Casio has won a landmark lawsuit in a Chinese court that will protect it from knock-offs of its designs being manufactured in the country.
The High People’s Court of Guangdong Province ruled that the use of Casio’s distinctive GA-110 watch design by Guangzhou Teyuan Watch Industry Co., Ltd. and Shenzhen Tasgo Watch Co., Ltd. was an act of unfair competition that could confuse consumers.
The court ruled that the design features of the GA-110 watch are distinctive, non-functional, and have acquired significant consumer recognition, associating them strongly with the Casio brand.
The defendants’ use of a nearly identical design was therefore deemed unfair competition, diluting the distinctiveness of Casio’s watches, and therefore harming its business interests.
The court case, which concluded in December last year, saw the defendants orders to pay Casio RMB 3 million ($414,000) in damages, calculated based on a combination of the impact of their infringing actions, malicious intent, and sales record.
Casio’s victory sets an important precedent for the industry in its unending battle to beat the counterfeiters, particularly in China.
Landy Jiang, managing partner and co-head of dispute resolution at Chinese law firm Lusheng, says the case underscores the strength of trade dress protection in China, even after design patents expire.
“It demonstrates the courts’ commitment to safeguarding intellectual property rights, combatting unfair competition, and protecting genuine, iconic brands, particularly in the online marketplace. It also highlights China’s determination to target counterfeiters and copycats, sending a clear message to businesses operating in this space,” she adds.