WTO Arbitrators Reverse Decision on EU's IP Claims Against China
WTO arbitrators overturned parts of a previous ruling rejecting the EU's claims against China's intellectual property practices. The panel highlighted that China's anti-suit injunctions breached patent rights rules. China has been given 90 days to align its measures with WTO regulations.
World Trade Organization arbitrators have overturned parts of a prior decision that dismissed the European Union's allegations against China for violating intellectual property rules. This significant reversal comes after a complaint lodged by the EU in 2022.
Earlier, in April, a WTO panel had sided against the EU in its dispute over China's handling of intellectual property rights concerning mobile technology patents, including those for 3G, 4G, and 5G. The panel did agree with the EU, however, on the matter of China's failure to meet certain transparency requirements. Dissatisfied with this outcome, the EU escalated the issue to the Multi-Party Appeal Arbitration Arrangement.
On Monday, arbitrators found that Chinese courts' use of anti-suit injunctions, which prevent patent holders from enforcing their rights internationally, contravenes WTO's Trade-Related Aspects of Intellectual Property Rights rules. China now has 90 days to adjust its practices in order to comply with these global trade standards.
(With inputs from agencies.)
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