Meaning
Administrative laws enacted by the State Council of the People’s Republic of China govern the enforcement of intellectual property rights at the national border. These customs protection regulations grant the General Administration of Customs the authority to investigate, seize, and confiscate goods that infringe upon registered trademarks, patents, or copyrights.
Registry Procedure
Right holders must register their intellectual property assets with the central customs database to enable active monitoring at ports of entry and exit. This customs protection regulations framework allows local port authorities to proactively suspend the clearance of suspected shipments without waiting for a specific court order.
Seizure Execution
Security deposits must be provided by the right holder to cover potential losses of the exporter if the infringement claim is unsubstantiated. Under the customs protection regulations, customs authorities have the power to destroy the infringing goods or remove the infringing features before releasing the products into commerce. If the investigation confirms the presence of counterfeit goods, the items are typically confiscated, and the exporter faces severe administrative penalties, which can include substantial fines and a lower credit rating in the corporate registry system.
Administrative Appeal
Consignees can challenge the detention of their shipments by filing an administrative lawsuit or providing a counter-security deposit to secure the release of the goods. These provisions ensure that legitimate trade is not unnecessarily disrupted by frivolous or malicious claims of intellectual property infringement.