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International IP/IT Review May. 2024

Date and time :2024-06-04
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The Plan on Advancing the Construction of a Powerful Intellectual Property Country in 2024 has been issued.

With the consent of the Inter-ministerial Joint Conference for the Construction of a Powerful Intellectual Property Country, the office of the Joint Conference issued the "The Plan on Advancing the Construction of a Powerful Intellectual Property Country in 2024," clarifying over 100 key tasks and work measures in seven areas.

In terms of improving the intellectual property system, it proposes to enhance intellectual property laws, regulations, and policies, reform significant policies, and refine rules for emerging and specific fields. This includes promoting the revision of relevant laws and regulations, implementing the reform plan for intellectual property responsibilities, establishing a declaration system for intellectual property generated from government-funded research projects and deepening the construction of data intellectual property protection rules.

Regarding strengthening intellectual property protection, it emphasizes judicial and administrative protection, as well as the establishment of a coordinated protection framework. This involves enhancing the professionalization of the judicial system, deepening the comprehensive performance of intellectual property prosecution, strengthening professional guidance for law enforcement, organizing special law enforcement actions and strengthening cross-regional and cross-departmental law enforcement cooperation.

In terms of optimizing the market operation mechanism for intellectual property, it aims to improve the quality of intellectual property creation, enhance its comprehensive utilization, and promote market-oriented operations. This includes continuously improving the quality and efficiency of reviews, implementing industrial intellectual property enhancement projects, deeply carrying out patent transformation initiatives, vigorously cultivating and developing patent-intensive industries, and exploring the construction of comprehensive pilot zones for intellectual property financial ecosystems.

To enhance the level of public services for intellectual property, it proposes to strengthen the supply and effectiveness of these services. This includes deeply implementing inclusive public service projects for intellectual property and expanding the service capabilities of the national intellectual property pledge information platform.

In addition, the "2024 Plan" also clarifies specific measures for fostering a favorable intellectual property cultural and social environment, deeply participating in global intellectual property governance and strengthening organizational guarantees.


ZLWD Commentary:

The issuance of the "The Plan on Advancing the Construction of a Powerful Intellectual Property Country in 2024" not only provides clear directions and key tasks for the development of the intellectual property field, but also emphasizes the importance of strengthening intellectual property protection, promoting market-oriented operations, optimizing public service systems, and deeply participating in global intellectual property governance. Its aim is to stimulate innovation vitality, enhance China's influence in the global intellectual property field and thereby promote high-quality economic development.


Opinions of the China National Intellectual Property Administration and the Ministry of Justice on Deepening Collaborative Protection and Strengthening the Rule of Law Guarantees for Intellectual Property Rights

To thoroughly implement the decision-making arrangements of the Party Central Committee and the State Council on comprehensively strengthening intellectual property protection, enhance the legal guarantee for intellectual property, optimize coordination mechanisms, strengthen collaborative protection efforts, and deepen cooperation between intellectual property management departments and judicial administrative organs in intellectual property protection work, the China National Intellectual Property Administration (CNIPA) and the Ministry of Justice jointly issued an opinion on deepening collaborative protection and strengthening the legal guarantee for intellectual property. 

This opinion requires taking Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era as the guidance, thoroughly studying and implementing Xi Jinping's thought of the rule of law, earnestly implementing a series of important instructions from General Secretary Xi Jinping on strengthening intellectual property protection, comprehensively implementing the spirit of the 20th National Congress of the Communist Party of China, advancing the implementation of the "Outline for the Construction of a Powerful Country in Intellectual Property (2021-2035)", the "Plan for the Construction of a Law-based China (2020-2025)", and the "14th Five-Year Plan for National Intellectual Property Protection and Utilization".

 It also calls for earnestly implementing the "Opinions on Strengthening Intellectual Property Protection" and the "Opinions on Improving Administrative Adjudication System and Strengthening Administrative Adjudication Work," leveraging the advantages of intellectual property management departments and judicial administrative organs to form a combined effort, collaboratively promoting comprehensive protection of intellectual property, striving to build an intellectual property system oriented towards socialist modernization, strengthening the legal guarantee for intellectual property, creating a favorable business and innovation environment, and providing strong support for the construction of a socialist modern powerful country. 

This opinion plays a significant role in strengthening the legal system for intellectual property, promoting administrative adjudication for intellectual property infringement disputes and promoting social co-governance in resolving intellectual property disputes.


ZLWD Commentary:

The aim of this opinion is to establish a more comprehensive and efficient intellectual property protection system by improving legal systems, strengthening legal guarantees, optimizing coordination mechanisms, and enhancing collaborative protection efforts. This not only helps stimulate innovation vitality, promote industrial transformation and upgrading, and high-quality development, but also creates a favorable business and innovation environment, enhancing China's influence and competitiveness in the global intellectual property field.


WIPO issued Worldwide Intellectual Property Rights in 2024

On 2 May local time, the World Intellectual Property Organization (WIPO) launched the World Intellectual Property Report 2024. The report focuses on the intersection between human innovation, economic diversification and industrial policy. The report highlights the importance of developing local innovation capacity for countries to achieve sustainable growth as a priority for policy development. By analysing nearly 40 million patent applications, more than 70 million scientific papers and exports of goods and services worth more than $30 trillion, the report finds that innovation is highly concentrated in a small number of countries. 

In particular, China, India and the Republic of Korea have seen a significant increase in technological diversification, with China's specialisation in technological capabilities jumping from 16 per cent to 94 per cent. The report also sheds light on innovation complexity, emphasising that only diverse innovation ecosystems can harness complex capabilities that are more likely to lead to higher growth. In addition, through several case studies, the report demonstrates how innovators and policymakers are carving out their own unique paths to development by enhancing innovation capabilities. The report is intended to provide guidance to policymakers around the world to promote the creation, protection and use of intellectual property.


ZLWD Commentary:

The launch of the Worldwide Intellectual Property Report in 2024 not only provides policymakers globally with in-depth insights into the intersection between innovation, economic diversification and industrial policy, but also highlights the critical role of local innovation capabilities in driving sustainable national development. 

By analysing in detail the current state of global innovation trends, technological advances and IP protection, the report provides a valuable reference for governments, businesses and research institutes, aiming to guide them in formulating more precise and effective policies to promote the creation, protection and use of IP, which in turn will contribute to sustained growth and innovative development of the global economy.


China National Intellectual Property Administration issued the 2024 National Work Plan for Intellectual Property Administrative Protection


The work plan is divided into three parts: overall requirements, main tasks and work requirements. In 2024, China's IP property identified five major tasks, namely strengthening legal protection for administrative protection, strengthening administrative law enforcement protection, strengthening intellectual property management, strengthening key areas and regional governance, and improving the working mechanism of administrative protection. According to the five major tasks, the bureau has put forward many specific working methods and measures, such as deepening the assistance mechanism of IPR rights protection and improving the work network of overseas dispute response and guidance, which will be implemented and detailed by the provincial IPPO.


ZLWD Commentary:

The report comprehensively and deeply analyzes the current situation and trends of intellectual property development in key cities in the Yangtze River Delta region through multiple dimensions such as urban intellectual property development competitiveness and industrial supporting power. It systematically evaluates and summarizes the intellectual property work in the Yangtze River Delta region, which not only helps cities in the region better understand their own advantages and disadvantages but also provides useful references and lessons for other regions.


China National Intellectual Property Administration and the Ministry of Justice jointly issued the Opinions on Deepening Collaborative Protection and Strengthening the Legal Protection of Intellectual Property Rights

The Opinions on Deepening Collaborative Protection and Strengthening the Legal Protection of Intellectual Property Rights are mainly divided into three parts: overall requirements, work content and organizational guarantee. In terms of work content, the Opinions specify seven contents, including strengthening the construction of intellectual property legal system, promoting the administrative adjudication of intellectual property infringement disputes, and promoting the resolution and social co-governance of intellectual property disputes. 

The Opinions also further emphasized the establishment of a consultation mechanism, strengthening information sharing and strengthening communication and training to provide organizational guarantee for the completion of work content, collaborative protection and strengthening the legal protection of intellectual property rights.


ZLWD Commentary:

The Opinions on Deepening the Collaborative Protection and Strengthening the Legal Protection of Intellectual Property Rights highlight the importance of the coordinated promotion and legal protection of intellectual property rights. 

The seven tasks cover all aspects of intellectual property rights protection, from system building to dispute resolution, which are systematic and comprehensive. Through the consultation mechanism, information sharing, exchange and training and other organizational safeguard measures, the opinions have laid a solid foundation for the legal protection of intellectual property rights, and helped to form a more efficient protection system.


The Supreme People's Court introduced the overall situation of the judicial protection of intellectual property rights in China in 2023

On April 22, the Supreme People's Court held a press conference on the Intellectual Property Publicity Week, introducing the overall situation of the judicial protection of intellectual property by courts across the country in 2023 and the collection of short films for intellectual property protection. In terms of promoting the unification of administrative standards and judicial standards, the Supreme People's Court has achieved good results. From 2019 to 2023, the Intellectual Property Court of the Supreme People's Court accepted 3,943 cases of patent authorization and second instance, and concluded 2,971 cases, with the revision rate of the second instance of 6.4%; accepted 65 disputes concerning administrative adjudication and administrative treatment, and concluded 52 cases, with the revision rate of 21.2% and the withdrawal rate of 15.4%. 

In terms of the use of punitive damages in intellectual property cases, in 2023, courts nationwide applied punitive damages in 319 cases, an increase of 117% year on year, and the amount of damages awarded reached 1.16 billion yuan, up 3.5 times year on year. Among them, the Intellectual Property Court of the Supreme People's Court applied punitive damages in eight cases. In addition, the Supreme People's Court also explained and summarized the role and specific measures of the judicial work in promoting the development of new quality productivity and in the field of medicine.

   

ZLWD Commentary:

The report of the Supreme People's Court fully demonstrates the achievements and progress of the judicial protection of intellectual property rights in China. The data of the rate of revision and withdrawal rate of the second instance reflect the strictness and impartiality of judicial protection. The application of punitive damages has increased significantly, further strengthening the deterrent effect of infringement. These measures not only improve the quality of judicial protection, but also provide a stronger legal guarantee for intellectual property rights holders, and promote the optimization of the innovation environment.


The SPP issued the White Paper on Intellectual Property Procuratorial Work (2021-2023)

According to the White Paper, between 2021 and 2023, the number of IPR infringement crimes accepted by procuratorial organs nationwide increased from 22,000 to 30,700, with the number of some cases increasing significantly. In 2023, the number of crimes of copyright infringement and infringement of trade secrets increased by 1.4 times and 96.6% respectively compared with the same period last year, significantly higher than the overall criminal cases of intellectual property infringement.

In terms of crime types, the cases of intellectual property crimes are mainly crimes of trademark infringement, and the number of copyright infringement and infringement of commercial secrets has increased significantly. In terms of geographical distribution, the number of criminal cases of IPR infringement handled in the economically developed areas is large, which shows a positive correlation with the level of economic and social development to a certain extent. In 2023, the large number of IPR infringement crimes was 3,589 in Guangdong, 3,417 in Zhejiang, 2,600 in Shandong, 2,362 in Shanghai, 2,233 in Anhui and 1,985 in Jiangsu, with six provinces accounting for 52.8%.


ZLWD Commentary:

The White Paper on Intellectual Property Procuratorial Work (2021-2023) demonstrates the positive results of procuratorial organs in combating intellectual property crimes. The significant increase in criminal cases of trademark infringement, copyright and trade secrets reflects the grim situation of intellectual property protection. The data in the white paper provide an important reference for IPR protection, help all parties to better understand and deal with the complexity and diversity of IPR crimes, and provide strong support for further strengthening IPR protection.


The Bureau of China released a white paper on China's IPR Protection in 2023

The White Paper introduces the progress and achievements of China's IPR protection in 2023 from five aspects: the effectiveness of protection, system building, approval and registration, cultural development, and international cooperation.

In terms of protection effectiveness, judicial, administrative, protection mechanisms and capacity building jointly play a role in improving energy efficiency. In terms of judicial protection, 462,200,200 cases of IPR civil cases, 20,583 and 7,335 criminal cases, 7,049 cases of IPR infringement, 12,122 cases, 40,000 cases of IPR infringement and manufacturing and sale of shoddy commodities, including more than 150 cases of counterfeiting patent infringement and infringement of trade secrets, and more than 800 cases of copyright infringement. In terms of administrative law enforcement, market regulatory departments at all levels across the country investigated and dealt with 4,600 patent violation cases and 39,400 trademark violation cases in 2023, and carried out special actions for supervision and protection in various fields.

In terms of institutional building, in 2023, about 20 IPR laws, regulations and rules were formulated, revised and promulgated, two judicial interpretations related to IPR protection were formulated, revised and improved, and about 30 normative documents and policy documents related to IPR protection were issued. Positive progress was made in comprehensive local legislation. In terms of examination and approval and registration, the number of intellectual property approval and registration generally maintained growth. By the end of 2023, the total number of valid invention patents in China was 4,990,600, up 18.5% year on year, and the number of valid registered trademarks in China was 46.146,400, with a year-on-year growth of 8.1%. The total number of Copyrights registered annually was 8.923,900, up 40.46 percent year on year. A total of 2,508 products with geographical indication for protection have been approved. In 2023,14,278 applications for new varieties of agricultural plants were accepted, an increase of 27.5% year on year; 1,906 applications for new varieties of forest and grass plants were accepted, and 915 applications were authorized.


ZLWD Commentary:

The white paper on IPR Protection in 2023 provides a comprehensive introduction of China's remarkable progress in IPR protection. The synergistic effect of judicial and administrative protection, the growth of intellectual property approval and registration, and the strengthening of international cooperation all show the continuous improvement of the IPR protection mechanism. These developments have not only improved the overall level of IPR protection, but also provided a better protective environment for innovators at home and abroad, further stimulating market vitality and innovation momentum.


The State Administration for Market Regulation has issued the Interim Provisions on Anti-Unfair Competition on the Internet

The Regulations mainly supplement and improve China's legislation on the prohibition of network unfair competition from the following four aspects:

1. The Regulations emphasize the principle of fair competition that operators should abide by in the online environment, and explicitly prohibit unfair competition behaviors that can disrupt the market order and harm the legitimate rights and interests of others. Article 2 of the Regulations clearly stipulates that business operators shall not carry out unfair competition on the Internet, disrupt the order of market competition, affect fair market trading, and damage the legitimate rights and interests of other business operators or consumers.

2. The Regulations respond to the new type of unfair competition behaviors arising in Internet business activities, and add relevant codes of conduct, such as specific regulations on Internet confusion, false publicity, Internet bribery and other behaviors. Increased in the network confusion behavior, for example, the "unauthorized use others have a certain influence of network agency, network symbol, such as network abbreviation logo" behavior, in the network false advertising new "through hot search, review, hot transfer, list, the implementation of commercial marketing activities" behavior, the network bribery of property as "including cash, goods, network virtual property and gift certificates, funds, shares, debt relief and other property rights" and so on.

3. The Provisions improve the provisions on the use of technological means to implement unfair competition to maintain fair competition in the market. For example, operators use data, algorithms and other technical means to influence user choice or other ways to implement traffic hijacking, interference, malicious incompatibility and other behaviors.

4. The regulations and international economic and trade rules further cohesion, increased the platform operators violate the other fair trading behavior regulation, maintain market fair trading order, comply with the platform of the era of digital economy regulation needs, embodies the market regulators adhere to the problem oriented, the pioneering spirit of system innovation.

   

ZLWD Commentary:

The Interim Provisions on Anti-Unfair Competition on the Internet provide detailed provisions on unfair competition behaviors in the Internet environment, responding to the emergence of new unfair competition behaviors. Clear norms of conduct and the regulation of technical means can help to maintain the market order of fair competition. This regulation reflects the forward-looking and flexibility of legislation, provides strong support for market regulation in the digital economy era, and promotes the formation of a healthy and orderly online market environment.


The Shanghai Yangpu Court found that the use of the "White Rabbit Candy" logo on the shake infringed the registered trademark of "White Rabbit"

The plaintiff a dairy co., LTD (G) and "White Rabbit Candy" brand owner a food co., LTD. (S) in July 2019 jointly launched the "White Rabbit Milk Flavor Candy", the packaging used classic white rabbit milk white color and registered trademark, trademark approval for class 29 (milk, milk products, milk drinks). The defendant (Y Company) has been producing a product with a white Rabbit logo and a white Rabbit flavored shake in July 2019.

Company G claimed that the shake product was similar to the company's milk products, and the accused infringement logo used on the shake product was similar to the company's milk products trademark, infringing the exclusive right of the registered trademark (No.757086), and requested the people's court to order the defendant to stop the infringement and compensate for economic losses and reasonable expenses for safeguarding rights.

The Yangpu Court in Shanghai said, Although the characters of "White Rabbit Candy" and the image of "rabbit" in trademark No.757086 belong to the vocabulary and image of the public domain, However, through the continuous use and publicity of the trademark and the associated trademark by the trademark right holder, The trademark has formed a stable connection with the category 29 goods provided by the trademark owner, With the identification function of distinguishing between trademark sources, The accused infringement logo is highly similar to trademark No.757086 in terms of Chinese characters, animal image, background elements and color selection, In the right of the trademark has a certain popularity, As well as ordinary consumers and operators in the premise of overall observation and isolation comparison, It is easy to confuse the infringing logo with trademark No.757086, Or think that there is a specific connection between them, Therefore, the two trademark composition is similar, Therefore, the defendant constitutes the infringement of the exclusive trademark, And ordered the defendant Y company to compensate the plaintiff for the economic losses and reasonable expenses of more than 350,000 yuan.


ZLWD Commentary:

The Shanghai Yangpu Court's ruling on the trademark infringement of "Milk White Rabbit" reiterated the strict standards for trademark protection. In this case, the high similarity of the sued infringement logo and the "White Rabbit" trademark fully demonstrates the market influence of well-known trademarks and the importance of legal protection. The ruling provides a judicial reference for similar cases, emphasizing the key role of trademark protection in maintaining market order and consumer rights and interests.


The Standing Committee of the National People's Congress and The State Council respectively announced the 2024 legislative plan, covering a number of intellectual property legislation on trademarks, new plant varieties and anti-unfair competition

In the legislative plan issued by The General Office of the State Council, the revised draft of the Anti-Unfair Competition Law drafted by the State Administration for Market Regulation and 20 other draft laws are included in the bill to be submitted to the NPC Standing Committee for deliberation. At the same time, the plan, centering on the strategy of rejuvenating the country through science and education and culture, is ready to be submitted to the Standing Committee of the National People's Congress for the draft of the Artificial Intelligence Law, and to revise the Regulations on the Protection of New Plant Varieties.


ZLWD Commentary:

The 2024 legislative plan showcases the country's importance and planning on intellectual property protection and innovative development. A number of legislation involving the Trademark Law, the Regulations on the Protection of New Plant Varieties and the Anti-Unfair Competition Law reflect the continuous improvement of the legislative system. These legislative measures will provide a more solid legal foundation for IPR protection, further optimize the environment for innovation, and contribute to high-quality economic development.


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