Xiaomi Requiring 5.4 Million Compensation for Trademark Infringement

Xiaomi Requiring 5.4 Million Compensation for Trademark Infringement 

 

Recently, Guangzhou Nansha District People’s Court (Nansha District People’s Court of Guangdong Free Trade Zone) concluded a lawsuit in which Xiaomi Technology Co., Ltd. (hereinafter referred to as Xiaomi Company) sued Shenzhen Zhihuitao Trading Co., Ltd. (hereinafter referred to as “Zhihuatao Company”) for trademark infringement and unfair competition.

The court ruled that Zhihuatao Company’s use of Xiaomi Company’s registered trademark and related logo in its “baby title” (commodity search title on Taobao online shopping mall) did not infringe on Xiaomi Company’s trademark rights, but constituted unfair competition. It ordered  Zhihuatao Company to compensate Xiaomi Company for economic losses and reasonable expenses of 200,000 Yuan.

In March 2018, Xiaomi Company found that when searching for the keyword “Xiaomi mobile power” on Taobao’s home page, people would see the goods sold by Zhihuitao Company. Moreover, many of Zhihuitao Company’s “baby titles” used the registered trademark of Xiaomi Company, so Xiaomi Company sued Zhihuitao Company to court, claiming a compensation of 5.4 million Yuan.

After trial, the court held that the acts involved did not constitute trademark infringement. However, the use of “MIUI” in baby title by Zhihuitao Company violated the honesty and credit principles and business ethics, thus is unfair and constitutes unfair competition. Finally, the court ordered Zhihuitao Company to compensate the Xiaomi Company for economic losses and reasonable expenses totaling 200,000 Yuan.

It is reported that Xiaomi Company has filed lawsuits against a number of Taobao merchants in Nanjing, Shenzhen and other places in terms of intellectual property infringement through Taobao “baby title”.

 

 

October 30, 2019

Source: xxsb.com

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