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Penalty basis for trademark infringement by the Industrial and Commercial Bureau

For those who infringe the exclusive rights of registered trademarks, the industrial and commercial administration authorities may take the following measures to impose penalties. (1) Order to stop the infringement. ① Order to stop sales immediately; ② Confiscate and destroy infringing goods; ③ Confiscate and destroy tools specifically used to manufacture infringing goods and counterfeit registered trademarks. (2) Imposition of fines. For those who infringe the exclusive right to use registered trademarks but have not yet constituted a crime, the industrial and commercial administration authorities may impose a fine of less than RMB 50,000 in illegal business volume or less than five times the profits obtained from the infringement, depending on the circumstances; the person directly responsible for the infringement unit may be fined RMB 1,000,000 in accordance with the circumstances. A fine of less than RMB 10,000. If the party concerned is dissatisfied with the above two treatments, the party concerned may file a lawsuit in the People's Court in accordance with the "Administrative Procedure Law of the People's Republic of China" within 15 days from the date of receiving the notice. If neither prosecution nor performance is made within the time limit, the industrial and commercial administration authority shall apply to the People's Court for compulsory enforcement. (3) Mediate on the amount of compensation for infringement of trademark exclusive rights. The industrial and commercial administrative department that handles the case may mediate the amount of compensation for infringement of trademark exclusive rights at the request of the parties. If mediation fails, the parties may file a lawsuit in the People's Court in accordance with the law.

Legal basis:

Article 57 of the "Trademark Law of the People's Republic of China" Any of the following acts shall constitute an infringement of the exclusive right to register a trademark:

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(1) Using the same trademark as the registered trademark on the same product without the permission of the trademark registrant;

(2) Using the same trademark on the same product without the permission of the trademark registrant Using a trademark that is similar to its registered trademark on a certain product, or using a trademark that is the same or similar to its registered trademark on similar products, which is likely to cause confusion;

(3) Selling products that infringe the exclusive right to use a registered trademark ;

(4) Forging or manufacturing registered trademarks of others without authorization or selling counterfeit or unauthorized registered trademarks;

(5) Replacing other trademarks without the consent of the trademark registrant Registering a trademark and putting the goods with the replaced trademark into the market;

(6) Intentionally providing facilities for infringement of the exclusive rights of others’ trademarks and helping others to infringe the exclusive rights of trademarks;

(7) Causing other damage to others’ exclusive rights to registered trademarks.