came into effect on January 1, 2013. Therefore, in today and tomorrow’s posts, we are going to share an introduction and interpretation of the new regulation

READ MORE

Do All Minimum Price Limits Violate the Anti-trust Law in China?

J&J

(By You Yunting) In the post, “The Legal Sense of the Punishment over the Vertical Monopoly of Mao Tai and Wu Liang Ye By NDRC,” which was posted several days ago, we described China’s first case on vertical pricing agreements (a vertical monopoly contract refers to a contract a monopolistic business signs with its business partner, which limits pricing or contains other monopolistic content). The application of Article 14 of the Anti Monopoly Law adopted by the court in that case was different from the application adopted by the China National Development and Reform Committee. We have found and studied the written judgment for that case, which is now in its second instance. Although according to the Civil Procedure Law, the judgment of the first instance has not yet come into effect due to the appeal, some of the main points of the decision are worth looking at. Therefore, we would like to share our opinions on it with our subscribers.

READ MORE

Full Text of the Anti-trust Punishment Ordered by China NDRC against MaoTai and WuLiangYe Vertical Pricing Monopoly

360截图-94650845_副本

The Price Bureaus under the Provincial Development and Reform Commissions in Sichuan Province and Guizhou Province published their orders for punishment against the vertical pricing monopoly by MaoTai and WuLiangYe on their official websites. By the orders, the two distilleries were fined totaled RMB 449 million yuan (approximately $ 72, 064, 500 dollar). The following is our translation of the full text of the administrative punishments already ordered.

The punishment ordered by Sichuan Provincial Development and Reform Commission:

READ MORE

Would NDRC’s Vertical Pricing Monopoly Fine against MaoTai and WuLiangYe Have Influences on Other China Companies?

360截图-11608502_副本

(By You Yunting) Over the past few days, the writer shared two essays concerning the administrative punishment ordered against Mao Tai Company and Wu Liang Ye Company, the top distilleries in China, over the accusation that they violated the Anti Monopoly Law by concluding monopoly agreements restricting or fixing retail prices (the “monopoly agreements”) with their dealers. The writer has received heated comments and arguments from the subscribers and followers of his Weibo and Blog. Many of these comments support the punishment, but some friends have expressed concerns over the issue. Today, the writer will share his opinions on whether the punishment will influence the normal commercial order.

READ MORE

How MaoTai and Wu Liang Ye Would Defend Against Vertical Pricing Monopoly Fines ordered by China NDRC?

360截图-3173356_副本

(By You Yunting) Abstract: Both Mao Tai and Wu Liang Ye can rely on one of the seven situations in Article 15 of the Anti Monopoly Law for their defense. But, that defense will not be easy because it requires evidence that the relevant agreements will not limit market competitors and that consumers can share the interests produced by the agreements.

In yesterday’s post, the writer analyzed the legal meaning of the punishment ordered by the National Development and Reform Commission (“NDRC”) against two top Chinese distilleries, Mao Tai and Wu Liang Ye. Today’s post will go one step further to describe the way for Mao Tai and Wu Liang Ye can protect their own interests.

READ MORE

The Legal Sense of the Punishment over the Vertical Monopoly of Mao Tai and Wu Liang Ye By NDRC

360截图-11608502_副本

(You Yunting) According to the report, Mao Tai Company and Wu Liang Ye Company, both are the top distilleries in China, would be ordered the penalty of 1% of their annual sales in 2012, approximately RMB 449 million yuan, by the National Development and Reform Commission (the “NDRC”) for their restricting or fixing the retail price of their downstream dealers. You might have noticed “would be”, and we have no idea about whether the final decision has been made, and it could not exclude the possibility that the news report is only the public opinion test by NDRC for its punishment in consideration.

READ MORE

Whether Sales Agents Are Included in the Trademark Agent Squatting Articles of China Trademark Law?

360截图-12690338

(By Luo Yanjie) Due to the late establishment of the relevant law and system, the trademark squatting situation in China is quite serious, and much squatting is conducted by trademark agents or partners. Article 15 of the Trademark Law provides that:

“Where any agent or representative registers, in its or his own name, the trademark of a person for whom it or he acts as the agent or representative without authorization therefrom, and the latter raises opposition, the trademark shall be rejected for registration and prohibited from use.”

READ MORE

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

360截图-27970776

(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.”

READ MORE

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

20130215-周五

(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.”

READ MORE

Analysis on Trademark Infringement Case of Adidas

20130214-周四

 (By Luo Yanjie) In 2001, the globally known sportswear brand Adidas acquired a trademark certificate issued by the Trademark Office of the State Administration of Industry and Commerce (“SAIC”), namely a certificate numbered 1489454 for the “three slants” trademark, which was approved in Class 25 for clothing, ball shoes, hats, socks and other similar products; in addition, the certificate numbered 1536558 for the “three slants” trademark was approved in Class 18, which covers bags, clothing case, traveling bags and belts. On June 21 2003, Adidas transferred the trademarks to its affiliates.

READ MORE

Administrative Warning Issued to 360.cn by Beijing Administration of Industry and Commerce

20130213-周三

 (By You Yunting) Recently, the Beijing Municipal Administration of Industry and Commerce (“Administration”) published on its official Weibo that the Beijing Administration and Xicheng Administration of Industry and Commerce made an appointment with the chief of Beijing’s Qihoo Co. (“Qihoo”), and issued an administrative warning against company conduct, claiming violations of unfair competition laws and regulations related to its “360 Safeguard” for use in computer internet browsers.

READ MORE

The Court Ultimately Supported Guangzhou Pharmaceutical Holding Company’s Application for an Injunction

201302011-周一

(BY Albert Chen  ) Guangzhou Pharmaceutical Holding Company (“GPHC”) is the holder of the王老吉 (the “Wang Lao Ji”) trademark in mainland China. In 2000, it licensed Hongdao Group, a Hong Kong admitted company, to use the trademark. After Hongdao Group used the trademark and caused it to develop a definite business reputation, however, a dispute broke out between the two parties over the right to use the Wang Lao Ji trademark.

In the first round of the fighting between the parties, GPHC used arbitration with CIETAC to cancel the supplementary agreements signed between two parties in 2002 and 2003 based upon the fact that the agreements were executed under commercial bribery. This website has discussed the implementation problems arising in that case. After that, the subsidiary of Hongdao Group that had sold Wang Lao Ji, Jia Duo Bao (“JDB”) began to sell its herbal tea under the brand name 加多宝(the “JDB”) Additionally, JDB used disputed slogans, such as “Wang Lao Ji now calls itself JDB,” “China’s top selling red can herbal tea now call itself JDB.” Claiming that such slogans constituted false advertising or unfair competition GPHC filed for an injunction with the Guangzhou Intermediate People’s Court and demanded an immediate halt to such advertisements.

READ MORE

Why Pfizer Did Not Win the Blue Pill Trademark Infringement Case?

360截图20130209162739984

(By Luo Yanjie) Pfizer is the holder of a blue, diamond-shaped mark (the “Pfizer trademark,” number: 3110761). The trademark was approved in Class 5 for pharmaceutical preparation, medicines made for human consumption, antibiotics, medical nutrition supplements, cleaning agents, and veterinary preparation. The registration period for the trademark commenced on May 28, 2003 and will expire on May 27, 2013.

On July 21, 2005, Pfizer representatives purchased a box of medicine priced at RMB 50 yuan from the New Concept Company. The medicine was mainly intended to cure “erectile dysfunction.” The front and back cover of the package contained both “Viagra”[1] and “TM,” which was underlined and accompanied by the diamond image. The manufacturer was printed as “Jiangsu Lian Huan Pharmaceutical Co., Ltd” (“Lian Huan”) dated on April 14, 2005. The opaque inner packaging also contained the words “Viagra” and “TM,” as well as the manufacturer “Lian Huan.” The packaging of the medicine was also diamond-shaped, in accordance with the shape of the tablet. The medicine itself was light blue in color, diamond compass shaped, and contained the words “Viagra” and “TM.” Pfizer believes that these products constituted three-dimensional trademark infringement and thereby sued the manufacturer and seller.

READ MORE