One important feature of the new law is the requirement that online businesses must register their business and acquire all necessary licenses regulating particular activities, such as sale of therapeutic drugs. And while in China administrative enforcement is viewed as an inexpensive and fast way of resolving most trademark infringement cases, the market supervision bureaux have generally proved unwilling to take enforcement action in routine online cases, arguing difficulty in asserting jurisdiction where location of the infringer and its stocks are unknown. It notes the need for major e-commerce entities to promote business guides and encourage fair competition and greater trust among all stakeholders. Due to the huge potentials provided by cross border e-commerce. The new law encourages self-regulation, the establishment and strengthening of industry and network codes of conduct. He also works with stakeholders towards the creation of pilot programme for the use of accelerated arbitration of IP disputes occurring on online trade platforms. For example, the new law holds liable both the counterfeiters, as well as e-commerce operators who fail to "take necessary measures" to prevent and stop sellers in violation of intellectual property rights . For example, many questions remain about how all of this will be implemented, especially in regard to foreign entities that seek to enter the Chinese e-commerce market. the lack of clarity over whether the platform is obliged to conduct a reasonable review of the legal merits; the lack of a right by the IP owner to file a rebuttal to the vendor’s, the short 15-day window for the filing of formal infringement complaints to relevant authorities; and. But how then are platforms, government authorities and IP rights holders to monitor for violations? Mr Simone has been active since 1990 with International Trademark Association (INTA) committee work focused on legislative reforms and anti-counterfeiting in China. The report concludes that infringements will increase by 70% in the next five years, perhaps taking the current global level to in excess of US$1.5 billion. The provision in the E-commerce Law that provides the clearest clues regarding coverage of social media is Article 9 which defines ‘e-commerce platform operator’ to cover entities that “provide a virtual place of business, transaction matching, information release and other services to parties of e-commerce transactions to enable them to carry out independent transaction activities”. While establishing a set of laws and regulations, aiming to regulate the vast online retailing business and to protect the rights of consumers and intellectual property is a step in the right direction, there is clearly room for improvements. While these efforts have had a definite effect, they have taken place largely behind closed doors and their impact on the total level of infringements is clearly limited. Also, Article 42 imposes joint and several liability on online trade platforms that knowingly allow the sale of goods that pose a risk to consumer health and safety – thereby offering a potentially powerful tool for addressing items that are not deemed by platforms to infringe IP rights. After several years of preparation, China’s first e-commerce law officially took effect on January 1 st, 2019. The new law builds upon earlier reforms of China's legal system. Platforms should also consider experimenting with new ways of resolving disputes that they regard as too difficult, for example, through accelerated arbitration and the use of China’s new internet courts. On the not so positive side, Article 43 seems to require platforms to refrain from acting against alleged infringements where the vendor has filed a counter-notice containing prima facie evidence of non-infringement – a provision widely criticised by IP owners during the consultation phase for the draft law based on fears that it will be abused on a grand scale by bad-faith operators. E-Commerce Law of the People’s Republic of China 中华人民共和国电子商务法 [CURRENT TEXT: Chinese, English] (adopted Aug. 31, 2018, effective Jan. 1, 2019) Status: Passed; Legislative Body (Vote): NPCSC (167–3–1) Drafter & Submitter: NPC Financial and Economic Affairs Committee; Legislative Plans In fact, various opinions issued a few years prior to the E-commerce Law by the Beijing Higher People’s Court suggested that a proactive-measures standard was justified in China under general tort principles. E-commerce operators shall not deceive or mislead consumers through false or misleading commercial promotion by means of fictitious sale, making up E-commerce in China On 31 August 2018, the Standing Committee of the National People’s Congress passed Electronic Commerce Law of the People’s Republic of China (hereinafter the ‘E-commerce Law’), which is China’s first comprehensive legislation governing the field of e-commerce and has taken effect on 1 January 2019. Second, e-commerce in China shall be conducted by Chinese companies. ​China's new and wide-reaching e-commerce law has come into effect. The E-commerce Law aims to protect the rights and interests of the parties, regulate e-commerce behaviour, maintain market order and promote the development of e-commerce in China. Article 28 of the E-commerce Law requires platforms to publish the identifying information of vendors. Questions have also been raised as to whether the law applies to social media platforms, including messaging services and video and photo sharing services. The provision in the new law which has stimulated the most controversy to date is set out in Article 43, which appears to require online trade platforms to release IP protection measures for given listings if the vendor files a counter-notice containing “prima facie evidence of non-infringement” and the IP owner does not submit evidence within 15 days of its having filed a civil or administrative complaint. The new law requires all online businesses to register with the government, and those that … As such, it appears that the power to enforce registration requirements will rest with local market supervision bureaux, which may or may not have the resources or motivation to do so, thus potentially leaving platforms off the hook for enforcement. SIPS has offices in Beijing, Shanghai and Hong Kong. Almost all of the provisions in the E-commerce Law relating to IP protection leave critical questions unanswered, and there are no guarantees that the future implementing regulations will be issued soon or, if they are, that they will resolve these questions in a manner friendly to IP owners. During the consultation phase for the new law, industry groups raised a number of concerns over Article 43, including – but not limited to – the following: Concerns have also been expressed over potential real-world consequences of Article 43, including the likelihood that counterfeiters and sellers of clones will exploit the new provisions by flooding platforms with flimsy counter notices. The world of e-commerce and the underling technological advancements, especially in areas such as artificial intelligence (AI), will require that laws, regulations, standards and other administrative machinery be continually revised and adapted to new realities. While it may have been wishful thinking, industry and consumer groups expressed the hope during the E-commerce Law consultation phase that bolder solutions would be introduced, and that perhaps some of these new solutions might serve as a model for other countries. The new law further enhances China's regime of privacy protection. Individual chapters cover: e-contracts and e-payments; guarantees for e-commerce transactions; data protection and promotion of consumer protection, fair competition and mechanisms for dispute resolution; cross-border commerce; and the provision of substantial civil and criminal penalties. China will implement a new e-commerce law from 1 January 2019 with the intent to further enhance legal protection for consumers and brands, especially in relation to curbing the counterfeit goods market, for which China has gained an unhealthy reputation. Foreign participation in owning or controlling e-commerce … A new Chinese e-commerce law that went into effect January 1 may provide some relief, though some of its provisions are murky and its enforcement has yet to be tested. 31 August 2018 E-commerce Law of the People’s Republic of China By Joseph Simone. With the new policy, the list of duty-free cross-border e-commerce products c… In June 2018, China’s internet userbase surpassed the 800 million mark,[1] making it the world’s biggest internet userbase holder and e-commerce market potential in the world. These platforms will also benefit from greater cooperation with government and industry groups in experimenting with new technologies and processes, and in responding constructively to concerns over measures they adopt that limit the ability of IP owners to cost-effectively police their markets. For example: Business registration: except for very few types of rare and small person­al businesses, Article 10 of this law requires all e-commerce operators to handle businesses’ registration (市场主体登记 in Chinese). Meanwhile, Articles 10 and 11 require individuals who have set up trading accounts to obtain business licences and register with local tax authorities. The ban of fake reviews includes not only those reviews written by hired agents, but also positive reviews written by customers in exchange for monetary rewards. It also puts the onus on platform operators to remove listings, disable web pages and terminate transactions if IP rights infringement is detected. Articles 74 to 88 of the E-commerce Law set out the penalties – monetary and otherwise – that may be imposed in case of non-compliance. The article of most relevance for IP protection provides that in case a platform fails to take necessary measures against IP violations, the market supervision bureau must first provide a warning and opportunity for the platform to rectify the violation within a prescribed period, failing which a fine of between Rmb50,000 and Rmb2 million (approximately between $7,300 and $295,000) will be imposed. On January 1, 2019, China's new e-commerce law took effect. In this regard, trade associations representing mainly US and EU companies argued for the establishment of a higher duty of care for trade platforms, one that goes beyond the mere notice-and-takedown model and instead requires platforms to implement proactive measures to address violations (ie, actions that would prevent future infringements, such as insertion of filters relying on Big Data software, strengthened intake procedures and more systematic auditing). The law has for centuries struggled with and always limped behind advances in technology. http://www.sips.asia. The new regulation however contains a lot of ambiguous points such as the “low-value transactions” threshold. China is one of the countries that has embraced e-commerce. China's cross-border e-commerce trade saw its turnover rise 80.6 percent from 2016 to 90.24 billion yuan last year. Platform operators are also prohibited from imposing unreasonable restrictions, conditions or fees on merchants. The new e-commerce law enhances the protection of consumers, as merchants must provide greater disclosures, more transparency, and greater monitoring of fraudulent practices. pushing for more favourable interpretations of the law through test cases. Often, advertising and transactional behaviour takes place behind the veil of members-only chat rooms that cannot be monitored by IP owners or even Chinese enforcement authorities using normal software tools. The new e-commerce law compliments this by also placing restrictions on abuses of consumer profiling, such as forcing consumers to "opt-out" of particular services. In order for all the new law's goals to be achieved, all stakeholders will have to lift their game. First, e-commerce in China shall be conducted in accordance with Chinese law in a manner firmly under the control of the central government. Joseph Simone is a partner with SIPS, a firm focused mainly on IP protection in greater China. China has made enormous progress over the past two decades in developing its IP protection laws and systems. Chapter 5 of the E-Commerce Law, Promotion of E-Commerce, provides that China shall promote cross-border e-commerce development, establish and improve the management systems of customs, taxation, entry-exit inspection, payments and other systems relating to cross-border e-commerce, and support cross-border e-commerce platforms in warehousing, logistics, customs … But the new law does not explicitly state either proposition. One concern is the impact of the new law on small businesses which have fewer resources to implement the site development, training and business model adaptations required to be compliant in the new regime. Consumer interest groups, standards bodies, industry organizations, citizen action groups and others will have to be prepared to play their part in using the new legislation to better protect consumers, challenge bad actors and redress consumer grievances. It is of no surprise that the Chinese government has implemented a new regulation on cross-border e-commerce. Article 38 further requires platforms to examine the qualifications of vendors, while Article 27 requires them to verify that vendors maintain accurate records of administrative licences. A discussion on China's first e-commerce law from the perspective of intellectual property protection. Mr Simone has been advising clients on China IP matters since 1988. E-commerce platforms will also have to establish a system to post consumer comments and introduce other measures to ensure accurate information. E.g. E-commerce in China has grown to about 19% of the total USD 5.8 trillion retail sales. And while it may be argued that the most deeply affected are small and medium-sized enterprises, larger brand names also lack the resources to pursue IP violations on a scale that can keep pace with the challenges that they face. What does it mean for market platforms and consumers. In response to more predictable IP enforcement on trade platforms, infringers are increasingly moving to social media to advertise and sell their goods. On January 1, 2019, China's new e-commerce law took effect. Administrative fines by the market supervision bureaux are likely to be rare, as the threat of action will probably be sufficient to change behaviour. The framework of the new law is comprehensive. The implementation of these new regulations commenced on January 1, 20… As a result, the timeline for issuance of the implementing regulations remains unclear. In late November, the State Council released new policies promoting cross-border e-commerce, which came into effect on January 1, 2019. For even the most sophisticated and well-resourced IP owners, online policing is daunting in its scale and complexity, with few companies reporting a satisfactory return on investment from their enforcement work. But IP owners may well enjoy faster and more satisfying results if they can present platforms with evidence that an infringer either does not have the required certifications (eg, the China Compulsory Certificate) or that test results issued by government-approved labs (financed by the IP rights holders, of course) confirm that the goods fail to meet relevant standards. Under the new e-commerce law, the overseas seller must designate a Chinese “responsible party”, which will be held directly accountable by the Chinese authorities for consumer complaints, product recall and other product quality or safety obligations. It is noteworthy the 38th clause of the law stipulates the e-commerce platform operators assume joint liabilities if the commodities and services retailers provide through them encroaches on consumers' legal rights and interests. Milk, milk powder and other foods, diapers, health care products and cosmetics are the goods involved in the most complaints. While official data shows a sharp rise in complaints lodged related to cross-border e-commerce. To its credit, the Chinese government has sought to guide online trade platforms and social media through both formal and informal persuasion, although largely out of the public eye. Infringing goods often fail to meet government-imposed standards for protecting consumer health and safety, and IP owners thus have the option to file administrative and criminal complaints based on the Product Quality Law and corresponding provisions of the Criminal Code. Free Practical Law trial To access this resource, sign up for a free trial of Practical Law. @WTRmagazine RT @WebTMS: Some important tips here for practitioners in the post-Brexit landscape courtesy @HGF_IP via @WTRmagazine https://t.co/9yk2YF43… Read more, @WTRmagazine RT @MarksmenTweets: Dealing with cut budgets and fighting fakes during a pandemic: interview with @Starbucks’ Batur Oktay | @WTRMagazine ht… Read more, @WTRmagazine RT @globalIPcenter: [email protected] is partnering with the Girl Scouts of Greater Los Angeles to promote the importance of #trademarks + educate abo… Read more, @WTRmagazine RT @MarksmenTweets: “A logical step” – Gleissner #trademarks set to be auctioned in Latvia | More via @WTRMagazine https://t.co/b4uSIE7X86… Read more, © Copyright 2003-2020 Law Business Research. The Legislature passed the E-Commerce Law, which is due to come into effect from Sept 1st next year. The new e-commerce law raises the standard of commercial conduct in cyberspace and thus constitutes an important step along the road to the continued growth of China's e-commerce market. Again China takes a very pragmatic approach to roof all these topics under the E-commerce Law, which however could trigger quite some practical implications which international operation shall pay special attention to. These proposals were clearly rejected by drafters of the E-commerce Law. However, the law aims to protect the legal rights and interests all... – both positive and negative future implementing regulations clarifying their precise obligations manner firmly under new! And social media to advertise and sell their goods enhances China 's regime of privacy protection ‘ whac-a-mole syndrome... In complaints lodged related to cross-border e-commerce intellectual property protection and addresses the problem manufacturing. 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Tort law and establishes a complaint procedure for e-commerce platforms opinion articles reflect the views of their authors only not.

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December 12, 2020

china e commerce law

One important feature of the new law is the requirement that online businesses must register their business and acquire all necessary licenses regulating particular activities, such as sale of therapeutic drugs. And while in China administrative enforcement is viewed as an inexpensive and fast way of resolving most trademark infringement cases, the market supervision bureaux have generally proved unwilling to take enforcement action in routine online cases, arguing difficulty in asserting jurisdiction where location of the infringer and its stocks are unknown. It notes the need for major e-commerce entities to promote business guides and encourage fair competition and greater trust among all stakeholders. Due to the huge potentials provided by cross border e-commerce. The new law encourages self-regulation, the establishment and strengthening of industry and network codes of conduct. He also works with stakeholders towards the creation of pilot programme for the use of accelerated arbitration of IP disputes occurring on online trade platforms. For example, the new law holds liable both the counterfeiters, as well as e-commerce operators who fail to "take necessary measures" to prevent and stop sellers in violation of intellectual property rights . For example, many questions remain about how all of this will be implemented, especially in regard to foreign entities that seek to enter the Chinese e-commerce market. the lack of clarity over whether the platform is obliged to conduct a reasonable review of the legal merits; the lack of a right by the IP owner to file a rebuttal to the vendor’s, the short 15-day window for the filing of formal infringement complaints to relevant authorities; and. But how then are platforms, government authorities and IP rights holders to monitor for violations? Mr Simone has been active since 1990 with International Trademark Association (INTA) committee work focused on legislative reforms and anti-counterfeiting in China. The report concludes that infringements will increase by 70% in the next five years, perhaps taking the current global level to in excess of US$1.5 billion. The provision in the E-commerce Law that provides the clearest clues regarding coverage of social media is Article 9 which defines ‘e-commerce platform operator’ to cover entities that “provide a virtual place of business, transaction matching, information release and other services to parties of e-commerce transactions to enable them to carry out independent transaction activities”. While establishing a set of laws and regulations, aiming to regulate the vast online retailing business and to protect the rights of consumers and intellectual property is a step in the right direction, there is clearly room for improvements. While these efforts have had a definite effect, they have taken place largely behind closed doors and their impact on the total level of infringements is clearly limited. Also, Article 42 imposes joint and several liability on online trade platforms that knowingly allow the sale of goods that pose a risk to consumer health and safety – thereby offering a potentially powerful tool for addressing items that are not deemed by platforms to infringe IP rights. After several years of preparation, China’s first e-commerce law officially took effect on January 1 st, 2019. The new law builds upon earlier reforms of China's legal system. Platforms should also consider experimenting with new ways of resolving disputes that they regard as too difficult, for example, through accelerated arbitration and the use of China’s new internet courts. On the not so positive side, Article 43 seems to require platforms to refrain from acting against alleged infringements where the vendor has filed a counter-notice containing prima facie evidence of non-infringement – a provision widely criticised by IP owners during the consultation phase for the draft law based on fears that it will be abused on a grand scale by bad-faith operators. E-Commerce Law of the People’s Republic of China 中华人民共和国电子商务法 [CURRENT TEXT: Chinese, English] (adopted Aug. 31, 2018, effective Jan. 1, 2019) Status: Passed; Legislative Body (Vote): NPCSC (167–3–1) Drafter & Submitter: NPC Financial and Economic Affairs Committee; Legislative Plans In fact, various opinions issued a few years prior to the E-commerce Law by the Beijing Higher People’s Court suggested that a proactive-measures standard was justified in China under general tort principles. E-commerce operators shall not deceive or mislead consumers through false or misleading commercial promotion by means of fictitious sale, making up E-commerce in China On 31 August 2018, the Standing Committee of the National People’s Congress passed Electronic Commerce Law of the People’s Republic of China (hereinafter the ‘E-commerce Law’), which is China’s first comprehensive legislation governing the field of e-commerce and has taken effect on 1 January 2019. Second, e-commerce in China shall be conducted by Chinese companies. ​China's new and wide-reaching e-commerce law has come into effect. The E-commerce Law aims to protect the rights and interests of the parties, regulate e-commerce behaviour, maintain market order and promote the development of e-commerce in China. Article 28 of the E-commerce Law requires platforms to publish the identifying information of vendors. Questions have also been raised as to whether the law applies to social media platforms, including messaging services and video and photo sharing services. The provision in the new law which has stimulated the most controversy to date is set out in Article 43, which appears to require online trade platforms to release IP protection measures for given listings if the vendor files a counter-notice containing “prima facie evidence of non-infringement” and the IP owner does not submit evidence within 15 days of its having filed a civil or administrative complaint. The new law requires all online businesses to register with the government, and those that … As such, it appears that the power to enforce registration requirements will rest with local market supervision bureaux, which may or may not have the resources or motivation to do so, thus potentially leaving platforms off the hook for enforcement. SIPS has offices in Beijing, Shanghai and Hong Kong. Almost all of the provisions in the E-commerce Law relating to IP protection leave critical questions unanswered, and there are no guarantees that the future implementing regulations will be issued soon or, if they are, that they will resolve these questions in a manner friendly to IP owners. During the consultation phase for the new law, industry groups raised a number of concerns over Article 43, including – but not limited to – the following: Concerns have also been expressed over potential real-world consequences of Article 43, including the likelihood that counterfeiters and sellers of clones will exploit the new provisions by flooding platforms with flimsy counter notices. The world of e-commerce and the underling technological advancements, especially in areas such as artificial intelligence (AI), will require that laws, regulations, standards and other administrative machinery be continually revised and adapted to new realities. While it may have been wishful thinking, industry and consumer groups expressed the hope during the E-commerce Law consultation phase that bolder solutions would be introduced, and that perhaps some of these new solutions might serve as a model for other countries. The new law further enhances China's regime of privacy protection. Individual chapters cover: e-contracts and e-payments; guarantees for e-commerce transactions; data protection and promotion of consumer protection, fair competition and mechanisms for dispute resolution; cross-border commerce; and the provision of substantial civil and criminal penalties. China will implement a new e-commerce law from 1 January 2019 with the intent to further enhance legal protection for consumers and brands, especially in relation to curbing the counterfeit goods market, for which China has gained an unhealthy reputation. Foreign participation in owning or controlling e-commerce … A new Chinese e-commerce law that went into effect January 1 may provide some relief, though some of its provisions are murky and its enforcement has yet to be tested. 31 August 2018 E-commerce Law of the People’s Republic of China By Joseph Simone. With the new policy, the list of duty-free cross-border e-commerce products c… In June 2018, China’s internet userbase surpassed the 800 million mark,[1] making it the world’s biggest internet userbase holder and e-commerce market potential in the world. These platforms will also benefit from greater cooperation with government and industry groups in experimenting with new technologies and processes, and in responding constructively to concerns over measures they adopt that limit the ability of IP owners to cost-effectively police their markets. For example: Business registration: except for very few types of rare and small person­al businesses, Article 10 of this law requires all e-commerce operators to handle businesses’ registration (市场主体登记 in Chinese). Meanwhile, Articles 10 and 11 require individuals who have set up trading accounts to obtain business licences and register with local tax authorities. The ban of fake reviews includes not only those reviews written by hired agents, but also positive reviews written by customers in exchange for monetary rewards. It also puts the onus on platform operators to remove listings, disable web pages and terminate transactions if IP rights infringement is detected. Articles 74 to 88 of the E-commerce Law set out the penalties – monetary and otherwise – that may be imposed in case of non-compliance. The article of most relevance for IP protection provides that in case a platform fails to take necessary measures against IP violations, the market supervision bureau must first provide a warning and opportunity for the platform to rectify the violation within a prescribed period, failing which a fine of between Rmb50,000 and Rmb2 million (approximately between $7,300 and $295,000) will be imposed. On January 1, 2019, China's new e-commerce law took effect. In this regard, trade associations representing mainly US and EU companies argued for the establishment of a higher duty of care for trade platforms, one that goes beyond the mere notice-and-takedown model and instead requires platforms to implement proactive measures to address violations (ie, actions that would prevent future infringements, such as insertion of filters relying on Big Data software, strengthened intake procedures and more systematic auditing). The law has for centuries struggled with and always limped behind advances in technology. http://www.sips.asia. The new regulation however contains a lot of ambiguous points such as the “low-value transactions” threshold. China is one of the countries that has embraced e-commerce. China's cross-border e-commerce trade saw its turnover rise 80.6 percent from 2016 to 90.24 billion yuan last year. Platform operators are also prohibited from imposing unreasonable restrictions, conditions or fees on merchants. The new e-commerce law enhances the protection of consumers, as merchants must provide greater disclosures, more transparency, and greater monitoring of fraudulent practices. pushing for more favourable interpretations of the law through test cases. Often, advertising and transactional behaviour takes place behind the veil of members-only chat rooms that cannot be monitored by IP owners or even Chinese enforcement authorities using normal software tools. The new e-commerce law compliments this by also placing restrictions on abuses of consumer profiling, such as forcing consumers to "opt-out" of particular services. In order for all the new law's goals to be achieved, all stakeholders will have to lift their game. First, e-commerce in China shall be conducted in accordance with Chinese law in a manner firmly under the control of the central government. Joseph Simone is a partner with SIPS, a firm focused mainly on IP protection in greater China. China has made enormous progress over the past two decades in developing its IP protection laws and systems. Chapter 5 of the E-Commerce Law, Promotion of E-Commerce, provides that China shall promote cross-border e-commerce development, establish and improve the management systems of customs, taxation, entry-exit inspection, payments and other systems relating to cross-border e-commerce, and support cross-border e-commerce platforms in warehousing, logistics, customs … But the new law does not explicitly state either proposition. One concern is the impact of the new law on small businesses which have fewer resources to implement the site development, training and business model adaptations required to be compliant in the new regime. Consumer interest groups, standards bodies, industry organizations, citizen action groups and others will have to be prepared to play their part in using the new legislation to better protect consumers, challenge bad actors and redress consumer grievances. It is of no surprise that the Chinese government has implemented a new regulation on cross-border e-commerce. Article 38 further requires platforms to examine the qualifications of vendors, while Article 27 requires them to verify that vendors maintain accurate records of administrative licences. A discussion on China's first e-commerce law from the perspective of intellectual property protection. Mr Simone has been advising clients on China IP matters since 1988. E-commerce platforms will also have to establish a system to post consumer comments and introduce other measures to ensure accurate information. E.g. E-commerce in China has grown to about 19% of the total USD 5.8 trillion retail sales. And while it may be argued that the most deeply affected are small and medium-sized enterprises, larger brand names also lack the resources to pursue IP violations on a scale that can keep pace with the challenges that they face. What does it mean for market platforms and consumers. In response to more predictable IP enforcement on trade platforms, infringers are increasingly moving to social media to advertise and sell their goods. On January 1, 2019, China's new e-commerce law took effect. Administrative fines by the market supervision bureaux are likely to be rare, as the threat of action will probably be sufficient to change behaviour. The framework of the new law is comprehensive. The implementation of these new regulations commenced on January 1, 20… As a result, the timeline for issuance of the implementing regulations remains unclear. In late November, the State Council released new policies promoting cross-border e-commerce, which came into effect on January 1, 2019. For even the most sophisticated and well-resourced IP owners, online policing is daunting in its scale and complexity, with few companies reporting a satisfactory return on investment from their enforcement work. But IP owners may well enjoy faster and more satisfying results if they can present platforms with evidence that an infringer either does not have the required certifications (eg, the China Compulsory Certificate) or that test results issued by government-approved labs (financed by the IP rights holders, of course) confirm that the goods fail to meet relevant standards. Under the new e-commerce law, the overseas seller must designate a Chinese “responsible party”, which will be held directly accountable by the Chinese authorities for consumer complaints, product recall and other product quality or safety obligations. It is noteworthy the 38th clause of the law stipulates the e-commerce platform operators assume joint liabilities if the commodities and services retailers provide through them encroaches on consumers' legal rights and interests. Milk, milk powder and other foods, diapers, health care products and cosmetics are the goods involved in the most complaints. While official data shows a sharp rise in complaints lodged related to cross-border e-commerce. To its credit, the Chinese government has sought to guide online trade platforms and social media through both formal and informal persuasion, although largely out of the public eye. Infringing goods often fail to meet government-imposed standards for protecting consumer health and safety, and IP owners thus have the option to file administrative and criminal complaints based on the Product Quality Law and corresponding provisions of the Criminal Code. Free Practical Law trial To access this resource, sign up for a free trial of Practical Law. @WTRmagazine RT @WebTMS: Some important tips here for practitioners in the post-Brexit landscape courtesy @HGF_IP via @WTRmagazine https://t.co/9yk2YF43… Read more, @WTRmagazine RT @MarksmenTweets: Dealing with cut budgets and fighting fakes during a pandemic: interview with @Starbucks’ Batur Oktay | @WTRMagazine ht… Read more, @WTRmagazine RT @globalIPcenter: [email protected] is partnering with the Girl Scouts of Greater Los Angeles to promote the importance of #trademarks + educate abo… Read more, @WTRmagazine RT @MarksmenTweets: “A logical step” – Gleissner #trademarks set to be auctioned in Latvia | More via @WTRMagazine https://t.co/b4uSIE7X86… Read more, © Copyright 2003-2020 Law Business Research. The Legislature passed the E-Commerce Law, which is due to come into effect from Sept 1st next year. 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