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Enforcement of Judgement on the Dispute over Unfair Competition between A Catering Company in Chengdu and Hainan A Catering Company

Enforcement of Judgement on the Dispute over Unfair Competition between A Catering Company in Chengdu and Hainan A Catering Company

[Facts]

In the case of disputes over unfair competition between Chengdu A Catering Company and Hainan A Catering Company, the effective judgment ruled that Hainan A Catering Company shall cease using the “overhanging dragon” decoration and compensate for an economic loss of RMB 1 million. After the judgment took effect, Hainan A Catering Company did not fulfill its obligations as per the judgment, leading Chengdu A Catering Company to apply for enforcement with the Hainan FTP Intellectual Property Court.

[Enforcement results]

After the case was docketed for enforcement by the Hainan FTP Intellectual Property Court, the amount of RMB 1 million in this case was fully enforced through procedures for enforcement. After multiple unsuccessful attempts at reconciliation, the “overhanging dragon” and other similar decorations were lawfully executed in a timely manner, effectively safeguarding the legitimate rights and interests of the prevailing party.

[Significance]

This is a typical example of cases on conduct enforcement. The standard of conduct enforcement involving IPR varies greatly due to the differing understandings of the parties concerned. The process of conduct enforcement not only requires enhanced communication with both parties to facilitate a consensus but also requires the Hainan FTP Intellectual Property Court to have an independent standard of judgment during the enforcement process, preventing any party from arbitrarily expanding or reducing the other party’s rights. Simultaneously, the cost of enforcement, the affordability of the party concerned, and the legal and social effects of the case shall be fully considered during the conduct enforcement in the principle of good faith and civilized enforcement, to promote the conclusion of cases. 


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