Case

Why I am suffering such a big loss even though I have registered for China customs intellectual property rights?

PS: All screenshots comes from China customs intellectual property right registration system.

In this picture you will find that the two different companies register the same brand and the same logo, they are both legal and protected by Chinese Intellectual Property Law. How come? How can two companies own the trademark and logo at the same time?

The dirty trick is here, look at the following screenshots:

The company, briefed as Company A, is the real owner of the brand (Star Track), and it registered the intellectual property rights for the brand and logo on October 7, 2009.

The company, briefed as Company B, registered the intellectual property rights for the same brand and logo on December 7, 2012.

Why did China customs accept the registration by Company B on December 7, 2012 since Company A has already registered for intellectual property right?

Here is the reason: the same band and logo can be registered under different commodity categories pursuant to intellectual property laws in China.  Company A is TV set top box and Star Track is their brand. The product they register is TV set top box.Company B is a Chinese company and the product they register with the same brand is remote control.

TV set-top boxes and remote controls are defined in accordance with China intellectual property right laws as two different products, so China trademark office and the intellectual property law department of China customs allows legislate registration of remote controls by Company B.

Then comes the problem, we know that the set-top box is sold with a remote control. The container of company was seized by China customs when they exported TV set-top boxes because they had Star Track brand remote controls in the container, which violated the intellectual property of Company B. Company A tried every means to explain to the customs, but that did not help, and they even commissioned a lawyer for litigations in China, they lost the lawsuit because Company A forgot the remote control in the registration for the set-top box. Company B took advantage of this and Company B had to pay Company A for reconciliation. After that, Party A had to pay Party B licensing fees or use of the remote control brand; otherwise it would take the risk of infringement. Until now, in China customs intellectual property right system, the two companies still legitimately own the intellectual property rights of the same brand and the logo.

Let us check the registration of intellectual property right at China customs by Company B:

We are really surprised when we find that the company has the intellectual property rights of almost one hundred brands and logos, all of which are relevant to home appliances. Company B is taking advantage of the loophole of other companies. The companies really specialized in home appliances forgot to register the remote control in registration, that is why it has been beholden to Company B and paid a price.

Those companies who are really involved in product operation generally entrusted a law firm, a brand registration company or a Chinese plant to register in China and for intellectual property rights with China customs. Those entrusted have their limitations, so they usually cannot be familiar with products, laws and regulations at the same time. Irreparable damage will be caused if they miss any detail. FIC is different, over the years, it has faced various demands from countless customers that involve all aspects, including foreign trade, customs, and trademark registration. We are well versed in relevant laws and rules and have accumulated a wealth of experience, which enable us to help you to be thoughtful and avoid all possible negative consequences.