1. Higher compensation for IP cases is expected
Vice president of China’s Supreme Court, Kaiyuan Tao, said in Nanjing on July 7 that compensation for IP cases should be further increased corresponding to market values involved.
Tao said in the IP Hearing Symposium & “Three in one” promotion campaign for IP hearings that when determining the amount of compensation for IP infringement, objectivity and uncertainty of the market value of IPR shall be taken into consideration, which means, the decision in this regard shall both correctly reflect the real market value of the infringed IPR and give consideration to the subjective state of the infringing acts, so as to warn others through punishment while properly compensate the infringed party.
It is informed that 130, 000 administrative cases of first instance were accepted by courts in 2015, marking an increase of 11.7% compared with last year. 123, 000 cases of first instance were closed without adding a single judge, marking an increase of 11.7% compared with last year.
Tao said: “For repeated and intentional infringement acts, compensation higher than corresponding market value could be imposed on the basis of the circumstance of the cases”.
She pointed out that courts of all levels should be fully aware of the new requirements to IP hearings brought by the changing international economy, trade and competition. Accordingly, more effective interim measures, more targeted and useful judicial remedies, credit system in litigation and strengthening of legal effects of IPR protection by employing evidence mechanism are needed to meet such requirements. Proper protection and compensation shall be given on the basis of the nature and effects of infringing acts, as well as the degree of bad faith of the infringer.
2 “Three in one” policy for IP hearings to be rolled out comprehensively in courts across China
Tao said in the IP Hearing Symposium & “Three in one” promotion campaign for IP hearings that, apart from Beijing, Shanghai and Guangzhou IP courts, the “Three in one” policy for IP hearings will be rolled out fully in courts of all levels across China.
The “Three in one” policy in IP hearings means IP divisions of people’s courts of China will handle civil, criminal and administrative cases involving IP infringements.
And the IP hearings division of courts of all levels will change their names from “Xth division of civil hearings" to IP hearings division.
Tao said that, up to now, we have drawn rich experience from the pilot programs in China’s 6 Higher Courts, 95 Intermediate Courts and 104 local courts. And the experience shows that this policy is conductive in unifying the judicial standards, better IP judicial protection system, increase the overall efficiency of judicial protection for IPR and achieve comprehensive remedies for IPR.
Tao said: “Courts of all levels should set up coordination departments and work out specific implementation scheme no later than the end of this year. Regarding the staffing for IP trials, courts of all levels should select judges with expertise and rich knowledge in IP hearings”.
Tao also pointed out that the dominant role of the judicial system in IPR protection is inherent in the nature of judiciary and the rules of IPR protection, and is also an important manifestation of comprehensive promotion of rule by law and improvement of judicial credibility.
