#IVTNews : Problems of Copyright Licensing and Intellectual Property Rights under #Chinese Law

09/10/2015 12:24

This paper explores the causes and obstacles that delay enactment and implementation of effective IPR Law in China, which comprise Copyright, Patent, and Trademark protections.

Joint ventures with Chineselocal players are a primaryvehiclefor copying and launching fake products in China. From iPhone clones to TV LED screenslow-cost clones of top brands are in demand and available in Chinese streets and across the black market in third world countries. Copying is the way the Chinese create the clones to meet the market demand.

 

Copying technologies, circuit board designs and software have been very common in the Chinese market. However, China’s commitment to World Trade Organization(WTO) has invited many IPR infringement lawsuits against Chinese companies,with Chinese states paying penalties for violations.

From Chinese firms to international companies that manufacture DVDs, TV sets, digital cameras, MP3, cars, and telecommunications equipment, China’s IPRlaws have failed to adequately address the objectives of TRIPS, the Trade-Related Aspects of Intellectual Property Rightsprovisions. Vague and ambiguous, China’s IPR lawshave failed to protect ownership ofelectronic circuit layout designs and other trade secrets.It also has been deficient in enforcement of the laws.

The urgency to curtail furtherinfringement-related losses hasprompted Chinese authorities to draft stronger IPRlaws that would control the economic damage and lessen misuse of the laws. Authorities have used theselaws to leverage competition among the Chinese firms by setting their own R&D and innovating. This innovation drive was aimed to enhance China’s ability to deliver goods that are best in quality, butnationally designed and manufactured.

Conclusion

China’s IPR lawsare still weak in protecting owners of copyrightedintellectual property.In addition to the legal routes, however, several practical ways exist to counter IPR infringement.

Avoiding outsourcing and limiting access by local players, including the laborers from critical assembling units, is a better way to save one’s IPR than fighting a case in the Chinese court. Sometimes judges may not even publish details of their judgments. IPRlaws need tweaking and eminent and experienced judges need to be appointed to hear IPR cases. China has to go a long way to protect IP rights of innovators.

 

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