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No.78¡¡Oct.28, 2011
 
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In this issue
The Fourth China-UK Economic and Financial Dialogue (EFD) Reached Consensus in Intellectual Property and Other Issues
General Administration of Customs: Customs Seized Infringement Cases grows 30% per Year
Hong Kong to Reform Copyright and Patent Laws
Patent Prosecution Highway between China and Japan to Expedite Patent Prosecution
Chinese Patent Documents Will be Added to PCT Minimum Documentation
 
 
 
The Fourth China-UK Economic and Financial Dialogue (EFD) Reached Consensus in Intellectual Property and Other Issues

 
Recently, China Vice-Premier Wang Qishan and Chancellor of the Exchequer George Osborne held the fourth China-UK Economic and Financial Dialogue (EFD) in London and reached a number of policy results. The two sides recognize that effective protection of intellectual property rights play an important role in promoting innovation and encouraging bilateral trade and investment, especially in the field of high technology.

Competent authorities of China and UK have agreed to make arrangements on the bilateral intellectual property seminar announced when the two countries¡¯ prime ministers met with each other this year. The ministerial officials would attend the seminar and would launch an informal IP dialogue to strengthen the understanding of each other¡¯s IP policy, with an aim to formulate feasible measures to improve IP environment so as to promote mutual trade and investment.

 
 
General Administration of Customs: Customs Seized Infringement Cases grows 30% per Year

 
On October 13, the State Council Information Office held a press conference on customs¡¯ supervision and service optimization and the growth of foreign trade. Lu Peijun said that strengthening IP protection is not only the requirement to respect knowledge and maintain fair and orderly environment but also the requirement to promote China's sustainable economic and social development. Chinese government's attitude of fighting against infringement has been consistent, clear and determined. As the country's inbound and outbound supervision and management organization, China customs has carried out customs protection of intellectual property rights since 1994. Over the years, the increase rate of seized infringement cases by China customs is about 30% each year. From 1995 to 2010, China customs handled infringement cases with goods value of RMB 2.4 billion Yuan. According to the cross-border flow of the infringing goods, the Chinese customs strengthened enforcement cooperation with national and regional customs of major foreign countries, and signed memorandum of IP enforcement cooperation successively with the United States, the European Union, Russia, Japan and other countries.

Lu Peijun said that China would continue to strengthen the enforcement cooperation with relevant departments home and abroad, further enhance the long-term-effect mechanism of the customs¡¯ IP protection, and resolutely fight against all kinds of infringements.

 
 
Hong Kong to Reform Copyright and Patent Laws

 
According to Hong Kong¡¯s Wenhui Newspaper, the Hong Kong Legislative Council has recently discussed the Copyright (Amendment) Bill 2011, which the Hong Kong government expects to legislate before 2012.

Zhang Jinhui, the Director of Intellectual Property Department of Hong Kong, stated on October 8 that the purpose of the amendment is to strengthen the regulations against Internet infringement. The consideration as to whether derivative work, dubbed by netizen as ¡°KUSO¡± (literally faeces in Japanese) , would constitute an infringement depends on the individual circumstances, but factors such as the degree of copying, distribution purposes, economic loss to the copyright holder, and whether the copying is for profit would be taken into account.

In addition, the Hong Kong government proposed the establishment of an "original patent" system, under which Hong Kong could examine and allow patent applications without requiring inventors to first obtain foreign patents. The new system is expected to help save application time and cost. Zhang added that the system would be suitable for scientific research organizations and small businesses.

However, due to the extensive fields of invention, it will take time to train professional examiners and set up a patent database. Further, due to the territorial characteristics of patent protection, an "original patent" would only cover Hong Kong but not the mainland as they would each maintain an independent patent system.

 
 
Patent Prosecution Highway between China and Japan to Expedite Patent Prosecution

 
On October 17, 2011, the intellectual property offices of China and Japan reached an agreement to establish a Patent Prosecution Highway to expedite prosecution of patent applications filed by applicants from the two countries.

The agreement will reportedly be put into effect in November, 2011, after it was signed in Beijing on October 18, 2011. In the past, the prosecution time of a patent application filed by Japanese applicants in China would take up to 2 to 3 years. Under the Patent Prosecution Highway, the prosecution time would reduce to just half a year, which would be advantageous for Japanese applicants who wish to establish their predominance in the Chinese market.

It was the first time China signed this kind of agreement with a foreign intellectual property office. However, it was Japan¡¯s 17th agreement with a foreign intellectual property office, subsequent to its agreement with the European Patent Office (EPO) and United States Patent and Trademark Office (USPTO).

According to the agreement, if the government of one country allows a patent application filed by a Chinese or Japanese applicant, the government of the other country will just have to record the prosecution history documentation of the allowed patent application. This greatly simplifies the patent examination procedures as compared with the past practice of independent examination by the two governments.

 
 
Chinese Patent Documents Will be Added to PCT Minimum Documentation

 
Recently, the 49th Annual Assembly of the Member States of the World Intellectual Property Organization (WIPO), i.e. the Patent Cooperation Treaty (PCT) Union Assembly, in Geneva, Switzerland approved amendments to Regulations of the PCT. At the Assembly, a proposal to add Chinese patent documents to the PCT minimum documentation was unanimously approved to take effect from July 01, 2012.

According to the requirements of the PCT and its detailed implementation rules, the search and examination of a PCT international patent application necessitates a minimum collection of patent documents and non-patent literature, i.e. the PCT minimum documentation requirement. At present, the patent documents refer to patent documents that have been officially published by the United States, Britain, France, Germany, Switzerland, Japan, Russia (including the former Soviet Union), European Patent Office and Patent Cooperation Treaty Organization since 1920. On the other hand, the list of non-patent literature, which is subject to change, is published by the International Bureau and usually includes more than 100 scientific and technical journals of the above seven countries and two organizations.

The addition of Chinese patent documents into the PCT minimum documentation signifies a new phase in Chinese patent documentation, and beneficially enables patent examiners of the respective countries to search a more complete collection of prior art documents. This improves the efficiency and quality of PCT searches, and also enhances the contribution of Chinese patent documents to the rest of the world.

In recent years, there has been a sustained and rapid growth in Chinese patent applications, and a significant increase in the number Chinese patent documents. As of the end of August, 2011, there were 6.65 million of Chinese patent documents relating to three kinds of patents (inventions, utility models and designs), and this number is expected to increase by hundreds of thousands each year.