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The brand battle of Zhang Xiaoquan’s scissors

Hangzhou

Hangzhou Municipal Archives and Zhejiang Cultural and Historical Materials Collection record: In 1628, Zhang Xiaoquan brought his son Jingao to Hangzhou and opened "Zhang Dalong" scissor shop. In 1663, it was renamed "Zhang Xiaoquan" knife and scissors shop. After Koizumi's death, his son Kondaka inherited his father's business. In 1910, Zhang Zuying inherited the business. In 1949, Zhang Zuying announced the suspension of production due to losses, and sold all the stores and brands of "Zhang Xiaoquan Recent Records" to Xu Zigeng. In 1953, the People's Government merged dozens of scissor workshops in Hangzhou into five "Zhang Xiaoquan" scissor-making cooperatives. In 1958, it was merged into Hangzhou Zhang Xiaoquan Scissors Factory. In August 1964, Hangzhou "Zhang Xiaoquan" obtained the registered trademark "Zhang Xiaoquan Brand".

Shanghai

Shanghai Archives records: In 1950, dozens of Zhang Xiaoquan scissor shops in Shanghai signed a joint recognizance letter for the same brand and the same bookkeeper. The main content is: "Zhang Xiaoquan's trademark has been used for a long time and is difficult to change. It is used uniformly and marked for identification. There will never be any dispute." In 1956, the public-private partnership merged with "Zhang Xiaoquan Xieji" and "Zhang Xiaoquan Hongji". Became Shanghai's "Zhang Xiaoquan". In 1956, Shanghai "Zhang Xiaoquan" began to use Zhang Xiaoquan's corporate name (i.e. trade name). In 1987, it obtained the "Quan Zi Pai" trademark. In October 1993, it was awarded the "Chinese Time-honored Brand" by the Ministry of Domestic Trade. In the mid-to-late 1990s, Zhang Xiaoquan in Hangzhou and Shanghai launched a long-term lawsuit over brand issues. It can be said that it was protracted and each expressed its own opinion.

Hangzhou

In 1997, the "Zhang Xiaoquan" trademark of Hangzhou "Zhang Xiaoquan" was recognized as a well-known trademark by the State Trademark Office. In this regard, Hangzhou "Zhang Xiaoquan" believes that Shanghai "Zhang Xiaoquan" obtained the "Zhang Xiaoquan" trade name at the beginning of its establishment, which is understandable due to historical reasons. However, after "Zhang Xiaoquan" in Hangzhou obtained a registered trademark, especially after obtaining a well-known trademark, "Zhang Xiaoquan" in Shanghai still used the "Zhang Xiaoquan" trade name, causing consumers to mistakenly believe that there is a certain relationship between "Zhang Xiaoquan" in Shanghai and "Zhang Xiaoquan" in Hangzhou. Therefore, it is believed that the behavior of Shanghai "Zhang Xiaoquan" infringed the trademark exclusive rights of Hangzhou "Zhang Xiaoquan" and constituted unfair competition.

In March 1999, Hangzhou "Zhang Xiaoquan" filed a lawsuit with the Shanghai No. 2 Intermediate People's Court, demanding that Shanghai "Zhang Xiaoquan" stop using the word "Zhang Xiaoquan" in its company name and product logos, and requested that Compensation was more than 2.7 million yuan.

Shanghai

Shanghai "Zhang Xiaoquan" believes that the name "Zhang Xiaoquan" in Shanghai has been used for decades as early as 1956, and the registered trademark "Zhang Xiaoquan" in Hangzhou The acquisition was later than the use of the Shanghai "Zhang Xiaoquan" corporate name. Therefore, there is no infringement of trademark exclusive rights or unfair competition. In addition, according to the historical records of the existence and use of the word "Zhang Xiaoquan", it does not belong to a certain company, and its high popularity is not due to the well-known trademark obtained by Hangzhou "Zhang Xiaoquan". It is the result of many manufacturers or manufacturers using "Zhang Xiaoquan" Merchants collaborate to create results. After trial, the court held that the registered trademark right of "Zhang Xiaoquan" in Hangzhou should be protected by law. However, taking into account the specific historical background of the registered trademark of "Zhang Xiaoquan" in Hangzhou and the corporate name of "Zhang Xiaoquan" in Shanghai, from the perspective of fairness and Based on the principle of good faith, the non-identification of Shanghai “Zhang Xiaoquan” constitutes trademark infringement and unfair competition of Hangzhou “Zhang Xiaoquan”.

Hangzhou "Zhang Xiaoquan" was dissatisfied with the first-instance verdict and appealed. Later, the Shanghai Higher People's Court rejected the Hangzhou "Zhang Xiaoquan" appeal and upheld the original verdict. According to relevant sources of Shanghai "Zhang Xiaoquan", there are about 10 "Zhang Xiaoquan" stores in the country. In addition to the two "Zhang Xiaoquan stores" in Hangzhou, there are three "Zhang Xiaoquan stores" in Shanghai. In addition, there are also "Zhang Xiaoquan stores" in Wuhan, Nanjing and other places. Koizumi" enterprise. "Zhang Xiaoquan" has become synonymous with the knife and scissors industry in Jiangnan area.

As for the basis of the judgment in this case, lawyer Xu Shenmin from Watson & Band Law Firm believes that there are two legal issues in the "Zhang Xiaoquan" dispute, namely the conflict between trademark and name, history and law, but the law stipulates The principle of "prior rights" means that if a company name has been used for more than 5 years without malicious intent, it should obtain legal protection based on the principle of "prior rights".

The corporate name of "Zhang Xiaoquan" in Shanghai predates the use of the registered trademark "Zhang Xiaoquan" in Hangzhou. According to the principle of "prior rights", the petition of "Zhang Xiaoquan" in Hangzhou cannot be established. On July 10, 2006, the Zhejiang Provincial Higher People's Court made a final judgment that the Shanghai Zhang Xiaoquan Knife and Scissors Store's prominent use of the word "Shanghai Zhang Xiaoquan" on its products, packaging, and signs constituted an infringement of the rights owned by Hangzhou Zhang Xiaoquan Group Co., Ltd. Shanghai Zhang Xiaoquan Knife and Scissors Store was ordered to compensate Hangzhou Zhang Xiaoquan Group Co., Ltd. for economic losses of RMB 80,000 due to the exclusive use of the "Zhang Xiaoquan" trademark. It was also required to publish a report in the "Zhejiang Daily" within 30 days after the judgment took effect. Hangzhou Zhang Xiaoquan Group Co., Ltd. apologized and eliminated the impact.