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November 14, 2017

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Rules counter to trademark law revoked

A working body of China鈥檚 top legislature has ordered the annulment of several local trademark-related ordinances that contradict the country鈥檚 trademark law.

The Legislative Affairs Commission of the National People鈥檚 Congress Standing Committee yesterday said it had conducted a review of local ordinances on 鈥渞enowned trademarks鈥 which allow local governments to organize appraisals and grant such titles to certain brands, thus enabling companies to use them for marketing.

Such practices run counter to the spirit of the trademark law, which only protects holders of 鈥渨ell-known trademarks鈥 against violations in disputes but bans using the determination of 鈥渨ell-known trademarks鈥 for promotion and other commercial purposes.

At the beginning, local 鈥渞enowned trademark鈥 ordinances 颅鈥 meant to encourage companies to increase their awareness of brand-building and improve their products鈥 quality 鈥 had played a positive role, said the Legislative Affairs Commission.

鈥淗owever, they are now outdated, as the selective support from the government may cause discrimination and result in unfair competition in the market,鈥 it said.

Such practices did not conform to the requirements for deepening reforms aimed at streamlining government administration and delegate powers, said the commission.

It added that it had ordered a comprehensive overhaul of the problem and informed local legislatures and the Legislative Affairs Office of the State Council.

The commission said the review of local statutes and normative documents was part of the legislature鈥檚 work to exercise the power of oversight granted by the constitution.


 

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