Highlights of Intellectual Property Rights from the Huawei Trademark Infringement Case
If you see these two pictures below, what is the first thing that comes to your mind?
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(Image source from the internet) |
(Image source from the internet) |
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Did you think of Huawei?
Huawei's logo ？
Aren't these two logos trademarks of Huawei?
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Like most people, when I first saw these two logos, I also thought they belonged to Huawei Technologies Co., Ltd. (hereinafter referred to as "Huawei"). But this is not the case. The former trademark is Huawei's 14203957 No. 9 Class registered trademark, while the latter is the infringing logo used by Shenzhen Shangpai Technology Co., Ltd. (hereinafter referred to as "Shangpai Company"), the infringer in this article. This case is one of 2022 the top ten intellectual property rights cases of Zhejiang courts in 2021 year — the case of Shenzhen Shangpai Technology Co., Ltd. and Liu Yuliang infringing on the trademark rights of Huawei Technologies Co., Ltd. (Case No.: ( 01 ) Zhe 886 Minchu
1
Hua
Wei Company is the owner of the registered trademarks of the "Huawei" and "HUAWEI" series, and also enjoys the prior right to the business name of "Hua Wei" and "HUAWEI".2
Wei Company applied for registration of trademark No. 14203957 " on March 9, 2014. "
3
Hua
Wei Company applied for registration of trademark No. 16844938 "Huawei" on April 30, 2015. The trademark was approved for registration on October 14, 2017, in Class 9, for camera material racks, etc. The term of the exclusive right to the trademark is from October 14, 2017 to October 18, 2027, and is still valid.
The reason why this case has become a typical case is not only because of Huawei's well-known reputation and influence in China and even globally, but also because the case has many highlights:
Case Highlights
Highlight 1:
In calculating the amount of compensation for infringement in this case, "trademark contribution rate" was used. Although there is no strict definition and standard for trademark contribution rate in the legal sense in China, we know that many intellectual property cases have cited the concept of trademark contribution rate in their judgments, such as the case of Xiaomi Technology Co., Ltd. v. Shenzhen Xiaomi Trading Co., Ltd. for trademark infringement, where the court determined that the plaintiff's trademark contribution rate was 30 % and the font size contribution rate was 20 %；Baidu v. Jing Baidu case trademark contribution rate was 35 In this case, the contribution rate of Huawei's trademark is as high as 80 %, and with the increasing brand value, market recognition and influence, the contribution of well-known trademarks to the sales of infringing products will also be greater (of course, it is also related to the infringement methods of the infringer and other factors).
Highlight Two:
This judgment fully supported the plaintiff's 500 ten thousand punitive damages claim. The actual compensation calculated is higher than the plaintiff's claim of 500 ten thousand yuan. However, since it exceeds Huawei's claim, the court 500 supported Huawei's claim of ten thousand yuan. This case applies punitive damages to the act of intentional infringement of trademark rights and serious circumstances in accordance with the law, significantly increasing the cost of infringement and the cost of illegal acts, demonstrating the court's firm stance in cracking down on malicious infringement, and also reflects China's protection of intellectual property rights; protecting intellectual property rights is protecting innovation.
Conclusion
Companies should attach importance to the protection and layout of intellectual property rights in their market operations at home and abroad, enhance market recognition and influence, and give priority to forming brand advantages; on the other hand, it also warns us that greed for short-term interests is the greatest disregard for long-term interests. While operating and planning, we should also enhance legal awareness and avoid risks.
