CHINA INTELLECTUAL PROPERTY LAW NEWSLETTER
Vol. 2 , No. 4 - March 14 , 2001
TOPICS THIS ISSUE:
- USTR Report: China's Piracy Problems
- Shanghai Deputy Calls for New Gene Legislation
- Rolex Files Suit Over Domain Name Registration
- Sino-U.S. Intellectual Property Symposium Held in Beijing
USTR Report: China's Piracy Problems
On March 6, the Office of the U. S. Trade Representative (USTR), headed by Robert Zoellick, presented its annual report to Congress on its Trade Agreements Program. In regard to the PRC, the report acknowledged that China has a basic infrastructure for the protection and enforcement of intellectual property rights in place; however, it also claims that there still exists rampant piracy and copyright violations. Those areas of particular concern include trademark counterfeiting, as well as the unauthorized use of software by private enterprises and piracy of entertainment software [game compact discs].
The report notes that some of the violations will be curbed once China joins the WTO as regulations in the WTO Agreement on Trade-Related Aspects of Intellectual Property Rights (TRIPS) will force Beijing's hand to further crack down on such illegalities.
However, when this will occur is still uncertain as it is still up for debate as to when China can successfully alter their trade and intellectual property laws, effectively enforce such laws, and give much needed training to its judges so as to conform to WTO standards.
Part of the problem also stems from market access. Beijing still imposes unofficial quotas on foreign motion pictures through a state-owned import monopoly; and as for imported sound recordings, the government tightly controls distribution. The United States, however, is urging Beijing to loosen such controls as well as alter its copyright laws to implement agreements negotiated under the World Intellectual Property Organization, which China has signed but not ratified.
Also noteworthy is the fact that enforcement of copyrights and trademarks seems to alter with geographic region. The 'best' province for cracking down on counterfeiting, according to the report, seems to be Guangdong. The provincial government has successfully collaborated with Hong Kong authorities to impede the smuggling of pirated goods.
While Beijing's exportation of pirated goods has slowed considerably since the U.S. threatened billions of dollars worth of trade sanctions, the country now finds itself as one of the leaders of imported fake goods. To this affect, the U.S. is attempting to plug the gateways, namely Hong Kong and Vietnam, by negotiating with their respective governments.
Source: Chinaonline
Shanghai Deputy Calls for New Gene Legislation
Deputy Zhang Zhongli (Shanghai) has recently put forth a proposal at the Fourth Session of the Ninth National People's Congress (NPC) calling for a law on protecting genetic resources from flowing out of the country. Zhang already has the endorsement of thirty-five other NPC deputies.
Zhang, president of the Shanghai Academy of Social Sciences, said China, like many other developing countries in the world, has identified and preserved many unique genetic resources because of a less mobile population. Due to this relative confinement, genes of different ethnic groups have been able to interact primarily on a small scale. The resulting genetic spectra are unique, having developed for many thousands of years, and are thus are special resources.
Zhang pointed out that while the Chinese are still arguing whether gene discoveries should be granted patents, more than 613 disease-inducing genes have been discovered and subsequently granted patents abroad.
In his motion, Zhang said China must recognize the patent rights of genetic discoveries, keep them confidential, outlaw genetic discrimination, and declare that genetic discrimination is an act of rights encroachment and that research done with the purpose of harming humans should be punishable under the Criminal Law.
Source: BBC News
Rolex Files Suit Over Domain Name Registration
A lawsuit was filed Friday against Beijing-based Guowang Information Co, Ltd. by Swiss Montres Rolex S.A. Rolex has charged the Chinese company with illegally registering a domain name in the name of rolex.com.cn.
Rolex has registered its trademark in over 100 countries and regions in the world, making "Rolex" and its crown-symbol logo widely recognized globally, lawyers for Rolex said in a hearing at Beijing's Second Intermediate People's Court.
The world-famous watch manufacturer is asking Guowang Information Co. Ltd to stop using the domain name and pay 20,000 RMB (US $2,410) for legal fees Rolex has incurred as a result of the suit.
Guowang claims that its registration does not violate Chinese law.
Beijing's Second Intermediate People's Court accepted the Rolex suit and an open trial will be held soon.
Source: Xinhua News Agency
Sino-U.S. Intellectual Property Symposium Held in Beijing
A Sino-U.S. intellectual property symposium was held in Beijing on Tuesday, March 6th.
The symposium, jointly sponsored by the State Intellectual Property Office and the U.S. Embassy, was part of an exchange program on intellectual property issues between the two countries.
Ma Lianyuan, vice commissioner of the State Intellectual Property Office, said at the opening ceremony that violation of intellectual property is a global issue, not only in China but also in other countries, including developed ones.
The Chinese government will continue to work to protect intellectual property, an effort that is vital to China's economic development, he said.
Ma revealed that the newly revised patent law has been approved by the National People's Congress, China's top legislature, and will take effect on July 1, 2001. Amendments to the trademark law and copyright law are also being made.
The one-day symposium dealt with amendments to Chinese laws on patents, trademarks and copyright, as well as protection of online intellectual property and treatment of fake trademarks in the U.S.
Source: Xinhua News Agency
Lehman Lee & Xu
China Lawyers, Notaries, Patent, Copyright and Trademark Agents
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