Chinese courts ratchet up damages awards for wilful infringement

Authored by He Jing, AnJie Law Firm and Jerry Xia, Honeywell China

While some feel that damages awards in China are still insufficient, recent cases show that the courts are becoming much more sophisticated in calculating damages and awards are increasing – especially in cases of wilful infringement

China’s newly amended Trademark Law is due to come into effect on May 1 2014.  One of the most significant changes for many brand owners and trademark professionals will be the increase in damages in trademark infringement cases. The law will raise the amount of statutory damages to Rmb3 million – almost six times the previous limit. It will also recognise punitive damages and ease the burden of proof for brand owners in establishing damages.

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