Chinese Court Backs Bad-Faith Finding Against Applicant Whose Filings Outran Its Business
A court in China has confirmed that a trademark was registered in bad faith by an advertising company, relying mainly on how many marks the company had applied for and how little it could show of real commercial use. The ruling was reported by MLex on 2 November 2026 and summarised by Trademark Lawyer Magazine on 4 November.
According to those reports, the court found that the company's filing activity went beyond what its normal business would require, and that it had not produced enough evidence that it used the marks in trade. The name of the applicant, the mark at issue and the full reasoning have not yet been confirmed from a published judgment.
The legal basis
Under Article 4 of the Trademark Law now in force, China may refuse applications made in bad faith without an intention to use. Guidance from the China National Intellectual Property Administration (CNIPA) lists signs such as unusually high filing volumes and applications well beyond an applicant's business needs. Volume alone is not decisive: examiners and courts also look at what the applicant actually does commercially.
More is coming in 2027
The case comes shortly before China's revised Trademark Law enters into force on 1 January 2027. Adopted on 26 June 2026, the new law recognises motion marks, treats online use as trademark use, cuts the time to file an opposition to two months, down from three, increases penalties for bad-faith filings, and adds a general ban on abusing rights in Article 9.
Why it matters for Indonesian brands
Indonesian companies have regularly found their names registered in China by unrelated parties before they enter the market. Decisions like this one give brand owners firmer ground when they challenge such registrations, especially where the registrant holds a large portfolio with no visible trade behind it. The practical lesson is unchanged: file in China early, keep evidence of use, and use the opposition window, which will be shorter from 2027.
Sources
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