A trademark enforcement matter handled by Xu Lekai (Michelle XU) (Michelle XU) and Team has recently reached a successful conclusion. The Fujian High People's Court dismissed the infringer's appeal in its entirety and upheld the first-instance judgment awarding RMB 1.005 million in damages and reasonable enforcement costs to a well-known international sportswear brand.

    The matter represents a complete enforcement cycle involving criminal investigation, criminal prosecution, civil litigation, and appellate proceedings, demonstrating how multiple legal mechanisms can be effectively combined to combat large-scale trademark infringement in China.

Large-Scale Counterfeit Distribution Uncovered

     According to the criminal judgment, the infringer had been engaged in the purchase and distribution of counterfeit sports shoes bearing the brand's registered trademarks since 2020.

    The investigation revealed that approximately 50,000 pairs of counterfeit shoes had been sold, generating sales revenue of approximately RMB 3 million. At the time of the police raid, an additional 23,000 pairs of counterfeit shoes were seized before entering the market.

    Law enforcement authorities also froze and recovered illegal proceeds and seized relevant tools used in the infringement operation. The criminal court ultimately determined that the infringer had earned unlawful profits of approximately RMB 1 million.

    As a result, the defendant was convicted of selling goods bearing counterfeit registered trademarks and sentenced to three years' imprisonment, suspended for four years, together with a criminal fine of RMB 1 million. The unlawful profits of RMB 1 million and all remaining counterfeit goods were also confiscated.

Civil Proceedings Secured Additional Compensation

    Following the conclusion of the criminal proceedings, Xu Lekai (Michelle XU) and Team initiated civil trademark infringement litigation on behalf of the brand owner.

    The civil court held that the defendant had engaged in large-scale and deliberate trademark infringement and should bear corresponding civil liability.

    The court therefore ordered the defendant to compensate the brand owner in the amount of RMB 1.005 million, including damages and reasonable enforcement expenses.

    Importantly, the court did not reduce the civil damages merely because criminal penalties had already been imposed. Instead, the judgment reaffirmed the principle that criminal sanctions and civil remedies serve different purposes and may coexist within the same enforcement framework.

Appeal Strategy Failed to Delay Enforcement

    Another noteworthy aspect of the case concerned the defendant's litigation strategy.

    The defendant did not actively participate in the first-instance proceedings. However, after learning that the court had awarded compensation exceeding RMB 1 million, the defendant filed an appeal.

    No new evidence was submitted during the appellate proceedings, nor were any substantial legal arguments raised that could overturn the first-instance judgment. The appeal mainly focused on the amount of compensation and the defendant's alleged financial difficulties.

    In practice, appeals are sometimes used as a means of delaying the finality of judgments and postponing enforcement efforts. In this case, however, the Fujian High People's Court handled the matter efficiently and dismissed the appeal within a relatively short period after accepting the case, thereby preventing further delay.

Strengthening IP Protection in Putian

    The case is particularly significant because it arose in Putian, one of China's most important footwear manufacturing regions and a key battleground for brand protection efforts.

   By combining criminal enforcement with subsequent civil recovery, the matter achieved a complete enforcement cycle that not only stopped the infringing activities but also imposed substantial financial consequences on the infringer.

    The outcome reflects the increasingly coordinated approach adopted by Chinese authorities in combating trademark infringement and protecting the legitimate rights of brand owners.

Conclusion

    Effective brand protection is not merely about stopping infringement—it is about ensuring that infringement carries real consequences.

    In this case, the infringer ultimately faced criminal conviction, confiscation of unlawful profits, a substantial criminal fine, and a separate civil damages award exceeding RMB 1 million. Taken together, the total legal consequences exceeded RMB 3 million.

    The case demonstrates the effectiveness of coordinated criminal and civil enforcement mechanisms and highlights the continued strengthening of intellectual property protection in China.

    Xu Lekai (Michelle XU) and Team remain committed to assisting domestic and international brand owners in developing comprehensive enforcement strategies and utilizing administrative, criminal, and civil remedies to safeguard valuable intellectual property rights and preserve brand integrity in the Chinese market.