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Monday, December 24, 2018, 18:06
China introduces punitive damages for IPR infringement
By Xinhua
Monday, December 24, 2018, 18:06 By Xinhua

In this undated photo, a senior inventor shows official patent certificates for his innovations in boilers. (PHOTO PROVIDED TO CHINA DAILY)

BEIJING – A new draft section on torts of China's civil code introduced punitive damages for the infringement of intellectual property rights (IPRs).

If an intellectual property right is intentionally infringed upon and the circumstances are serious, the infringed shall have the right to claim punitive damages, according to the new draft

The new draft has been submitted to the ongoing bimonthly session of China's top legislature, which opened Sunday.

Together with five other sections, the previous draft went through a first reading at the August session of the National People's Congress Standing Committee.

READ MORE: China to boost crackdown on IPR infringement

The new draft stipulates that if an intellectual property right is intentionally infringed upon and the circumstances are serious, the infringed shall have the right to claim punitive damages.

While presenting the draft before the lawmakers, Shen Chunyao, deputy head of the NPC Constitution and Law Committee, said that it is necessary to significantly increase the financial penalties for IPR infringements to better exert the deterrent effect of the law. 

ALSO READ: IPR infringement crackdown to usher in fairer environment

The draft also has new provisions concerning the liability for environmental damage.

In addition to compensation, the infringer could be held responsible for expenses incurred in the investigation, appraisal, and assessment of the damage, according to the draft.

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