Whether trademark squatting is legal depends on the actual situation. According to Article 32 of the Trademark Law of the People's Republic of China, applying for trademark registration shall not damage the existing prior rights of others, nor shall it be used by unfair means to preemptively register a trademark that has been used by others and has a certain influence. .

In addition, according to the provisions of Article 23, paragraph 1, of the "Regulations of the Supreme People's Court on Several Issues Concerning the Trial of Administrative Cases concerning Authorization and Confirmation of Trademark Rights", the prior user claimed that the trademark applicant used unfair means Preemptively registering other trademarks that have been previously used and have a certain influence. If the earlier trial trademark has already had a certain influence and the trademark applicant knows or should know about the trademark, it can be presumed that this constitutes "preemptive registration by unfair means." However, this is excepted if the trademark applicant provides evidence to prove that it has no bad faith in taking advantage of the goodwill of the previously used trademark.