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Amount of compensation for misappropriation of company name

The relevant provisions on the amount of compensation for misappropriation of company names are as follows:

1. Criteria for determining the amount of compensation

(1) The amount of compensation for infringement of the exclusive right to use a trademark shall be as follows: The actual loss suffered by the right holder due to the infringement is determined;

(2) If the actual loss is difficult to determine, it can be determined based on the benefits obtained by the infringer due to the infringement;

(3) If it is difficult to determine the loss of the right holder or the benefits obtained by the infringer, it shall be reasonably determined by reference to the multiple of the trademark license fee;

(4) For malicious infringement of the exclusive right to use a trademark, if the circumstances are serious, the case may be determined in accordance with the above The method determines the amount of compensation by being more than one time and not more than three times the amount determined by the method;

(5) The amount of compensation should include the reasonable expenses paid by the right holder to stop the infringement;

2. The right holder If it is difficult to determine the actual losses suffered due to infringement, the benefits obtained by the infringer due to the infringement, and the registered trademark license fee, the people's court shall award a compensation of not more than three million yuan based on the circumstances of the infringement.

Legal basis:

Article 36 of the Trademark Law of the People's Republic of China

Without the permission of the trademark owner, any unit and Individuals may not use the trademarks in any manner unless otherwise specified. Using the name of another person's company without permission constitutes an infringement and shall bear legal liability in accordance with the law.

Article 63

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, the amount of compensation may be determined according to the infringer’s actual losses. The benefits obtained due to infringement shall be determined; if it is difficult to determine the loss of the right holder 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 trademark exclusive rights and 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 should include the reasonable expenses paid by the right owner to stop the infringement.