Settlement over Infringement of “KENWOOD” Trademark Right in China

JVC KENWOOD Corporation (JVC KENWOOD) hereby announces that it received damages from and reached an amicable settlement with the Fujian Top Way Group (Top Way Group) of China. This was the result of a lawsuit filed with the Fujian High People’s Court against Fujian Top Way Communication Technology Co., Ltd. (Top Way Communication) and Futsing Guanhua Electronics Co., Ltd. (Guanhua Electronics) of the Top Way Group. The lawsuit sought to have transfer of property from Top Way Communication to Guanhua Electronics invalidated.

JVC KENWOOD filed multiple lawsuits, claiming that the sale by the Top Way Group of radio equipment and interphones on which the “KENWEI” logo was placed corresponds to an infringement of the “KENWOOD” trademark right, design right and copyright. Later, all the lawsuits were concluded with the final ruling in favor of JVC KENWOOD.

However, the Top Way Group did not stop infringing the rights of JVC KENWOOD even after the final ruling in favor of JVC KENWOOD. Top Way Communication, which was to pay damages based on the ruling, did not do so and transferred its property to Guanhua Electronics, a group company.

As a result, JVC KENWOOD was put in a situation where it was difficult to obtain such damages.

Against this backdrop, JVC KENWOOD submitted a petition to the Fuzhou Intermediate People’s Court, seeking to have this transfer of property from Top Way Communication to Guanhua Electronics invalidated, and later appealed to the Fujian High People’s Court. In this lawsuit, JVC KENWOOD agreed to the details of settlement described in the summary mentioned below through the mediation of the Fujian High People’s Court in December 2011, and received damages from the Top Way Group for a series of suits in January 2012.

As a result, a settlement was reached between JVC KENWOOD and the Top Way Group, putting an end to a dispute that had lasted for many years.

Summary of reconciliation mediation

1. The Top Way Group must stop any act that infringes on the rights of JVC KENWOOD, including the use of the “KENWEI” logo, within 30 days after the mediation consultation.
2. The Top Way Group must pay JVC KENWOOD 1.3 million yuan (equivalent to approximately 15.74 million yen*) in compensation.

JVC KENWOOD has long been taking a firm stance against parties that infringe the intellectual property rights of JVC KENWOOD products by identifying them and taking legal action. We will retain our basic stance of protecting consumers and the rights and interests of JVC KENWOOD Group throughout the world by more strongly promoting activities to confront and eliminate infringement of intellectual property rights and other illicit acts.

* Converted at the rate of 1 yuan = 12.11 yen.