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18 October 2024NewsTrademarksLiz Hockley

Guiding lights: China’s top IP firms and practitioners

Newly released rankings reveal the go-to firms and individuals for trademark and patent services in the country, offering expertise to both domestic and global clients.

WIPR Insights has released this year’s rankings of the top IP law firms and legal practitioners working in China, with a dedicated list of patent services for the first time.

China Trademarks 2024 reveals the best-in-class firms and individuals (available online) involved in brand protection in the country. The rankings are divided into international and People’s Republic of China (PRC) firms, with categories for contentious and non-contentious work.

New for this year is China Patents 2024, which details the firms and professionals providing a stand-out service on patent prosecution and litigation.

To compile the lists, the WIPR Insights team examined dozens of submissions from law firms ranging from boutique local practices to established major players.

Researchers considered factors including the strength of the firms’ IP offering and the profile of their clients—along with market feedback on the perceived calibre of their practice by peers and clients.

The results disclose which firms and individuals are offering the best trademark and patent services in China, as the country’s legal market continues to undergo significant changes.

A shifting landscape

This year’s tables retain the distinction between international and local firms. Traditionally, international firms were considered to be the guardians of global client relationships and the go-to on premium work, while the PRC firms were the ones to instruct for local knowledge and more competitive pricing.

But with the increasing sophistication of local firms and the comfort of international clients with direct instruction of PRC firms, these distinctions have become blurred and the market for premium work much more competitive.

Furthermore, increased geopolitical tension has contributed to a notable exodus of US law firms from the country, either through the closure of offices in China and Hong Kong or a reduction in presence.

Reed Smith became the latest to decrease its footprint in China with the announcement in September that it was closing its Beijing office—following Dechert, Morrison Foerster, Sidley Austin and others in shutting down certain operations in the PRC.

However, some international firms that the WIPR Insights team spoke to wanted to emphasise—before discussing anything else— that they were committed to remaining in China.

Firms retaining a strong presence in the country include Baker McKenzie—ranked as ‘Outstanding’ for non-contentious trademark work in this year’s listings—which has nearly 300 lawyers across Beijing, Shanghai, and Hong Kong.

A shift has also been underway in terms of client work as Chinese companies expand their international activities, with outbound work now accounting for up to 20% of PRC firms’ workload in this year’s rankings.

Legal reform

The growth of Chinese companies to become, in some instances, world leaders in their markets has driven an increased focus on IP in the country, as China seeks to both support domestic innovation and encourage foreign investment.

China has made efforts to ensure its IP system is more robust, with new trademark, patent and trade secrets laws, as well as efforts to increase the policing of IP rights and hand out damages.

One international client that WIPR Insights spoke to said: “Trademarks are very important, particularly in China. Areas of concern are counterfeit items and fraud using our marks.”

Progress is underway to combat the problem of malicious trademark applications. CCPIT Patent and Trademark Law Office, one of the ‘Outstanding’ firms in this year’s rankings, achieved success in a civil litigation case against bad faith trademark applications by using anti-unfair competition laws.

The matter was recognised by the Supreme Court in China as one of the country’s top 50 typical IP cases of 2023.

Recent amendments to China’s trademark law have also expanded the scope for registering non-traditional marks, although challenges for applicants remain.

A PRC client told WIPR Insights that it had been collaborating with China Pat Intellectual Property Office, a ‘Notable’ firm in the rankings, since 2018. “At first, we engaged China Pat to provide a comprehensive report on how we might better acquire and protect some of our key trademarks, which they accomplished well,” the client explained.

“Subsequently, we commenced working on them on dozens of intricate cases, most of which we emerged [from] victorious with their assistance.”

Cross-border knowledge

China may have improved its IP offering—but it is still “a very particular country, with a particular culture and legal system”, says WIPR Insights editor Baron Armah-Kwantreng.

Businesses wishing to successfully protect their patents, trademarks and other assets in the country need law firms based in China with the expertise to navigate the complexities of the jurisdiction.

“You can’t do this ‘remote control’ from New York, London, or Paris,” says Armah-Kwantreng, explaining that being present in person, able to attend meetings, and seen by clients, is key.

One international client said: “We use Kilpatrick Townsend & Stockton in China and elsewhere. Criteria were actual experience in China with other clients.”

Relationships are invaluable; some attorneys cited this as their reason for staying in China, explaining that the connections they had built over several decades could be lost permanently if they were to depart.

Firms and individuals that made it onto this year’s China Trademarks and Patents lists offer the cross-cultural prowess needed to manage or enforce IP portfolios in the country.

This includes speaking multiple languages, having deep knowledge of both China and international IP laws—and understanding the perspectives of both Chinese and global businesses.

For instance, ‘Highly Recommended’ PRC firm China Patent Agent says its teams possess intimate knowledge of the IP laws of China, the US, Japan, and Europe—and their working languages include Chinese, English, Japanese, German, French, Korean, and Cantonese.

Armah-Kwantreng proposes that for companies and law firms wishing to do business in China, the rankings provide a comprehensive list of “the best guides and navigators for your IP” both in China and beyond.

The full rankings can be found here:  China PRC Trademarks, China International Trademarks, China PRC Patents, China International Patents.

See the WIPR Rankings page for more information on the firms in this year’s lists, as well as the top-ranked legal professionals in China: www.worldipreview.com/rankings