China Laws and Regulations Update in Augest 2017

1.Catalogue of Industries for Guiding Foreign Investment (Revised Edition 2017)

Promulgated by the National Development and Reform Committee

File No. No.4 Order of the NDRC

Promulgation date: 28th June 2017

Effective date: 28th July 2017

The Catalogue of Industries for Guiding Foreign Investment (Revised Edition 2017) first introduced the negative list for foreign investment access, containing 63 articles about restrictions and prohibitions, decreased by 30 articles compared with the 2015 edition. The Catalogue shall be the basis on which the pre-establishment national treatment and negative list administration model is implemented. No measure should be taken to restrict foreign investment access to any area outside the scope of the negative list. The new Catalogue further relaxes the restrictions on foreign investment access to service, manufacturing and mining industries and especially abolishes the restrictions on foreign investment access to industries of oil and gas for special use, precious metals, lithium ores, etc. (Source: Website of the National Development and Reform Committee)

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China Laws and Regulations Update in June 2017

1.The Supreme People’s Court and the Supreme People’s Procuratorate Give the Clarification of Several Issues on Dealing with Criminal Cases of Personal Information Infringement

The Clarification consists of 13 articles to clarify the definition of “personal information”, the decision making criteria on unlawful “provision of personal information”, the conviction criteria on personal information infringement, etc. Article 2 thereof states that violation of laws, rules and bylaws governing the protection of personal information should be deemed as “violation of applicable national laws” specified in Article 253.1 of the Criminal Law.

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Laws and Regulations Update in February 2017

1.The State Council Issues the Notice on Active Measures to Expand Opening Up and Use Foreign Funds

On 17th January 2017 the State Council issued the Notice on Active Measures to Expand Opening Up and Use Foreign Funds in order to clarify opening up and foreign fund use policies and create a fair and favorable market environment.

(Source: Website of the Central Government)

http://www.gov.cn/zhengce/content/2017-01/17/content_5160624.htm

2.The State Administration for Industry and Commerce Publishes the Opinions on Comprehensive Promotion of the Simplified Registration Cancellation Policy

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Shall Quantities of Malicious Registration Be Improper Means in China Trademark Law?

(By Wang Ting) In China, the Trademark Law applies the Principle of First Filing and when the Trademark Office reviews these applications, they usually examine whether there are prior applications or registrations existed, but not the intentions of filing such prior registrations. It means they don’t consider the bad faith during trademark registration procedure. Many foreign companies have applied and obtained the trademarks for their own products and services at the beginning. However, as so-called villains can always outsmart, besides the malicious registrations of others’ un-registered trademarks, there are lots of cases in which the trademark squatters register the well-known or popular trademarks on different goods or services. Thus foreign companies suffered from such consequences. Today, in our introduced case, we are going to discuss about the situations that the acts of malicious registrations under different classes are finally determined as improper means as stipulated in the Trademark Law.

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Could Co-Founder Rush-Register A Planning Trademark As His Own?

lehmanbrown

 (By Luo Yanjie) Article 15 of both the 2014 version and the 2001 version of the Trademark Law stipulated that an agent shall not rush-register trademarks of the principal or the represented. In practice, Article 15 is always used to prevent from rush-registration. The following judgment will introduce a typical rush-registration case with new ideas for reference.

 Introduction to the Case:

Re-appellant (plaintiff at first instance, appellant at second instance): LEHMANBROWN LIMITED (the “HK Company”)

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Qvod Vs China Government: RMB 260 million Punitive Fine for Copyright Infringement?

qvod

(By You Yunting) Introduction to the Case:

Plaintiff: Shenzhen Qvod Technology Co., Ltd (the “Qvod”)

Defendant: Market Supervision Administration of Shenzhen Municipality (the “MSA”)

Court of first instance: Shenzhen Intermediate People’s Court

The MSA filed a case with the Shenzhen Intermediate People’s Court, and claimed to cancel the punitive fine of RMB 260 million from the MSA. On 30th of December 2014, the Shenzhen Intermediate People’s Court held the trial as the case is still on that trial.

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Why Did Using a Literal Meaning of “智慧背囊” be Judged Trademark Infringement?

送给青少年的智慧背囊

(By You Yunting) Introduction to the Case:

Appellant (1st defendant at first instance): Qingdao Publishing House

Respondent (plaintiff at first instance): Shandong Shiji Tianhong Education Technology Co., Ltd (the “Tianhong Education”)

2nd Defendant at first instance: Beijing Readbuy Tianxia Information and Technology Co., Ltd (the “Readbuy”)

Court of first instance: Beijing Fengtai District People’s Court No.: (2014)丰民初字第03829号

Court of second instance: Beijing No.2 Intermediate People’s Court No.: (2014)二中民(知)终字第10356号

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China Laws and Regulations Update in Octorber 2014

  1. Intellectual Property Tribunals to Be Established in Beijing, Shanghai and Guangzhou

On 1 September 2014, the Standing Committee of the National People’s Congress approved the Decision to Establish Intellectual Property Tribunals in Beijing, Shanghai and Guangzhou. The Decision stipulates that the Supreme People’s Court should be entitled to set up intellectual property tribunals in Beijing, Shanghai and Guangzhou by taking into account types and numbers of intellectual property cases. Such tribunals govern first-instance civil and administrative intellectual property litigation cases relating to such technically demanding issues as patents, new species of plants, layout designs of integrated circuits, confidential know-hows, etc. and have the right to decide on any appeal against first-instance judgment or verdict by a local lower-level people’s court on civil and administrative intellectual property cases relating to copyrights, trademarks, etc.

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Is It Legal for Foreign Company to Transfer User Data out of China?

(By Wang Ting) Recently, China State broadcast CCTV, imposed Apple Inc. that its iPhone’s ability to track and time-stamp user’s frequent locations without user’s permission infringed user’s privacy. Even though the news impacts turned out to be small in western countries, large amounts of Medias in China reported the news (Note: the link is in Chinese). Within the quicker development of internet and mobile internet, personal data and information has become increasingly frequent cross region and even breaking national boundaries, thus making the transfer of personal data more smoothly. In today’s post, at the beginning of Apple’s device’s location tracking abilities, we will introduce regulations and legal risks concerning how enterprises transfer user data from China to third countries.

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Is CCTV Refusing to Sub-license World Cup Broadcasting Rights Found Violation of the Anti-Monopoly Law?

(By You Yunting)The 2014 FIFA World Cup is taking place at several venues across Brazil, and is attracting attentions from all over the world. According to reports, CCTV holds the exclusive rights of broadcasting 2014 FIFA World Cup in mainland China. However, CCTV refuses to sell the right of live network broadcasting but only sells the on-demand right of network broadcasting to video sharing websites. In reality, CCTV refusing to sell the right of live network broadcasting could potentially be considered to be a violation of the Anti-Monopoly Law. The following is our legal analysis.

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Is It Illegal for the SARFT to Prohibit Installing Youku and Iqiyi in Internet Cable Box?

广电总局

Is It Illegal for the SARFT to Prohibit Installing Youku and Iqiyi in Internet Cable Box?

–Analysis on the Prohibition of Installing Youku App and Iqiyi App on the Internet Cable Box

(By You Yunting) According to some media reports, the State Administration of Press, Publication, Radio, Film and Television (the ”SARFT”) issued a rule to local administrations requesting to delete Youku App, Iqiyi App, Sohu App and browsers from Wasu Box and Internet cable Set-top boxes (the “boxes”), which enables users to support TV, games, online video, music and photos. At first glance, i was astonished how it could be called boxes if without Youku App, Iqiyi App and browsers. However, Hangzhou Wasu Digital TV Media Group confirmed receiving the rule shortly after the reports came out. That being the condition, we would like to analyze the rule.

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Traditional Media shall Enhance Themselves against Internet Infringement

toutiao

(By You Yunting) According to news media’s reports, the National Copyright Administration of China (the “NACA”), State Internet Information Office (the “SIIO”), Ministry of Industry and Information Technology (the “MIIT”) and the Ministry of Public Security (the “MPC”) recently initiated the 10th special campaign dubbed “Sword Net Action” against online piracy and infringement, centered on cracking down on some websites’ unauthorized reprint from traditional media. This “Sword Net Action” could be better for traditional media, but governmental action gradually has different stages. Traditional media must improve practicing skills in the legal campaign against new Internet media.

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First China Trade Secret Litigation Injunction Ends in Favor of Eli Lily and Company

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(By You Yunting) We have introduced that Shanghai court issued the first trade secret litigation injunction in China pursuant to the new Civil Procedure Law. Recent, Shanghai No. 1 Intermediate People’s Court made a judgment in favor of U.S. drug maker Eli Lily and Company and Eli Lily (China), determining that the defendant must cease infringing the trade secret of the plaintiff. In today’s post, we will introduce the abstract the judgment following with our comments.

Introduction to the Case:

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Why NEXON’s BNB Failed to Accuse Tencent’s “QQ堂” of Copyright Infringement?

paop

(By Luo Yanjie) Abstract:  The Copyright Law protects “expression” rather than “thought”. For the purposes of the Copyright Law, “works” refer to original intellectual creations in the literary, artistic and scientific domain, insofar as they are capable of being reproduced in a specific tangible form. Works without originality are not protected by these laws.

In recent years, there has been a serious plagiarism problem in the field of online games. Considering that online games act as computer software, laws protect its “code” other than game mode and method. The case in today’s post will elucidate this principle.

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