Trademark Law in China : back to court for Castel

Monday February 24 2014 by Vitisphere

 

A new chapter is opened in the suit opposing Castel Freres (#1 French Wine producer) to the chinese entrepreneur Li Dazhi (Panati Wines) : The  Popular  Supreme Court of China has agreed for the lawsuit to be reopened  and to withhold the payment of a 4,2 million euros fine. This decision rekindles the legal battle between parties who have been fighting since 2009 when Li Daoshi sued Castel Freres for counterfeiting the Ka Si Te brand. As this phonetic translation of « Castel » in mandarin was filed by his company in 2000. Since 2013, Castel uses the phonetic transcription Kasidaile for its 20 million cases of wines it sells in China.

After 3 years of legal procedure, Wenzhou’s court (the birth town of Lo Daozhi who is now a Spanish national…) ruled that Castel had to pay a 4,2 million euros fine for counterfeiture of…its own name. This ruling was upheld in Zhejiang appellate’s court last summer. Following this ruling, Castel went to the highest judicial court in China : The Popular Supreme Court of China.

Its decision was taken on December 11 and as reported by a Castel press release « agrees on a new trial as requested by Castel ».  The ruling is based on « article 200 of the judicial code of procedure of the People’s Republic of China », in addition the Supreme Popular Court or China believes that «  the reference legal framwework in this case is inappropriate ».

 

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