Analysis on Copyright Risks of Duowan YY Music

By Luo Yanjie

According to a recent news report (note: the link is in Chinese), the Huanju Inc (namely duowan.com), the holding company of YY.com submitted the prospectus to SEC of USA, applying for the IPO in NASDAQ for $ 100 million funding, and the code of it is YY. As indicated in the prospectus, the achievements of YY music have been the most bling-bling part. YY music is actually the music channel of YY instant messenger, introduced in March of 2011, and mainly broadcasting live shows of music performance. The performer could interact with the spectators by Karaoke, singing match or live videos. Furthermore, amounts of virtual products are available on YY music, which could be got on payment or as gifts. Yet to the statement of someone skilled in the art, the mode of YY music is facing the copyright risk. Today’s post would share our opinions on the issue.

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A Recorded High Objection to Mao Tai’s Trademark Application

By Albert Chen

According to the report, the renowned white liquor distillery Mao Tai’s application of the “Guo Jiu Mao Tai” trademark is facing a recorded huge amount of objections. Since the announcement of its preliminary examination on 20th July, it has seen totaled 95 objections to the applied 4 marks within the 3-months publication. And the objectors have been more than 40 units or individuals. For the case, we once posted an essay on its analysis: “Will Alcohol Trademarks Implying Them the State Liquor Be Registered in China?” For more details of the analysis, please check today’s post.

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Solutions to Labor Dispute on the Employment of Foreigners in China

By Albert Chen

A subscriber of our website raised a question to us: what to do when countered a labor dispute for foreigners in China, who shall also be protected by local laws? To this question, you may find your answer in today’s post.

I. Are Chinese laws and regulations applying to labor disputes of foreigners?

The main existing laws regulating the employment of foreigners in China is RULES FOR THE ADMINISTRATION OF EMPLOYMENT OF FOREIGNERS IN CHINA (Rules) issued by police, labor and other two departments. According to Article 26 of the Rules:

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Key Points to Foreign Company’s IPR Litigation Preparation in China

By Luo Yanjie

With the development of economy, China pays more and more attention to the protection of intellectual property. But whether the patent, trademark or copyright, a lot of high value intellectual property rights belong to foreign companies. Facing the still serious infringing situation, the civil lawsuit is still the most common and reliable means to strike infringement. As for foreign investors, what deserves the attention when preparing lawsuit materials? Today we would like to share the topic with readers as follows:

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How to Respond Employees’ Compensation Claim for Office Relocation in China?

By You Yunting

A subscriber of our website asked that what the company shall reply when the employee hand in his/her resignation for the inconvenience occurred from relocation of the office and as for the employee’s claim of compensation.

We reply as follows: Obviously, it could come to the employee’s consideration that the relocation of the office is the statutory situation of “A major change in the objective circumstances relied upon at the time of conclusion of the employment contract renders it unperformable”, and it is also resulted by the employer, and for this reason, they would claim an extra one month salary and compensation.

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Could Apple Use Objection to Jurisdiction to Prolong the Litigation Period?

By Albert Chen

The most watched copyright battle between Chinese Writer Alliance (the “Alliance”) and Apple was heard in Beijing No.2 Intermediate People’s Court on the 11th of this month. You may have read our previous essay on the private hearing of the case, and in fact, Apple has also filed an objection to the jurisdiction in the case. Nonetheless, the application was refused by the intermediate court and upheld by the high court after appeal. The lawsuit has been delayed by procedure for nearly half a year, as favored by Apple. Today, we are going to introduce the regulation on the objection to civil jurisdiction in China.

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Legal Analysis on Apple’s Lose in APP Store Infringing Contents of Beijing Litigation

By Luo Yanjie

Recently, a reporter of TechWeb interviewed You Yunting of our website about issues of Apple providing infringing content as follows:

1, Lots of China writers have sued Apple Inc because its App Store violated their copyright; Encyclopedia of China Publishing House (EPCH) win the case and get 520,000 as compensation. How do you see this kind of cases? Can it become the flag case of mobile Internet copyright?

Personally think it is more suitable to say that it is a flag case for APP Store of Apple, the main significance is as follows:

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Has Apple Lost Opportunity of In-Camera Hearing on Its Case?

By Albert Chen

The most watched dispute between Baidu (NASDAQ: BIDU) and Chinese Writers Alliance (the “Alliance”) is heard on 11th of October in Beijing No.2 Intermediate People’s Court. That lawsuit is filed following the battle against Baidu by the Alliance. Before the hearing on 11th, Apple applied to the court for the hearing in camera with the claim that the case is with trade secret related. After the consideration by the court, such an application was refused by the judge, yet it still decided the procedure may switch into be in private when one the interrogation involves the business secret. In today’s post, you may see our analysis on the “lawsuit in camera” in China.

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Is It Infringing to Show Others’ Trademarks on Exhibitions?

By Luo Yanjie

Previously, our website introduced issues of trademark and patent in China exhibition: Legal Issues concerning Trademark during the Exhibition in China, Patent Issues for Attention on the Exhibition in China. Recently, a customer told our attorneys that they found a company using their registered trademarks for the promotion on similar goods in an exhibition. The company learned a little Chinese law and they know only Chinese patent law provides that “offer to sell” is infringement. So they ask our advice about that if using other’s registered trademarks constitute trademark infringement?

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When Could “Fair Use” Other’s Works in China?

By Albert Chen

Techdirt recently reported the US court has adopted scanning within the scope of fair use, and by China Copyright Law, the library could also make a special copy or digitalize its collection, as well as the communication. Today, we would introduce the statutory license in Chinese legislature.

As known to us, the using of others work demands the right owner’s consent and the payment of the royalty (unless no payment as approved by the right owner). But as aiming to promote the cultural development, the emphasis on the exclusive right protection could only damage the spread-out of the culture and information. Thus, in addition to the protection, we also see Copyright Law regulates the “fair use” of the works, under which the using by a third party shall not be approved by the right owner or to pay the royalty.

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Analysis on Common Legal Risk of Chinese Company’s Ads

By You Yunting

The competition in Chinese market is so fierce that the company would strive to make their ads be more outstanding, yet that could also bring them the risks of administrative punishment. In today’s essay, you will see our analysis on the common risk for corporate propaganda.

I. No fulfilling to the promise in propaganda

The most typical case shall be the ads from Beijing Hyundai (note: the link is in Chinese), the joint venture of Hyundai in China. As claimed in the its ads, the chief of the company promised not to reduce the sales price of its vehicle in the coming 2 years, which soon be overthrown by its price adjustment within 120 days after that with the pressure from market competition. On that, we saw the consumer filing a group lawsuit against its break-in of promise. Despite as investigated by the company that, the words of the chief is not quit the same as claimed in the media report, and Hyundai was therefore judged of no liability, the Korean brand faced a devaluing of social reputation in China. In our opinions, the losses of intangible asset of the car maker are much more than the claimed compensation. And that shall mainly lie with the over promise by the company.

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How to Decide Infringement When Conflict between Trademark and Trade Name in China?

By Luo Yanjie

As two different concepts in law, trademark plays the role as to distinguish the origin of the product or services, and the trade name is the literal expression to indicate different companies. But in the daily operation, we may see the confusion between these two concepts, and the trade name may also be used as kind of mark in business. Naturally, we see many companies choose to register their name as the trademark. Despite the similar function of them, the trademark and trade name are verified by different administrations (the mark is subject to the administration of trademark office, and the trade name is ruled by local administration of industry and commerce), but that also triggers the conflict between two objects. In today’s post, we would like to analyze the conflict occurred when trade name registered prior to the trademark by different subjects.

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Why China Is Not Among Top 20 Countries of Pirated Music Download?

By You Yunting

Musicmetric, a website in USA, published the top 20 countries of pirated music download, yet to most ones’ astonishment, China is not found on the tally, who is commonly accused of granting least protection on IPR. Then what contributes to the surprising result? In today’s post, you could find our answer to it.

I. Most online music services are using the copyrighted ones

Unlike chargeable music download in iTunes or through P2P in USA, most users in China tend to get their free music by search engine, or download or listen to them by music software. The most popular music service now in China is from Baidu (NASDAQ: BIDU) and Tencent (SEHK: 700), whose music library is mostly licensed by the main recorders around the world.

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How to Pay the Non-compete Compensation in China?

By Luo Yanjie

Restriction of business strife is the restriction clauses agreed in labor contract, IPR contract or confidential agreement between the employer and the employee with confidentiality obligation, which restricts the latter being engaged in the units manufacturing similar products, operating the similar business or competing with the original employer, neither shall the bond employee manufacture the products or operate the business competing with the employer.

Considering the professional division of social labor, the restriction on the future engagement of the employee in the familiar industry will of no question badly damage their interests. Therefore, we see the provision in the Labor Contract Law that the original employer shall pay employee the compensation for the non-compete during the agreed period. Yet what shall be more attentive to the employer is the payment of the compensation shall follow the legal regulation, otherwise the agreement on the non-compete shall be invalid. In this essay, you will see our opinions on it:

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