In the past, the trademark of Wong Lo Kat was shared by Jiaduobao and Guangzhou Pharmaceutical Group. Now they have broken up. The trademark of Wong Lao Kat is Guangzhou Pharmaceutical Group, and Jiaduobao can no longer use Wong Lo Kat. In 2002 and 2003, Chen Hongdao, chairman of Hongdao Group, paid more than HK$3 million in bribes to Li Yimin, the former general manager of GPHL, on three separate occasions. When the lease contract was still 7 years away from expiration, he signed the "Wanglaoji" trademark license supplement. Agreement" and the "Supplementary Agreement on the "Wonglaoji" Trademark License Agreement", in an attempt to extend the license period of the Wonglaoji trademark to 2020. However, according to the relevant laws of our country, the validity period of a registered trademark is 10 years. After the validity period, you must apply for renewal of registration, otherwise it will be cancelled. Therefore, the longest authorization period for a registered trademark in my country is 10 years. If it takes longer, it must be renewed after the renewal registration is completed. However, Hongdao Group wanted to sign a 17-year trademark licensing contract in 2003 through bribery. The two supplementary agreements themselves were illegal. In 2004, Chen Hongdao's bribery case came to light. The briber, Chen Hongdao, abandoned bail and absconded. He is still being arrested and brought to justice.
On May 1, 2010, the Wong Laoji trademark leased by Hongdao Group expired. GPHL contacted Hongdao Group dozens of times through phone calls, official letters, lawyer letters, etc., hoping to renegotiate the trademark. Licensing issues, but no response from the other party. Under forced circumstances, on April 26, 2011, GPHL filed for arbitration with the China International Economic and Trade Arbitration Commission in accordance with the dispute resolution method agreed upon by both parties.
On December 29, 2011, the arbitration case officially opened. On March 14, 2012, the arbitral tribunal organized mediation between the two parties, and Hongdao unilaterally gave up. On May 9, 2012, the China International Trade Arbitration Commission ruled that both the "Supplementary Agreement on the "Wanglaoji" Trademark License" and the "Supplementary Agreement on the "Wanglaoji" Trademark License Contract" were invalid. This means that from May 2, 2010, Hongdao Group has no right to use the Wong Lo Kat trademark. The profits made by Hongdao Group from operating Wong Lo Kat in the past two years have been illegal gains.
Foreign-funded enterprises pay bribes to obtain cheap rents that are more than 100 times lower than international practice
After verification, Jiaduobao Group is a foreign-funded enterprise registered in the British Virgin Islands and is a member of Hongdao A wholly-owned subsidiary of the group, its corporate nature is a foreign-invested enterprise rather than a private enterprise as previously claimed. For more than 10 years, it has made huge profits by using foreign-invested enterprise policies and the Wanglaoji brand.
The production and operation rights obtained through improper means such as bribery violate legal principles; in addition, Hongdao Group operates Wanglaoji with a sales volume of up to More than 16 billion. According to international practice, trademark usage fees are generally charged at 5% of sales. However, Hongdao Group’s annual trademark fee to GPHL is only about 5 million, which is only 0.03 of sales, which is more than 100 times lower than international practice. While operating the red can of Wanglaoji herbal tea, he made huge profits by taking advantage of the country's foreign-invested enterprise policies. The ultra-low prices obtained through bribery resulted in serious losses of state-owned assets.
Although this result has been delayed by two years and eight days from the original trademark license period, it is still of great significance and hard-won. It is not only legal but also reasonable for GPHL to take back the production and operation rights of red cans and red bottles of Wanglaoji.
The launch of Guangzhou Pharmaceutical Group’s red can of Wonglaoji is legal
Currently, Hongdao Group has appealed to the Beijing No. 1 Intermediate People’s Court. Before the court makes a ruling, the arbitration results have legal effect. Guangzhou Pharmaceutical Group Co., Ltd. It is legal and reasonable for the pharmaceutical group to launch the red can of Wonglaoji in accordance with laws and regulations. It is illegal for any company to use Wonglaoji for publicity without authorization, and it is also harmful to Wonglaoji, a state-owned asset. On June 3, Guangzhou Yao's red canned Wanglaoji made a stunning appearance on the Great Wall, which best represents national culture. From the arbitration results on May 9 to organizing production and launching it, it only took more than 20 days, which "amazed" market participants. , demonstrating the strong strength and ultra-high efficiency of GPHL.
The Guangzhou Municipal State-owned Assets Supervision and Administration Commission has full confidence in the operation of GPHL’s red can of Wong Lo Kat! It is hoped that GPHL will follow the 136 development strategy to build Wong Lo Kat from a national brand into a world brand, achieve sales of RMB 30 billion within five years, and maintain and increase the value of state-owned assets.