On May 30, a responsible person from the Intellectual Property Tribunal of the Supreme People's Court released the news that local courts in China have filed more than 7,000 cases of civil disputes involving trademarks since 2001 and through hearing, confirmed more than 200 trademarks as well-known trademarks. These moves have guided and kept a healthy certification system for well-known trademarks. 

Because a well-known trademark enjoys a good reputation and is well known to the public, judicial recognition will cause an intangible asset of an enterprise to further develop, and enhance a brand in some degree.

"To recognize a 'well-known trademark' is to recognize a fact rather than an 'honorary title'." Whether a trademark is well-known or not is a dynamic fact; even if a trademark was confirmed as well-known, it does not mean the owner has made it so forever; and what a well-known trademark requires internally and essentially is superior quality and service. If what the owner pursued is only a "brand effect," but neglect continuous innovation and careful maintenance of the well-known trademark, or even uses it as a stick to beat down competitors, it goes against the original intention of legislators to protect well-known trademarks and will not gain support from the courts. 

Therefore, the Supreme People's Court required that courts at all levels check on the application of laws to recognize well-known trademarks. According to the Trademark Law and the judicial interpretations, the court should not confirm a well-known trademark, unless in cases involving cross-class protection of well-known trademarks, requests to stop infringement of non-registered well-known trademarks, or trademark infringement or unfair competition concerning domain names conflicting with well-known trademarks. The examination should cover all the factors to determine a well-known trademark - as in Article 14 of the Trademark Law - that the trademark must enjoy a high fame at least in most of China and be well known to the relevant public. The scope of protection for a well-known trademark should be reasonable. It should be decided on a case-by-case basis, considering a trademark's popularity, distinctiveness and the consequences of the alleged misleading infringing act. It should never turn out to be an unscrupulous all-inclusive protection. For an unregistered well-known trademark to be confirmed, its components should be examined first according to the Trademark Law. Moreover, the court should verify a defendant's identity and the truthfulness of the acts lest someone might create a dispute on purpose in order to obtain recognition of a "well-known trademark." 

In case of any intended dispute investigated and judged as true, it would be dealt with as an obstruction to the civil proceedings according to Article 102 of the Civil Procedure Law, and the original judgment and recognition, if any, would be cancelled, the Supreme People's Court clarified.