Key Revisions to Chinese Trademark Law: Promising Steps toward IP Protection

The Standing Committee of the National People's Congress revised the Trademark Law of the People's Republic of China, which goes into effect on May 1, 2014.

Trademark owners can now designate multiple classes in one application rather than filing separate applications for each class of goods. Also, sounds may now be registered as trademarks, as long as they distinguish the mark owner's goods.

The owners of "well-known" trademarks may now prevent others from using the mark on dissimilar goods if the use would likely cause confusion and potentially prejudice the owners of the well-known mark.

In regard to infringement, Chinese courts may now award significantly greater statutory damages in infringement cases ranging from RMB 500,000 to RMB 3 million (roughly from $80,000 to $500,000). The courts and trademark office will now conduct a likelihood of confusion analysis in determining infringement. If requested by the court, infringing parties must now provide documents to assist in the determination of damages.

These changes show that China has taken a positive step towards recognizing and protecting intellectual property rights in a manner consistent with international norms.

(Source: China IP Magazine)