Starbucks Counterfeit Trademark Sales Suit Seeks 21 Million RMB

Thursday, November 26, 2020

On November 22, 2020, the Jiangsu Provincial Shopper Safety Committee introduced they filed a public curiosity lawsuit on October 26, 2020 in opposition to Shuangshan Meals (Xiamen) Co., Ltd. for promoting counterfeited Starbucks espresso. Shuangshan was beforehand topic to felony prosecution for the sale of the counterfeit espresso amounting to 7 million RMB (~$1 million USD). That is the primary shopper civil punitive damages public curiosity litigation in Jiangsu Province and the demand for compensation of 21 million RMB is the best demand ever made in China in a shopper civil public curiosity litigation.

In February 2018, the Wuxi Metropolis Market Supervision Division acquired a report stating that there have been counterfeit “Starbucks” model espresso being offered. An investigation decided the “Starbucks” espresso offered by Shuangshan was a counterfeit product. After verification, the market supervision division notified the Wuxi public safety division. Later, it was discovered that the espresso offered by Shuangshan Firm was not licensed by the proprietor of the “Starbucks” model. Below the premise of figuring out that the bought merchandise had been counterfeit, Shuangshan nonetheless solid customs declaration paperwork and false authorization paperwork, and offered the merchandise. The counterfeit Starbucks espresso went to greater than 50 retailers in 18 provinces throughout China, and at last offered to finish customers. In 2019, the Xinwu District Procuratorate prosecuted Shuangshan Firm and associated personnel with a verdict reached in December. On the identical time, the Xinwu District Procuratorate beneficial that the Jiangsu Provincial Shopper Safety Committee file a shopper civil public curiosity lawsuit.

The Jiangsu Provincial Shopper Safety Committee concluded that the case was an mental property case involving counterfeit emblems. The information had been clear and glued, the quantity concerned was large, and the infringement was severe. The pretend espresso gross sales constituted fraud and the Committee subsequently claimed punitive compensation of thrice the quantity concerned. On October 26, 2020, the Wuxi Intermediate Individuals’s Court docket formally accepted the case.

The best way to distribute any funds collected by the Committee on account of the lawsuit has but to be decided.

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