/>iOn April 26, 2024, China’s National Intellectual Property Administration (CNIPA) released the 2023 Typical Cases of Administrative Enforcement (2023年度知识产权行政保护典型案例). The 30 cases covers patents, trademarks and geographical indications. Administrative enforcement in China provides an alternative to enforcement through the court system and can be faster and less expensive than going to trial. However, while damages are unavailable defendants can be fined. Note though fines can be quite high as the 12 million RMB fine in the first case below indicates.
As summarized by CNIPA:
- The Shenzhen Municipal Administration for Market Regulation (Intellectual Property Office) of Guangdong Province investigated and dealt with the case of infringement of the exclusive rights of the registered trademark “Xiaomi”
【 Case Introduction 】
The “小米” (Xiaomi) trademark No. 8228211 is a registered trademark of Xiaomi Technology Co., Ltd. on Class 9 “laptop computers” and other products. The exclusive right period is until April 27, 2031.
On August 4, 2021, the Shenzhen Municipal Administration for Market Regulation (Intellectual Property Office) launched an investigation into Shenzhen Hengzheng E-Commerce Co., Ltd. based on complaints. After investigation, the party concerned opened a “Ziben Digital Flagship Store” on the e-commerce platform, selling tablets since August 2020, and used the word “小米派” (Xiaomi Pai) in the product title on the online store webpage, with a total of 47,866 successful transactions and sales. The amount is 42.182025 million RMB.
On February 14, 2022, the Shenzhen Municipal Administration for Market Regulation (Intellectual Property Office) requested instructions from the CNIPA step by step on issues such as how to characterize the parties’ illegal conduct and how to calculate the illegal business volume. Later, according to the approval of the CNIPA, it was finally determined that the use of other people’s registered trademark words in the product titles of the online store webpage served to distinguish the source of the products and constituted trademark use; the infringer’s business income generated due to infringement, that is, income from the sale of goods, was illegal business volume.
On April 10, 2023, the Shenzhen Municipal Administration for Market Regulation (Intellectual Property Office) determined that the party’s acts constituted an infringement as specified in Article 57, Paragraph 2 of the Trademark Law of the People’s Republic of China. The party used the word “小米派” to sell tablets and the business income of computers is illegal business volume; in accordance with Article 60, paragraph 2, of the Trademark Law of the People’s Republic of China and other relevant legal provisions, the party concerned is ordered to immediately stop the infringement, fined 12,654,607 RMB, and the business license was revoked. After the case was concluded , the right holder of the case filed a separate civil lawsuit, and the People’s Court made a judgment on compensation and other matters.
- Anhui Province Hefei Municipal Market Supervision Administration (Intellectual Property Office) investigates and punishes infringement of
“嘉实多” (Castrol) registered trademark exclusive rights
【 Case Introduction 】
No. 5212636 and No. 1972857 “嘉实多” trademarks are registered trademarks of Castrol Co., Ltd. on Class 4 “lubricating oils; lubricants; grease; industrial grease” and other products. The exclusive rights are valid until June 20, 2029 and September 27, 2032, respectively.
On September 19, 2022, the Hefei Municipal Administration for Market Regulation (Intellectual Property Office) inspected Anhui Juzhixing Automobile Repair Co., Ltd. based on reports and found that it used the registered trademark of Castrol Co., Ltd. involved in the case on its store signs without authorization, infringing and “嘉实多” and received a cease and desist letter. On October 11, 2022, law enforcement officers inspected the parties’ business premises again and found 52 bottles of engine oil marked with ,“嘉实多” and other logos, which were seized on the spot in accordance with the law. During the inspection, the executive director of the party, Zhou, tore up law enforcement documents, pushed law enforcement officers, smashed the office computer host seized at the scene, and violently obstructed law enforcement. The circumstances were egregious. Law enforcement officers called the police to deal with the matter. Zhou was given seven days of administrative detention.
In October 2023, the Hefei Municipal Administration for Market Regulation (Intellectual Property Office) determined that the acts of the party concerned constituted infringement as stipulated in Article 57, Item 3 of the Trademark Law of the People’s Republic of China. The party involved obstructed the state administrative law enforcement agencies from performing official duties in accordance with the law, and the circumstances were egregious. The case handling agency referred to the provisions of Article 14, Item 4, of the “Anhui Provincial Market Supervision and Administration Rules for the Application of Administrative Punishment Discretionary Powers” and decided to impose severe penalties on the party concerned, and in accordance with Paragraph 2 of Article 60 of the Trademark Law of the People’s Republic of China, the parties are ordered to immediately stop illegal activities, and a decision is made to confiscate the infringing goods and impose a fine of 200,000 RMB. At the same time, in accordance with the “Administrative Measures for the List of Serious Violators and Untrustworthy Persons in Market Supervision and Administration”, the parties will be included in the list of serious illegal and untrustworthy persons and announced to the public.
- The Market Supervision and Administration Bureau of Suichang County, Lishui City, Zhejiang Province investigated and dealt with the case of infringement of exclusive rights to registered trademarks
【Case Introduction】
No. 7613055 is a registered trademark of Guangzhou Blue Moon Industrial Co., Ltd. for Class 3 products such as “laundry detergent; hand cream; shampoo; detergent”. The exclusive right period is until November 6, 2030, and it is licensed to Blue Moon (China) Co., Ltd. for use.
On March 28, 2023, law enforcement officers from Suichang County Market Supervision and Administration Bureau conducted an on-site inspection of Suichang Zhenxian Supermarket based on reports and found that products such as “Blue Moon Deep Cleansing Care Laundry Detergent (Lavender Scent)” were on sale on the shelves of the party concerned. . Zhu XX, the operator of the party concerned, stated that the batches of laundry detergent involved were purchased from a trading company in Longyou County, and only the purchase receipts and copies of the business license were retained. In the past two years, the relevant trademark use certificates have not been inspected. The party concerned provided purchase receipts and copies of the supplier’s business license. After consulting the Blue Moon brand dealer in Suichang, the purchase price of the goods involved was in line with the normal market purchase price. After identification by Blue Moon (China) Co., Ltd., the above-mentioned infringing laundry detergent products are slightly different from genuine products, making it difficult for ordinary purchasers and consumers to distinguish.
Suichang County Market Supervision and Administration Bureau determined that the party’s acts constituted infringement as stipulated in Article 57, Paragraph 3 of the Trademark Law of the People’s Republic of China, but it fell within the exceptions specified in Article 79 of the Implementation Regulations of the Trademark Law of the People’s Republic of China by proving that the goods were obtained legally. On June 27, 2023, Suichang County Market Supervision and Administration Bureau ordered the parties concerned to immediately stop selling infringing goods in accordance with Article 60, Paragraph 2, of the Trademark Law of the People’s Republic of China, and in accordance with Article 60, Paragraph 2, of the Administrative Punishment Law of the People’s Republic of China, Paragraph 3 of Article 13 stipulates that the parties will not be punished, but will be educated and required to strengthen the inspection of incoming goods and the qualification inspection of suppliers.
- The Market Supervision and Administration Bureau of Tian’e County, Hechi City, Guangxi Zhuang Autonomous Region investigated and dealt with the case of infringement of the exclusive right of a registered trademark
【 Case Introduction 】
No. 866912 is the registered trademark of Niulanshan Winery of Beijing Shunxin Agriculture Co., Ltd. on the 33rd class of “alcoholic beverages (except beer)” products. The exclusive right period is until August 27, 2026.
On September 22, 2022, law enforcement officers from the Tian’e County Market Supervision and Administration Bureau conducted inspections on three canteens: Jianyang Food Store in Tian’e County, Weijia Wholesale Supermarket in Tian’e County, and Xiaozhao Department Store Supermarket in Tian’e County. After investigation, the above-mentioned stores sold Niulanshan aged liquor and were unable to provide brand authorization licenses, contracts and purchase notes. The trademark registrant identified that the products involved were not produced under commission or authorization by the company. The Tian’e County Market Supervision and Administration Bureau issued administrative penalties for the above-mentioned stores’ behavior of selling goods that infringed on the exclusive rights of registered trademarks.
After further investigation and investigation of clues, it was discovered that the infringing liquor sold by the three canteens was sold door-to-door by salesmen, covering a wide range of areas, and the illegal business volume reached the level for transfer for criminal prosecution. The Tian’e County Market Supervision and Administration Bureau transferred the clues to the Tian’e County Public Security Bureau, and jointly set up a task force to investigate. After many on-site inspections, it was discovered that the suspect Wu and others were manufacturing and selling liquor with counterfeit registered trademarks in other provinces, with logistics and distribution throughout the country. Counterfeit liquor producers work closely with local dealers to form a one-stop gray industrial chain of division of labor and collaboration, transit transportation, production, transportation and processing.
On September 12, 2023, law enforcement officers from the Tian’e County Market Supervision and Administration Bureau cooperated with members of the Tian’e police task force to close the web on operations in Hubei, Hebei, Guangxi and other places, and arrested Wu and many other suspects. After investigation, since January 2021, Wu and others have been involved in selling counterfeit liquor with a total amount of more than 30 million RMB.
At present, five criminal suspects including Wu are under compulsory measures by the Tian’e County police in accordance with the law and handed over to the Yizhou District Procuratorate of Hechi City for public prosecution. The case is under trial.
- The Market Supervision and Administration Bureau of Hezhou City, Guangxi Zhuang Autonomous Region investigated and dealt with the case of infringement of exclusive rights to registered trademark
【Case Introduction】
No. 1372525 is the registered trademark of Guangxi Luzhai Wanqiang Fertilizer Co., Ltd. in class 1 “Phosphate Fertilizer (Fertilizer); Superphosphate (Fertilizer); Agricultural Fertilizer” and other commodities. The exclusive right period is until March 13, 2030.
On February 8, 2023, the Hezhou Municipal Market Supervision and Administration Bureau inspected the Hongjiuxing Agricultural Materials Operation Department in Pinggui District, Hezhou City based on complaints and found that 400 packages of “喜丰” (Xifeng) calcium magnesium phosphate fertilizer for sale totaling 10 tons using the registered trademark. The rights holder confirmed that the goods involved were not produced under its commission or authorization. On February 9, the Hezhou Municipal Market Supervision and Administration Bureau implemented administrative enforcement measures to seize the above-mentioned fertilizers in accordance with the law, and opened a case for investigation on the same day. In order to find out the source of the counterfeit fertilizer involved in the case, the bureau and the Hezhou Municipal Public Security Bureau launched a joint investigation.
The two departments found that the person in charge, Lu XX and others, used a registered mineral powder factory in Wuming District, Nanning City as a cover to directly package the mineral powder into eight brands of calcium magnesium phosphate fertilizer from Guangxi Luzhai Wanqiang Fertilizer Co., Ltd. and seven other fertilizer production companies in Yunnan, Guizhou and other places, falsely claiming that they were sold directly by the manufacturer and sold to various townships. From March to May 2023, the Hezhou Municipal Market Supervision Administration and the Hezhou Municipal Public Security Bureau launched a roundup operation in Hezhou, Nanning, Chongzuo, Baise and other places, destroying a fertilizer counterfeiting den, identifying 92 sales outlets involved in the case, seizing more than 1,700 tons of counterfeit fertilizers and more than 1,100 tons of raw materials; arrested 12 suspects involved in the case, and froze more than 700,000 RMB of funds involved in the case.
At present, the three suspects in this case are under compulsory measures by the Hezhou Municipal Public Security Bureau in accordance with the law, and have been handed over to the Hezhou Pinggui District Procuratorate for prosecution on suspicion of counterfeiting registered trademarks. The case is under trial.
- The Market Supervision and Administration Bureau of Chenghua District, Chengdu City, Sichuan Province investigated and dealt with the case of infringement of the exclusive rights of registered trademark
【Case Introduction】
Trademark No. 13084672 is a registered trademark of UL LLC in the United States in Class 42 “Quality Testing; Quality Control; Quality Assessment; Quality System Certification” and other services. The exclusive right period is until June 20, 2025.
On November 17, 2022, law enforcement officers from the Chenghua District Market Supervision and Administration Bureau of Chengdu City inspected Sichuan Youlebo Testing Technology Co., Ltd. based on reports. After investigation, it was found that the party involved was mainly engaged in quality testing related services. Without the permission of the trademark registrant, he used trademark and logo 
in his company’s business premises, WeChat public accounts, relevant contracts and test reports, etc. , which were similar to the registered trademarks and easily leads to confusion and misunderstanding among the relevant public and infringe the exclusive rights of registered trademarks. After investigation, it was found that the illegal business volume of the parties involved was 189,350 RMB.
On March 13, 2023, the Chenghua District Market Supervision and Administration Bureau of Chengdu determined that the parties’ acts constituted infringement as specified in Article 57, Item 2 of the Trademark Law of the People’s Republic of China. According to the Trademark Law of the People’s Republic of China, Article 60 Paragraph 2 the Bureau imposed an administrative penalty of a fine of 410,000 RMB.
- Jiangsu Province Nantong City Tongzhou District Market Supervision and Administration Bureau (Intellectual Property Office) investigated and dealt with a case of infringement of registered trademark exclusive right for
【Case Brief】
Trademark No. 45419791 “ ” is a registered trademark of Gu Jiajia Furniture Co., Ltd. for products such as “pillows” in Class 20, and the exclusive right expires on January 27, 2032.
On February 17, 2023, the Nantong Tongzhou District Market Supervision and Administration Bureau (Intellectual Property Office) conducted an on-site inspection of the production and operation sites of Nantong Gaodu Textile Technology Co., Ltd. Upon investigation, it was found that the party, based on customer orders, purchased 1,500 woven
labels from the market and sewed them on the memory pillows it produced without obtaining authorization from the registered trademark right holder, and produced a total of 420 finished memory pillows marked with , with an illegal business turnover of 9,240 RMB. Gu Jiajia Furniture Co., Ltd. identified that the goods involved were not commissioned or authorized to be produced by it.
After further investigation, the party concerned was punished in accordance with the law by the Tongzhou District Market Supervision and Administration Bureau of Nantong City on December 15, 2021 for producing and selling latex pillows that infringed the exclusive rights of the registered trademarks of “MUJI” and “無印良品”.
On June 7, 2023, the Tongzhou District Market Supervision and Administration Bureau (Intellectual Property Office) of Nantong City determined that the party’s acts constituted infringement as stipulated in Article 57, Paragraph 1, of the Trademark Law of the People’s Republic of China. The party concerned continues to engage in trademark infringement activities, and therefore, it is a knowing and intentional offense and should be severely punished. The case handling agency imposed administrative penalties in accordance with Paragraph 2 of Article 60 of the Trademark Law of the People’s Republic of China, confiscate the woven label involved, and impose a fine of 175,000 RMB.
- The Shenyang Municipal Market Supervision and Administration Bureau (Intellectual Property Office) of Liaoning Province investigated and dealt with the case of infringement of the exclusive rights of registered trademarks such as “Kweichow Moutai”
【Case Introduction】
“Kweichow Moutai” trademark No. 3159141, 
trademark No. 3159143, and 
trademark No. 10195605 are registered trademarks of China Kweichow Moutai Distillery (Group) Co., Ltd. in Class 33 “alcoholic beverages (excluding beer)” and other goods; the exclusive rights are valid until April 20, 2033, April 20, 2033, and January 13, 2033 respectively.
Trademark No. 1207092 and 
Trademark No. 3467940 are registered trademarks of Sichuan Yibin Wuliangye Group Co., Ltd. in Class 33 “alcoholic beverages (excluding beer)” and other commodities. The exclusive rights are valid until September 13, 2028, and August 20, 2034, respectively.
On February 9, 2023, the Shenyang Municipal Administration for Market Regulation (Intellectual Property Office) used the actual shipping address of the suspected counterfeit online store as a breakthrough to conduct investigation and found that the address was a false address. In order to ascertain the facts, the case handling agency initiated a joint investigation. The Food and Drug Investigation Department of the Municipal Public Security Bureau provides technical support to identify the identity the persons and the place where the illegal acts occurred.
On February 24, 2023, the public security organs and market supervision law enforcement officers launched a joint law enforcement operation and seized more than 180,000 trademark logos confirmed by manufacturers as suspected of infringing registered trademarks such as “Kweichow Moutai” and “ “, and seized label printers and laptops, hard drives and other illegal tools. The person involved in the case was suspected of committing a crime, and law enforcement officers transferred the case to the Food and Drug Investigation Detachment of the Shenyang Public Security Bureau on the spot. Later, the public security organs transferred the five captured suspects to the procuratorate for public prosecution. On January 25, 2024, the court sentenced the above-mentioned persons to two to three years’ imprisonment and fines.
- Tongxiang Market Supervision and Administration Bureau of Zhejiang Province investigates and handles cases of infringement of exclusive rights to registered trademarks
【Case Introduction】
Trademark No. 1283610 and Trademark No. 12212099 are registered trademarks of Fujian Qipai Fashion Technology Co., Ltd. in Class 25 “clothing” and other commodities. The exclusive rights are valid until June 13, 2029 and August 13, 2034 respectively.
On July 3, 2023, the Tongxiang Municipal Market Supervision and Administration Bureau received a procuratorial opinion issued by the Tongxiang Municipal People’s Procuratorate, pointing out that Fang XX produced counterfeit “Qipai” registered trademark logos and helped Li produce OEM products and obtain payment. While the crime is minor and does not need to bear criminal responsibility, the infringers should still accept administrative penalties. On July 4, 2023, the Tongxiang Municipal Administration for Market Regulation launched an investigation into the Tongxiang Puyuan Fangwei Garment Factory operated by Fang XX.
After investigation, from November 2021 to May 24, 2022, the party concerned downloaded trademark graphics from the Internet to make them, including chest labels, collar labels, hang tags, etc., without the permission of the trademark registrant, and used the produced trademark logos in a total of 3,000 pieces of blank clothing that were provided by Li, with sales of 7,862 RMB. The party concerned did not obtain authorization to create the trademark logo.
It was also found that the party concerned had been subject to administrative penalties due to trademark infringement on October 13, 2020. The party committed an infringement act as stipulated in Article 57, Paragraph 4 of the Trademark Law of the People’s Republic of China, and committed trademark infringement for the second time within five years, which is an aggravating circumstance. On October 13, 2023, the Tongxiang Municipal Administration for Market Regulation ordered the parties to immediately stop the infringement and fined them 180,000 RMB in accordance with Article 60, Paragraph 2, of the Trademark Law of the People’s Republic of China. At the same time, in accordance with the relevant provisions of the “Measures for the Administration of Market Supervision and Administration of Serious Illegal and Untrustworthy Lists”, the parties will be included in the list of serious illegal and untrustworthy persons.
- Chongqing Dadukou District Market Supervision and Administration Bureau investigates and handles cases of infringement of exclusive rights to registered trademark
【Case Introduction】
No. 18169925 is a registered trademark of Aofei Entertainment Co., Ltd. on products in Class 20 including “sofas; wood, wax, plaster or plastic artworks”, and the exclusive right period is until December 6, 2026.
On March 22, 2023, law enforcement officers from the Market Supervision and Administration Bureau of Dadukou District, Chongqing City, based on the report, went to the production and operation site of the party Chongqing Dengfeng Sculpture Co., Ltd. for an on-site inspection and found 3 finished sculptures with patterns, 3 semi-finished products and 3 corresponding molds. After investigation, Ji XX, the legal representative of the party, was entrusted by others to customize two “Super Wings” sculptures. Ji XX signed under the name of Ruyi Sculpture Design Studio in Dadukou District, Chongqing and made molds with pattern grooves. However, Ruyi Sculpture Design Studio in Dadukou District, Chongqing did not obtain relevant authorization and canceled on September 5, 2019; therefore it cannot be held responsible. From March to April 2022, the party involved used the previously made molds to make 3 finished sculptures and 3 semi-finished products with patterns, and sold them through short video platforms, with an illegal business turnover of 6,600 RMB.
On June 5, 2023, the Dadukou District Market Supervision Administration determined that the behavior of the parties constituted infringement as stipulated in Article 57, Paragraph 1, of the Trademark Law of the People’s Republic of China. According to the Trademark Law of the People’s Republic of China, Article 60 Paragraph 2 of the article, and taking into account the parties’ timely deletion of the videos involved, etc., a penalty decision was made, ordering them to immediately stop the infringement, confiscating the finished sculptures, semi-finished products and corresponding molds, and imposing a fine of 30,000 RMB.
The original announcement, including third-party expert commentary, is available here (Chinese only).
