Monday, March 14 2022   \  Published by Lexgoal Law Office.

Xiaomi's Trademark Case Awarded 30 Million RMB in Punitive Damages

 On December 31, 2021, in the case of Xiaomi Technology v. Shenzhen Xiaomi Corporation for trademark infringement and unfair competition, the Shenzhen Intermediate Court determined that Shenzhen Xiaomi Corporation constituted malicious infringement, applied punitive damages, and awarded 30 million RMB, etc. Shenzhen Xiaomi Company sells 182 types of products such as chargers, mobile power supplies, fans, and massagers in the store, as accused for the infringement. In the franchise store, “Xiaomi franchise store”, “Xiaomi” etc are labeled. Xiaomi Technology Company filed a lawsuit to stop the infringement and claimed 30 million RMB. The court determined that Xiaomi's trademark and trade name contributed 50% to the defendant's profits, of which the trademark right contributed 30% and the trade name contributed 20%. The defendant should compensate Xiaomi for a total of 47,009,891.69 RMB. It has exceeded the plaintiff's claim in this case, so the court fully supports the plaintiff's claim of 30 million RMB. (Note: This case has come into effect, and the two parties have reached a consensus on mediation under the auspices of the court) The judgment involves the determination of infringement, the judgment criteria for subjective malice and serious circumstances in the application of punitive damages, and the determination of the base and the multiple in the amount of compensation.

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