On August 30, 2013, my country introduced the punitive damages system in the field of intellectual property for the first time. On April 23, 2019, it was clearly stipulated that “the amount of compensation for infringement of the exclusive right to use a trademark shall be determined based on the actual losses suffered by the right holder due to the infringement; if the actual losses are difficult to determine, they may be determined based on the benefits obtained by the infringer due to the infringement; rights If it is difficult to determine the losses suffered by the person or the benefits obtained by the infringer, it shall be reasonably determined by reference to the multiple of the trademark license fee. For malicious infringement of the exclusive right to use the trademark, if the circumstances are serious, the amount may be determined not less than one time but not more than five times the amount determined according to the above method. The amount of compensation. The amount of compensation should include the reasonable expenses paid by the rights holder to stop the infringement.”

The introduction of punitive damages is to increase the legal risks of infringement in the field of intellectual property, thus affecting the infringers or potential infringers. People create deterrence. On the other hand, punitive damages can also motivate right holders to actively defend their rights and allow them to obtain additional benefits in judicial relief. This is also judicial recognition of intellectual property achievements. Punitive damages for intellectual property rights are intended to protect the legitimate rights and interests of intellectual property holders. Civil subjects enjoy intellectual property rights in accordance with the law. An infringer who infringes upon the intellectual property rights of others may seek punitive damages. According to the relevant laws and regulations of our country, if the intellectual property rights of others are intentionally infringed and the circumstances are serious, the infringed party has the right to request corresponding punitive damages. If the property of others is infringed upon, the property losses shall be calculated according to the market price at the time of the loss or other reasonable methods.

What is the compensation standard for intellectual property infringement?

1. From the perspective of the law of economic equivalence, this law requires actors to pay the same price for the consequences of their actions. , the price is roughly equal to the price the victim deserves. Consideration is always the basic element in determining compensation.

2. Judging from the basic principle of civil law of "equivalent compensation", according to this principle, on the one hand, in legal economic activities, unless otherwise provided by law or otherwise agreed in the contract, , the party that obtains another person’s property interests shall pay the other party a corresponding price or other property interests; on the other hand, in illegal civil activities, the actor must compensate for the losses caused by his actions, and the scope of compensation should be consistent with the scope of the losses. consistent.

3. From the perspective of "compensation for damages" itself, the so-called "compensation" means "compensation" and "compensation". "Compensation for damages" refers to compensation for the losses suffered by the victim due to infringement. Restoring the damaged rights to their pre-infringement status. It can be seen from this that only the actual damage caused by the infringer to the right holder (including property loss and mental damage) can be used as the standard for damages to satisfy the above requirements at the same time. The establishment of this standard provides a fair and reasonable objective economic basis for the subsequent scientific determination of the scope and amount of damages.

Legal basis:

"Trademark Law":

Article 63: "The amount of compensation for infringement of the exclusive right to use a trademark shall be based on the amount of compensation the right holder has suffered due to the infringement. The actual loss suffered is determined; if the actual loss is difficult to determine, it can be determined based on the benefits obtained by the infringer due to the infringement; if the loss of the right holder or the benefits obtained by the infringer is difficult to determine, it can be determined reasonably by referring to a multiple of the trademark license fee. For malicious infringement of trademark exclusive rights, if the circumstances are serious, the amount of compensation may be determined to be not less than one time but not more than five times the amount determined according to the above method. The amount of compensation shall include the reasonable expenses paid by the right owner to stop the infringement. ”

"Civil Code":

Article 1185: "If the intellectual property rights of others are intentionally infringed, and the circumstances are serious, the infringed party has the right to request corresponding punitive damages."