How China IP Lawyers Help You Making the Correct Decisions

business

The ‘Chinese Great Firewall’ separates the whole ecosystem in China from the rest of the world, not just in terms of the legal system, but also how people fundamentally receive, process & engage with information. For foreign businesses, hiring bilingual lawyers is a good idea. In the Chinese legal framework, bilingual lawyers have a competitive edge. Businesses simply need to do some due diligence before they pay/hire a China lawyer, especially if you will be paying upfront for something like a China trademark or a China company registration where it may take you years to realize you were duped.

To save your product idea and brand image, money spent on filing trademark registration is a wise decision. Although the process of trademark registration in China is a bit time-taking, the protection and security it offers to your company are simply unparalleled. Even before your trademark is approved, the pending process could also deter counterfeiters to imitate your valued brand. Registering your trademark protects it from anyone that attempts to profit from your marketing and product development. Obtaining a registered trademark for your brand’s IP will allow you to use the registered trademark symbol “®” in the name, logo, designs, slogans, and any words associated with your brand.

Monitor New Trademark Applications

It’s your responsibility to monitor trademark registrations that might conflict with your registered mark. It is a good idea to monitor closely if someone else is trying to bring the same product that might conflict with your one.

Register your IP rights in China

In order to enforce IP in China, foreign firms are required to register their IP in China. Mainland China, Hong Kong, Macau, and Taiwan all have separate legal systems. Protection in each territory requires a separate registration. If you want protection in these territories, you will need to register your IP rights in these territories. China Trademark Office is a Shanghai-based Chinese government-approved agency dealing with IP.  You can search the Trademark gazette here, and also file applications (if you have a business registration in China).

 

Importance of Cultivating a Strong Compliance Culture in China

Cultivating a robust compliance culture and a strong compliance tone from the top is paramount. Your most important first step to preventing China’s corruption compliance problems is to establish a strong anti-corruption policy that addresses both China’s anti-corruption laws and those of your home country. Under Chinese President Xi Jing Ping’s anti-corruption campaign, the enforcement has expanded to focus not only on governmental officials but also on the business communities. Now Chinese procurators and judges now put more weight on penalizing the crime of bribery.

 

The Chinese law firms that offer exclusive patent protection consultation could play a vital role in safeguarding your business interests in China. Patent attorneys of Chinese law firms can greatly increase the corporate value of your company or brand. That’s why conducting thorough due diligence before appointing the right China patent lawyer is an important decision in terms of your business. You need to know more than where a patent lawyer went to school and what they studied.

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The Modernized Version of Arbitration Law of China

International Arbitration Law

Arbitration law is a relatively new body of law that is developing rapidly as commercial ventures between Chinese and non-Chinese parties proliferate. Arbitration cases administered by the arbitration committees across China increased a lot over the years. This Law is formulated in order to ensure that economic disputes shall be impartially and promptly arbitrated, to protect the legitimate rights and interests of the relevant parties, and to guarantee the healthy development of the socialist market economy.

 

Under the Chinese legal system for a foreign-related arbitration seated in China, rules of the applicable law can be perceived from the two main aspects:

 

FIRST- For the validity of the arbitration agreement, it is explicitly addressed by the Judicial Interpretations on Chinese Arbitration Law of the Supreme Court of China that the applicable law should be the law selected by the parties by agreement, otherwise the law of the seat of arbitration shall apply.

SECOND- For substantive issues, the Law on Application of Law in Foreign-related Civil Relations allows the parties to select by agreement the applicable law, either domestic law or foreign law, to govern the contract, provided that such selection does not violate any Chinese mandatory provisions or the social and public interests of China. The law most closely associated with the contract shall apply by default of an agreed selection.

There are numerous local arbitration commissions in the main cities throughout China where the parties wish to have the arbitration referred to CIETAC. It is important to note that CIETAC has its head office in Beijing and sub-commissions in Shanghai and Shenzhen.

 

According to the article 2, the China International Economic and Trade Arbitration Commission (originally named the Foreign Trade Arbitration Commission of the China Council for the Promotion of International Trade, later renamed the Foreign Economic and Trade Arbitration Commission of the China Council for the Promotion of International Trade, and presently called the China International Economic and Trade Arbitration Commission, hereinafter referred to as the Arbitration Commission) independently and impartially resolves, by means of arbitration, disputes arising from international or external, contractual or non-contractual, economic and trade transactions, including those disputes between foreign legal persons and/or natural persons and Chinese legal persons and/or natural persons, between foreign legal persons and/or natural persons, and between Chinese legal persons and/or natural persons, in order to protect the legitimate rights and interests of the parties and promote the development of the domestic and international economy and trade.

 

The Arbitration Law only provides for institutional arbitration. However, ad-hoc arbitral awards have equal status as institutional arbitral awards under the New York Convention, to which China has acceded, and thus the legal effect of ad hoc arbitration conducted in other jurisdictions should rightly be recognized in China.

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