Tuesday, December 17, 2013

Bridgestone Strengthens Trademark Protection After Fierce Lawsuits

Bridgestone has been embattled by trademark and patent cases this year. For an established company doing business in China, this may seem routine. Bridgestone currently has 141 manufacturing plants in 24 countries and a worldwide popularity. It seems natural that smaller unscrupulous businesses will attempt to ride this reputation to leverage their campaign.

GencoTire's trademark

This year, the Japanese tire company has succeeded in two copyright and patent infringement campaigns. Both successes portend a favorable future for foreign businesses in China, as Chinese courts move towards more exhaustive measures in protecting business rights.

The two-year battle against Guangzhou Bolex

Bridgestone started its lawsuit against Guangzhou Bolex Tyre Ltd. in March 2010. Bridgestone alleged that Guangzhou Bolex infringed its trademark by marketing in a similar sound “Gemstone” brand. Moreover, the “Gemstone” mark has a typeface that closely resembles Bridgestone’s.

The court battle began in the Tianjin Binhai New Area People's Court. The verdict favored Bridgestone. Guangzhou Bolex immediately filed for an appeal, taking the case to Tianjin No.2 Intermediate People's Court. The court upheld the initial decision, siding Bridgestone in its claim that the Chinese manufacturer did breach their trademark.

Guangzhou Bolex was ordered by court to immediately stop the manufacture and sales of their Gemstone brand. Subsequently, Guangzhou Bolex was ordered to pay damages (the amount remains undisclosed).

A patent case against Qingdao Genco Industrial Group Co

Barely three months after Bridgestone won the case against Guangzhou Bolex, it won another court battle against Shandong-based Qingdao Genco Industrial Group Co. Bridgestone accused Qingdao Genco of using a tire tread pattern that is similar to their designs for bus and truck tires.
Following the victory, Bridgestone announced that it will continue to take aggressive measures to protect its trademark.

Points to ponder for 2014

China is becoming an increasingly relevant market for both big and mid-sized firms. Even smaller firms are seeing a goldmine in the Chinese market. Not only is China ideal for manufacturing and research, the growing purchasing power of its consumers is also luring more firms to enter the dragon.

But businesses, the smaller firms especially, should take more precaution in protecting their trademark before taking that slow boat to China. Even big firms, backed by highly paid lawyers, did not escape the chains of trademark squatters and copyright infringers.

Businesses and organizations should take more rigorous precaution in protecting their rights. It is best to register ahead of time, and China is a market that no growing company can neglect. A local law firm is the best option when it comes to protecting business rights in China.

By the way, if you want to know more about the biggest trademark cases in China this year, please check out this excellent article I have found recently. 

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