54 ASIAN LEGAL BUSINESS CHINA • 亚洲法律杂志-中国版 OCTOBER 2023 ZY PARTNERS specializes in IP matters. Since 2009, our firm and partners have been annually ranked by Chambers, Managing Intellectual Property, IAM Global Patent 1000, and WTR 1000 as the top IP law firms and lawyers in China for our solid performance. Thanks to our lawyers’ professional background and abundant experience, many of our IP litigation and unfair competition cases have been selected as guiding cases by various courts. We have maintained close and in-depth relationships with our clients in both traditional and cutting-edge business, and gained a high reputation and trust in both IP contentious and noncontentious areas. Chapter 1 About ZY PARTNERS Right holders and infringers can also voluntarily reach agreements and submit their disputes to arbitration institutions for binding arbitration decisions. In addition, settlement may also be reached during administrative proceedings subject to the severeness of the infringement, and during pre-trial conciliation. In pre-trial conciliation, the court may conduct mediation themselves, work with local AMR, people’s mediation committees, or appoint mediators to mediate, or team up with other divisions to conduct the mediation. If the parties are unwilling to settle, the formal litigation process will be initiated. For instance, Shanghai Jing’an District People’s Court recently successfully resolved a trademark infringement dispute involving the counterfeit “Jian nan chun” trademark (a well-known Chinese liquor brand) through diverse mediation platform together with Jing’an AMR7. The parties settled the case by signing a conciliation agreement covering compensation amount and payment terms, which was then confirmed by the Court within 3 working days by a civil decision. Such successful conciliations reduce the costs for right holders, save administrative and judicial resources, and offer an effective dispute alternative resolution. Advantages: It is an efficient, flexible, and time-saving procedure; the proceedings are held in private, and the relevant documents are also confidential, which fully ensured the parties’ privacy; the court decision or conciliation agreement affirmed by the court has the same effect as judicial documents, which is legally binding and enforceable if the other party failed to act as agreed. Disadvantages: Any instrument issued by third-party organizations outside of court is not enforceable, and if one party doesn’t comply, the other party has to file a lawsuit, increasing the time and cost; most pre-trial conciliations held by the court are only applicable to cases with clear legal relations and minor disputes. If the parties are unwilling to mediate or fail to agree on mediation terms, they still need to enter the litigation process. Furthermore, the parties might compromise or waive some of their rights during mediation, leading to potential loss of interests. In conclusion, for right holders, each of the above dispute resolution methods has its pros and cons. The choice should be based on the specific circumstances of the case, the needs of the right holder, and budget. For entities that are being accused of infringement, it’s also essential to fully understand the current legal provisions in China in order to make effective response in return. 7Pengpai New, August 2, 2023, “Jian nan chun trademark infringement, multiple mediation creates a new scene for litigation source governance”, https://www.thepaper.cn/ newsDetail_forward_24089854
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