Intellectual Property, Information Technology & Cybersecurity

Trademark Squatters Get Smarter in China: A Look at Their Latest Tactics

Trademark squatting has long been the foremost concern for foreign companies wishing to enter the Chinese market, and the new Chinese Trademark Law efffective from November 2019 has stepped up to combat trademark squatting.

The "first-to-file" trademark system of China grants protection to parties who file the trademark application first and requires no proof of use in order to register. Trademark squatters take advantage of the system and register foreign brands as trademarks in China in the hope of riding on the reputation of the brands or profiting by selling the trademarks back to the rightful owners.

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