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Update on Protecting IP In China
For most global entertainment and media companies, the need to think about how to protect intellectual property in China is an inevitable reality. For a few years, there have been indications that China is willing to be more protective of IP owners' rights — from revisions to trademark law that aim to provide greater protection of IP and impose harsher penalties on infringers, to an unprecedented $1.5 million award in August 2017 to New Balance Athletics Inc. in a logo trademark dispute.
But recent events — such as the ordered investigation into China's alleged theft of IP and the country's inclusion on a priority watch list earlier this year by the Office of the United States Trade Representative (USTR) because of IP concerns (see, http://bit.ly/2l3Hafe) — signal there's still work to be done. These developments highlight that, despite small gains, protecting intellectual property in China can still be a major headache for companies and in-house attorneys.
There are positive developments, such as the New Balance award and the fact that China has created specialized IP courts, says Geoffrey Lin, managing partner of Ropes & Gray's Shanghai office who focuses his practice on advising global companies on protecting intellectual property. But China remains a challenging environment for protecting intellectual property, at least in part, because “you're asking fairly young courts to interpret some challenging issues,” Lin says.
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