CBL’s Introduction
Trademark infringement in China will likely target your brand by using a sophisticated circumvention technique involving so-called accidental infringement. An infringer will register a trademark for a logo that looks similar to the targeted brand, and then collude with a printer to distort the appearance of the logo “accidentally” to look just like yours. Thus, consumers are confused into thinking that they are buying genuine goods, moreover these products are routinely exported around the world and sold in local markets. The following Procedures, translated by CBL, provide the set of rules just 800 words long, designed to catch and shut down these kinds of illegal operations. If caught, the violator is subject to heavy fines and could be banned from the industry.
Trademark Printing Administrative Procedures
(Issued on September 5, 1996, by State Administration for Industry and Commerce Order No. 57
Amended December 3, 1998, by State Administration for Industry and Commerce Order No. 86;
August 19, 2004, by State Administration for Industry and Commerce Order No. 15;
and October 23, 2020, by State Administration for Market Regulation Order No. 31)
Section 1 The purpose of these Rules is to govern trademark printing practices, protect registered trademarks, and maintain market integrity under the PRC Trademark Act and its Administrative Regulations (the “Trademark Act” and “Administrative Regulations”).
Section 2 These Rules apply to the production of trademark labels through methods including without limitation, textile printing, offset printing, engraving, embroidery, chemical etching, metal printing, mold casting, metal stamping, hot stamping, and stickers.
Section 3 Trademark registrants obtaining printing from a service provider must show a copy of their business license, certification, or identification document.
Section 4 A customer of a trademark printing service must show their original trademark certificate and make a copy of it for them.
Trademark licensees must show their original license agreement or an authorization letter explicitly granting them the right to print the trademark, and make a copy of it for them.
Section 5 Documentary proof and drawings provided by the customer when outsourcing printing for registered trademarks must satisfy the following requirements:
(a) Printed trademarks must exactly match the trademark drawing shown in the trademark registration certificate;
(b) Trademark licensees must have an authorization letter or trademark license agreement specifically authorizing them to print the mark;
(c) Trademark label samples printed for licensees must include the licensee’s business name and address, and the use of the printed marks shall be subject to the Administrative Regulations.
Section 6 Trademark drawings provided when printing unregistered trademarks must satisfy the following requirements:
(a) Printed trademarks must comply with Section 10 of the Trademark Act;
(b) Printed trademarks may not infringe upon registered marks or be falsely labeled as registered trademarks.
Section 7 Trademark printing service providers must verify all documentary proof and trademark drawings provided to them.
Services shall not provide services to trademark printing clients who fail to provide documentation as pursuant to §3 and §4, or for trademarks that violate §4 and §6 of these Rules.
Section 8 Services must complete a Trademark Printing Filing Form whenever accepting a request to print a trademark, filling information from the documentation submitted by the customer and attaching a sealed copy trademark drawing affixed with its seal.
Service providers are required to retain samples of the printed trademark labels, along with the completed Trademark Printing Filing Form and the photocopies of the trademark registration certificate, trademark license contract, and trademark printing authorization letter, for filing purposes within 15 days of printing.
Section 9 Printing service providers shall maintain a ledger to track transfer of trademark labels in and out of the warehouse. Nonconforming trademark labels must be destroyed and not enter circulation.
Section 10 All trademark printing files and inventory records must be retained and available for inspection for a minimum two years.
Section 11 The local market regulatory agency shall order trademark printing service providers in violation of §7-10 of these Rules to make corrections within a specified time, and shall issue warnings based on the severity of the violation. Services who profit from such violations are subject to fines no more than treble the amount gained, or up to ¥30,000 , while violations not involving illegal income shall be fined no more than of up to ¥10,000.
Section 12 The local market regulatory agency shall resolve noncompliant or unauthorized trademark printing pursuant to the Printing Industry Administrative Regulations.
Section 13 Printing marks identical or similar to a registered trademark in violation of §7 of these Rules, constitutes trademark infringement under §75 of the Trademark Act Administrative Regulations, and the local market regulatory agency has jurisdiction under the Trademark Act.
Section 14 The jurisdictional market regulatory agency shall report any suspected crimes committed by trademark printing service providers to the appropriate law enforcement agencies for prosecution.
Section 14 “Trademark printing” in these Rules refers to the production and printing of trademark labels.
“Trademark labels” refer to the physical media of marks used in commerce, including both registered and unregistered marks.
“Trademark printing customers” refer to trademark registrants, users of unregistered trademarks, registered trademark licensees, and other users under the Trademark Act outsourcing printing of their marks.
“Trademark printing service providers” are those legally registered commercial entities and family proprietorships authorized to offer trademark printing services.
Trademark Registration Certificates under these Rules include documentary proof of any trademark change, renewal, or assignment filings issued by the China National Intellectual Property Administration.
Section 16 These Procedures shall take effect on September 1, 2004. The Trademark Printing Administrative Procedures issued by the State Administration for Industry and Commerce on September 5, 1996, shall be repealed on the same date.