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Exchange Meeting with the Nanjing Administration for Market Regulation

Create Time:2024-04-26

On April 18, the Quality Brands Protection Committee of China Association of Enterprises with Foreign Investment (QBPC) and Nanjing Administration for Market Regulation (Nanjing AMR) jointly held an exchange meeting on intellectual property (IP) protection with the aim of strengthening the connection between right holders and law enforcement agencies as well as judicial organs, deepening the understanding of IP protection, and providing guidance and advice to enterprises. Moderated by Leon Lyu, Government Affairs and Public Policy Committee (GAPPC) Vice Chair, the event was attended by over 50 people, including QBPC members and officials from Nanjing AMR and its 13 district branches, the Food, Drug, and Environmental Crime Investigation Detachment of Nanjing Public Security Bureau (Nanjing FDECID), Nanjing Intermediate People's Court, Nanjing Railway Transportation Procuratorate, and Jinling Customs.

First, XU Meng, Director of the IP Protection Division of Nanjing AMR, delivered an opening speech. According to him, Nanjing, placing a high value on IP protection, had constructed a diverse settlement mechanism and created a social environment promoting IP protection through active and innovative initiatives in the areas of patent infringement dispute settlement, investigation and handling of counterfeit trademarks, combating copyright infringement and piracy, and trade secrets protection. Afterwards, Leon Lyu introduced the organizational structure and work of QBPC, emphasizing the role of QBPC to inform the international community of China's progresses in IP protection.

Next, Nanjing administrative enforcement agencies and judicial organs shared typical cases in their respective fields.

Wang Changliang, an officer in the Patent Administrative Enforcement Division of Nanjing AMR, shared a case of a patent infringement dispute, in which the authority emphasized that the patent law takes the protection of legal rights as the principle and statutory non-infringement as the exception, and it protects the public’s access to medicines and medical devices after the patent right expires. Meanwhile, the protection on a patentee’s legal rights and interests should not be weakened.

ZHU Chen, an officer in the Patent Administrative Enforcement Division of the Nanjing AMR, introduced a case on infringement of the exclusive right to use a registered trademark. He stated that the focus of the dispute was whether the logo in question infringed the exclusive right to use a registered trademark, which was mainly judged by the shape of the characters, pronunciation, meaning, and whether it constituted or was likely to cause confusion when used in connection with the same type of goods or service providers.

Kyoichi Murata, General Manager of RISO (China) Science and Industry Co., Ltd. (RISO (China)), shared the experience of brand protection at RISO (China), focusing on trademark infringement cases. RISO (China) focused on artistry in trademark design and implemented a variety of trademark protection measures, including identifying infringing products with major trademarks and successfully identifying infringing trademarks in the case handled by Jiangning AMR.

LIU Fanghui, Deputy Chief Judge of the Intellectual Property Tribunal of Nanjing Intermediate People's Court, introduced a case of infringement on trademark rights and unfair competition disputes. During the hearing, the plaintiff actively defended its rights and presented proof of the commercial mark’s invalidation process. The case involved trademark infringement. By obtaining public data on financing subsidies, the plaintiff’s agent adjusted the calculation of the defendant's product sales, which led to ultimate determination on RMB 10 million in damages.

Zhang Xiaoxiao, Deputy Director-General of the Intellectual Property Prosecution Department of the Nanjing Railway Transportation Procuratorate, spoke about strategies for handling commercial infringement, highlighting the time limit for compensation for infringement. After that she shared a case involving counterfeiting a registered trademark. She explained the case handling process, including IP criminal prosecution as well as cooperation with Nanjing AMR, and emphasized the importance of combating infringement at both the criminal and civil levels.

XIONG Wei, Senior Sergeant Grade III and Member of the Party General Branch of Nanjing FDECID, provided in-depth information on criminal IP protection. He focused on the four main sources of cases while explaining the critical role of Nanjing FDECID in the IP protection, especially in dealing with violations, illegal use of corporate IP without authorization, and serious violations. The difficulties in managing criminal cases revolved around determining the amount involved, jurisdiction, and appraisal cost. Finally, he underlined the importance of criminal protection review and suggested strengthening collaboration to deal with complex cases.

After that, QBPC member representatives from different IWGs also shared typical cases.

Nicole Xu, Personal Care IWG representative, presented a case of trademark infringement and unfair competition involving Beiersdorf, focusing on trademark infringement issues such as trademark revocation, trademark determination, and so on, while emphasizing the efforts of enterprises to constantly update their product design and others. At the same time, she also mentioned the lengthy and expensive process of defending enterprises’ rights through administrative complaints and unfair competition lawsuits. She hoped to explore more efficient and convenient methods of defending rights in light of the fast updating and iterative nature of products in the fast moving consumer goods industry.

Leon Lyu, Automation & Electric IWG representative, made an in-depth analysis of a civil litigation case of trademark infringement and unfair competition disputes involving Eaton, focusing on trademark infringement and coping strategies. He emphasized that, within the existing legal framework, the law enforcement authorities should aggressively affirm the infringement rather than making overly conservative decisions and verdicts in doubtful cases. In this case, the right holder’s sustained rights defense actions pushed the infringing enterprise to consciously respect and protect IP of others through self-inspection and rectification within the enterprise, thereby preventing the reoccurrence of infringing behaviors at the source and achieving a better social effect.

Felix Zhang, Pharmaceutical & Medical Device IWG representative, shared Novartis' work in the fight against counterfeit and substandard medicines, including the organizational structure of the anti-counterfeiting and substandard medicines team, the collection of intelligence, the development of technology for the identification of counterfeit and substandard medicines, assistance to law enforcement agencies in their investigations and operations, exchanges among partners, and training activities. He also introduced the latest trends in counterfeit and substandard drug crimes and the new challenges in combating counterfeit and substandard drugs. As a conclusion, he encouraged all parties to join efforts to protect the safety of medicines for patients and public health.

ZHANG Yan, GAPPC Vice Chair and Chemical IWG representative, discussed the innovative case of Novozymes' enzymes in laundry to degrade stains and convert starch into absorbable and flavor-enhancing sugar. At the same time, she shared three right defense cases conducted in Nanjing, the verdicts of which had a positive impact on IP protection in the industry and contributed to its progress.

In the Q&A session, Luo Yunxuan, an officer in the Genearal Operation Division of Jinling Customs (a subsidiary of Nanjing Customs), provided an overview of recent IP protection cases handled by Jinling Customs. She said that the cases mainly occurred in the field of cross-border e-commerce, featured by a small number of products involved in a single case but increasing number of seizures. In addition, Nanjing Customs has recently conducted research and solicited opinions for the revision of the Regulations on Customs Protection of Intellectual Property Rights.

Finally, representatives from QBPC members, law enforcement agencies, and judicial organs engaged in extensive discussions and exchanges on how to prove product infringement and relevant administrative enforcement strategies after the replacement of product outer packaging, the problem of product refurbishment of auto parts and enforcement challenges, the application of drug identifiers in law enforcement, and the legal protection of trademark infringement and competitive behavior.