The Copyright Dilemma of the Online Literature Industry in China

   

Highlights: The online literature in China is jeopardized by piracy. And for the safe harbor rules and massive uploading by netizens, such long-standing could not be effectively combated. Bridge IP Commentary will make analysis on such phenomenon.

In 2010, Shanda Literature (“Shanda”) sued Baidu over pirated literature works on mobiles net and its refusal to delete such works upon the complaint from Shanda. To Shanda’s claim, Baidu holds that it has removed the infringed part while others are examined of no infringement, and it shall take no liability hereby. Baidu was sentenced to take the liability in first instance, and then appealed but withdrew the suit at the end. Thus Baidu shall compensate Shanda RMB 500,000 yuan by the effective decision of the hearing. In this essay, Bridge will analyze the case and legal issues concerning the development of the original literature on the internet in China.

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Will International Software Company Benefit from China’s New VAT Policy?

— the interpretation on the preferential policy of value-added tax

Recently, the Notice on the Policy of Value-added Tax of Software Product (the “Policy”) was jointly issued by the Ministry of Finance and the State Administration of Taxation of P.R.C., which shall back cover any VAT after 2011.1.1. The stock market reacts positively to the new policy.

However, as far as Bridge IP Commentary knows,the Policy is just the continuation of the past regulations, which include the Policies for the Development of the Software & Integrated Circuit Industries issued in 2000 (the “Policy in 2000”) and the Notice of Policies for Further Development of the Software and Integrated Circuit Industries released in first half of 2011 (the “Notice”). Even so, the introduction of the Policy once again shows the ambition of China government to boost the software industry. And the following is the interpretation on the Policy from Bridge IP Commentary:

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How Sony Can Avoid Copyright Risk?

Highlights: The article analyzes the case that SONY sued for the infringing content of internet Video-On-Demand service integrated in TV set and the provisions of port principles in China Copyright Law.

It is reported that SONY (TYO: 6758, NYSE: SNE), along with a VOD website, was sued by a Chinese cartoon company (the “copyright owner”), and Beijing Dongcheng District People’s Court has accepted the suit.

As news­ reports, the copyright owner claimed that SONY integrated the internet unicast service software in certain type of its TV set. Furthermore, with SONY’s TV set instruction, the consumer could watch the content of infringing program after registering the serial number of TV online and an account with a website in sequence.

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China Copyright Protection Term Longer than EU’s?

—Analysis on Copyright Protection Term in China and Protection on Works in Public Domain

Highlight: Describing the protection term of various copyright works in China Copyright Law.

The European Internal Market Committee decided to extend the copyright protection term for performers and sound recordings from the current 50 years to 70 years for their copyright remuneration in the rest life of the performers. (news related, in English)

I. The protection term in China Copyright Law

China Copyright Law clearly regulates the protection terms on various works both domestically and internationally.

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How to Combat Knockoffs on Taobao.com

Highlights: Introduce the way for foreign trademark, patent and copyright owners to combat knockoffs on Chinese biggest online sales website Taobao.com

Taobao.com, the biggest online transaction website in China, signed the copyright protection memo with International Intellectual Property Alliance (IIPA) in Beijing on 1st, Sep., promising to combat infringement on copyright. (news related, in Chinese)

In 2010, the number of online products of Taobao.com has been more than 800 million, with trade volume of 400 billion. Just like eBay, Taobao.com only provides the platform for online transaction instead of sale by itself.

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