For Huawei, a company that has seen its fair share of challenges in international markets, protecting its brand at home is paramount. The case highlights the ongoing battle against counterfeiters and copycats looking to capitalize on established brand recognition.
At the heart of the matter was the unauthorized sale of smartwatches using variations of the “HUAWEI” trademark. The tech giant, which owns the “HUAWEI” trademark, argued that three companies were intentionally misleading consumers through e-commerce platforms. These companies were allegedly using labels like “HUAWEL,” “Applicable to Huawei,” and “Universal with Huawei phones.”
Huawei contended that these firms were selling smartwatches bearing confusingly similar trademarks such as “HUAWEL,” “HUAWEI UNION,” and “HUAWEI DRAGON.” The company asserted that this deliberate mimicry was designed to deceive customers and unfairly benefit from Huawei’s reputation. They also argued the infringers acted with malicious intent over a prolonged period.
Faced with what it considered blatant trademark infringement, Huawei initiated legal proceedings. The company sought an immediate cessation of the infringing activities, as well as compensation for the economic losses and expenses incurred in protecting its intellectual property rights. Huawei’s legal team presented a compelling case, emphasizing the potential for consumer confusion and the damage to its brand reputation.
The Court’s Decision
The court sided with Huawei, finding that “HUAWEL” was indeed too similar to “HUAWEI” in both appearance and pronunciation. The court further determined that the use of the infringing marks in product titles and promotional materials was sufficient to mislead consumers. This constituted a clear violation of Huawei’s exclusive trademark rights.
Furthermore, the court found that the three companies were interconnected and jointly developed products, indicating a coordinated effort to infringe on Huawei’s trademark. Given the scale and seriousness of the infringement, the court imposed punitive damages.
The court calculated damages based on the profits earned by the infringing companies, amounting to 3 million yuan (approximately $421,777 USD). In addition, the court ordered the companies to pay 50,000 yuan (approximately $7,000 USD) to cover Huawei’s legal expenses.
The defendants subsequently appealed the decision, but the court rejected their appeal and upheld the original ruling. This reinforces the seriousness with which Chinese courts are treating trademark infringement cases, especially those involving well-known brands.
Huawei’s victory serves as a cautionary tale for companies attempting to ride the coattails of established brands. The ruling highlights the importance of robust intellectual property protection and sends a clear message that trademark infringement will not be tolerated. As Huawei continues to expand its global reach, safeguarding its brand identity will remain a top priority. For more information on Huawei, visit Huawei .
