In order to correctly implement the punitive compensation system for intellectual property rights, punish serious infringements of intellectual property rights in accordance with the law, and comprehensively strengthen the protection of intellectual property rights, in accordance with the "People's Republic of China and the Civil Code" and "The People's Republic of China and the People's Republic of China" Copyright Law", "Trademark Law of the People's Republic of China", "Patent Law of the People's Republic of China", "Anti-Unfair Competition Law of the People's Republic of China", "Seed Law of the People's Republic of China" This interpretation is formulated in conjunction with relevant legal provisions such as the Civil Procedure Law of the People's Republic of China and trial practice.
Article 1: If the plaintiff claims that the defendant has intentionally infringed upon the intellectual property rights it enjoys according to law and the circumstances are serious, and requests that the defendant be ordered to bear punitive damages liability, the people's court shall review and handle it in accordance with the law.
The term “intentional” as mentioned in this interpretation includes the bad faith specified in Paragraph 1 of Article 63 of the Trademark Law and Paragraph 3 of Article 17 of the Anti-Unfair Competition Law.
Article 2: If a plaintiff requests punitive damages, the amount of compensation, calculation method, and the facts and reasons based on it should be clearly stated when filing a lawsuit.
If the plaintiff increases the request for punitive damages before the conclusion of the court debate in the first instance, the People's Court shall allow it; if the plaintiff increases the request for punitive damages in the second instance, the People's Court may conduct mediation based on the principle of the parties' voluntariness. If mediation fails, , inform the parties to sue separately.
Article 3: To determine the intentional infringement of intellectual property rights, the People's Court shall comprehensively consider the type of the object of the infringed intellectual property rights, the status of rights and the popularity of related products, the relationship between the defendant and the plaintiff or interested parties, etc. factor.
In the following circumstances, the people's court may preliminarily determine that the defendant has the intention to infringe intellectual property rights:
(1) The defendant continues to commit infringement after being notified or warned by the plaintiff or interested party Act;
(2) The defendant or its legal representative or manager is the legal representative, manager or actual controller of the plaintiff or interested party;
(3) ) There is a labor, labor, cooperation, licensing, distribution, agency, representative, etc. relationship between the defendant and the plaintiff or an interested party, and they have had contact with the infringed intellectual property rights;
(4) The defendant and the plaintiff Or the interested parties have business dealings or have negotiated to reach a contract, etc., and have come into contact with the infringed intellectual property rights;
(5) The defendant commits piracy or counterfeiting of registered trademarks;
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(6) Other circumstances that can be determined as intentional.
Article 4: To determine the seriousness of infringement of intellectual property rights, the people's court shall comprehensively consider the means and frequency of infringement, the duration, geographical scope, scale, and consequences of the infringement, and the infringer's behavior in the lawsuit, etc. factor.
If the defendant has the following circumstances, the people's court may determine the circumstances to be serious:
(1) After being administratively punished for infringement or being held liable by a court ruling, the defendant commits the same or similar infringement again ;
(2) Making a career out of infringing intellectual property rights;
(3) Forging, destroying or concealing evidence of infringement;
(4) Refusing to perform preservation orders ;
(5) The infringement will result in huge profits or the right holder will suffer huge losses;
(6) The infringement may endanger national security, public interests or personal health;
>(7) Other circumstances that can be considered serious.
Article 5 When determining the amount of punitive damages, the people's court shall, in accordance with relevant laws, use the amount of the plaintiff's actual losses, the amount of the defendant's illegal gains or the benefits obtained from the infringement as the calculation base. This base does not include the reasonable expenses paid by the plaintiff to stop the infringement; if the law provides otherwise, such provisions shall prevail.
If the amount of actual losses, the amount of illegal gains, and the benefits obtained from infringement mentioned in the preceding paragraph are difficult to calculate, the people's court shall reasonably determine the amount by referring to the multiple of the license fee for the right in accordance with the law, and use this as a punitive measure. The basis for calculating the amount of compensation.
The people's court orders the defendant to provide the account books and information related to the infringement in its possession in accordance with the law. If the defendant refuses to provide it without justifiable reasons or provides false account books and information, the people's court may refer to the plaintiff's claims and evidence to make a determination. The basis for calculating the amount of punitive damages. If the circumstances specified in Article 111 of the Civil Procedure Law are constituted, legal liability shall be pursued in accordance with the law.
Article 6 When determining the multiple of punitive damages in accordance with the law, the people's court shall comprehensively consider factors such as the defendant's subjective fault and the severity of the infringement.
If an administrative fine or criminal fine has been imposed for the same infringement and the execution has been completed, and the defendant claims to reduce or reduce the liability for punitive damages, the people's court will not support it, but it can take comprehensive consideration when determining the multiple referred to in the preceding paragraph. .
Article 7 This interpretation will come into effect on March 3, 2021. If the relevant judicial interpretations previously issued by the Supreme People's Court are inconsistent with this interpretation, this interpretation shall prevail.