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Archived updates for Thursday, April 20, 2006

Vicarious Landlord Infringement Liability Upheld in China

According to Liu Mo and Cao Li writing for China Daily on April 19, 2006, the Beijing High People's Court upheld a previous ruling by Beijing No 2 Intermediate People's Court ordering Beijing's famed Silk Alley market near the U.S. embassy to pay 200,000 yuan (about $24,700) to each mark owner for allowing merchants to sell knock-offs on its premises. Initially, each of the five luxury goods brands (Prada, Chanel, Louis Vuitton, Gucci, and Burberry) had demanded compensation of 500,000 yuan (US$62,000) each.

"The ruling can still be seen as a great victory in the education of landlords," writes the IP Dragon, "and possibly an indication that the Chinese authorities will prosecute in-active landlords who are informed about trademark infringing tenants."
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