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Unfair Competition

Integrated Circuit Layout Design

Basic Information  |  Enforcement  |  Documents Needed to Register Unfair Competition


Enforcement

Administration for Industry and Commerce (AIC)
Administration for Industry and Commerce (AIC) above county level may exercise supervision over and carry out inspection of acts of unfair competition. The infringed party of unfair competition acts may complain to the AIC. AIC will be entitled the following functions and powers:

  1. In accordance with prescribed procedure, questioning traders under scrutiny, interested parties and witness, and requiring them to provide evidential material or other information related to the act of unfair competition;
  2. Consulting and copying written agreements, account books, receipts, bills, vouchers, invoices, documents, records, business correspondence and other material related to acts of unfair competition.
  3. Inspecting property related to acts of unfair competition, where necessary, ordering traders under investigation to explain the source and quantity of the goods, temporarily stop selling them pending inspection, and not to remove, conceal or destroy them.

Court Proceedings
Where the lawful rights and interests of an infringed party are damaged by unfair competition acts, he may institute proceedings before the People's Court.

Damages
Where a party causes damages to the infringed party by way of unfair competition, he shall be responsible for the compensating the damages. Where the losses suffered by the infringed party are difficult to calculate, the amount of damages shall be the profits gained by the infringer during the period of infringement through the infringing acts. The infringer shall also bear all reasonable costs paid by the infringed party in investigating the acts of unfair competition committed by the infringing party.

Other remedies for name, packaging and decoration of well-known goods
Where a trader uses, without authorization, the name, packaging or decoration peculiar to well-known goods or uses the name, packaging or decoration similar to that of well-known goods so that his goods are confused with the well-known goods of another person, causing buyers to mistake them for the well-known goods, the relevant authority (AIC) shall order him to cease the offense, confiscate the illegal income, and may impose, according to circumstance, a fine of more than one and less than three times the amount of illegal income; where the circumstances are serious, the said authority may revoke his trade license; where a trader sells goods which are counterfeit or of inferior quality, constitute crime, he shall be prosecuted according to law for his criminal liability.