How to Determine Infringement Conducts in Copyright Disputes in China Courts?

(By Luo Yanjie) The Getty Images (Beijing) Co., Ltd. (hereinafter “Getty”) provided the court with a product brochure naming defendants Shanghai Shuote Co., Ltd. (hereinafter “Shuote”) and Shanghai Yikang Co., Ltd. (the “Yikang”). Getty claimed that the brochure was procured from the 6th International Tire Exhibition in Shanghai during 19th to 20th of May 2009. The defendant argued that they had neither printed nor used the brochure. However, the plaintiff provided substantial evidence to prove that the brochure could only have been printed by the defendant; regardless, the defendants failed to provide any explanation proving otherwise. On the other hand, the court had solid reasons to presume both defendants had engaged in the printing and using of the brochure.

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Which Copyright Should Internet TV Operators Purchase?

Analysis on the Prohibition of Xiaomi Box and Legal Issues Concerning Internet TV

(By You Yunting) Recently, Xiaomi Tech (the “Xiaomi”), a thriving Chinese smart phone maker, released its “Xiaomi Box” (the “Box”), which enables the user to play online video on their television. Moreover, it also supports TV, games, music, and photos. Strangely, however, the Box ceased its video service under the claim of system maintenance only one week after its release.

According to some media reports (note: the link is in Chinese), the Box is a kind of set top box, and according to the rules of the State Administration of Radio, Film and Television (“SARFT”), such products must first be administratively approved before they can be used in online TV. Despite the cooperation made with WASU, other content available from Xiaomi’s box, such as video from Sohu, Tencent, PPTV, or iFeng are against Notice No. 181 issued by SARFT, which regulates that each set top box can only provide content from licensed video providers.

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Analysis on Application of Red Flag Rule in China

By Luo Yanjie

Recently, Shanghai No.2 Intermediate People’s Court issued “Investigation Report about Infringement of Right of Information Network Dissemination in the Area” which introduces the application of “red flag” principle in China. Today we would like to share the topic with readers as follows:

I. The basic concept of “red flag” principle

Red flag” principle is an exception of “safe harbor” principle. It means if the fact of infringement obviously like a “red flag” flying, network service providers cannot pretend not to see, or to shirk responsibility as not knowing. In this premise, even if the right people have issued a notice, the court should also identify the Internet service provider is aware of third party’s infringement and shall bear tort liability.

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