Copy
Great Wall wins Fiat case in China, after Italy loss
Great Wall Motor Co., China's largest maker of sport-utility vehicles, said a local court dismissed a claim that it had copied a Fiat SpA model, contradicting an earlier ruling by an Italian court.
Great Wall's GWPeri contains “remarkable differences” on the front view, left view and right view from Fiat's patent, the Shijiazhuang Intermediate People's Court said in a July 21 ruling, according to a statement filed to the Hong Kong stock exchange by the Chinese automaker late yesterday. Fiat was ordered to pay 8,800 yuan ($1,300) in costs, it added.
Fiat earlier this month won a ruling in Turin, its home town, banning Great Wall from selling the GWPeri in Europe because of similarities to its Panda. The case highlights China's more limited protection of intellectual property rights, which has repeatedly been by attacked by the European Union.
“The Chinese courts are giving quite a narrow scope to how much the design patent will cover,” said Justin Davidson, co- head of the technology, media and commercial group in Asia at law firm, DLA Piper. “The Italian courts are giving it broader coverage.”
Italy Appeal
Great Wall, based in Hebei province, is now planning to appeal against the Italian ruling. Lawyers are already working on it, Board Secretary Bai Xuefei said by phone.
Zheng Xiaoli, Fiat's Shanghai-based spokeswoman, declined to comment on the case. The carmaker has 30 days to appeal the Chinese court ruling, according to Great Wall's statement.
Great Wall rose 2.6 percent to HK$5.23 at the close of trading in Hong Kong. The automaker has fallen 53 percent this year.
Fiat, Italy's biggest carmaker, Bayerische Motoren Werke AG and other international automakers are taking legal steps to defend patents as Chinese rivals look to boost sales by expanding overseas. BMW won a German court order in a June blocking sales of a Chinese-made SUV that resembled its X5 model.
EU Trade Commissioner Peter Mandelson has accused China of backtracking on pledges to clampdown on piracy and turning a blind eye to violations since the country joined the World Trade Organization in December 2001. Both the EU and the U.S. have threatened to challenge China through the WTO over lax copyright enforcement. Such violations may act for as much as 360 billion euros in unlawful trade a year, the EU has said.
(Published by Bloomberg - july 28, 2008)