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On August 31, 2021, the Beijing High Court ruled that the parallel import defense of Beijing Mailegou Technology Co., Ltd. was not established, which constituted an infringement of the trademark of Nanjing ChildLife Biotechnology Co., Ltd.
It is understood that Nanjing Childlife company is the exclusive owner of registered trademarks No.10378186 "红心", No.8223462 "童年时光" and No.8223466 "童年时光". Since 2010, it has started business cooperation with ChildLife Essential Company of the United States. Specifically, Nanjing ChildLife company distributes in China the ChildLife series products specially supplied by ChildLife Essential Company and affixed with the trademarks of "童年时光" and "红心图形" on Chinese labels and anti-counterfeiting labels. This product is produced by ChildLife Essential Company in the United States and imported and sold by Nanjing ChildLife Company. The original label of its product is affixed with CHILDLIFE trademark. At the same time, all ChildLife series products sold in China should be marked with Chinese logo containing "红心图形". All ChildLife series products distributed in China are presented under the brand of "童年时光". Based on the trademark rights in China and the authorization of ChildLife Essential Company, Nanjing Childlife Company has the right to prohibit any third party from using the trademarks "红心图形", "童年时光" and "CHILDLIFE" in any way, including the right to prohibit any third party from importing, distributing and promoting "CHILDLIFE" products produced by ChildLife Essential Company in the United States online or through physical stores.
According to the Beijing High Court, the premise that Nanjing ChildLife Company provides license to American companies to use is that the American companies need to make supply directly to Nanjing ChildLife Company, that is, the trademark license obtained by American companies is a conditional license. If an American company sells the goods using the "红心" graphic trademark No.10378186 to other entities than Nanjing ChildLife Company, then the use of the trademark by an American company loses its legitimacy, because it does not meet the attached conditions, and belongs to unlicensed use.
Although the products involved imported and sold by Beijing Mailegou from abroad are sufficient to prove that they were produced in the United States by ChildLife Essential Company, because the producer of the goods involved and the trademark owner of No.10378186 "红心" graphic trademark belong to different subjects, and there is no correlation there-between, the goods involved cannot constitute parallel imported goods in the general sense, so the parallel import defense put forward by Beijing Mailegou Company cannot be established. Therefore, without the permission of Nanjing ChildLife Company, the import and sale of the goods involved by Beijing Mailegou Company is an infringement of trademark rights.