China’s top legislature, the Standing Committee of the National People’s Congress ended its bimonthly session on Thursday, October 28, 2010, adopting a series of bills including the
Law on Law Application to Civil Relationships Involving Foreign Interests
, the law on conflicts of law. It will come into effect as of April 1, 2011. Applicable law for IP issues is provided by this new law as well.
According to Article 48 of the Law, the ownership and content of intellectual property rights will be governed by the law of jurisdiction in which the IP protection is sought. However, for transfers and licensing of the same IP rights the parties may choose their applicable law, according to Article 49 of the Law.
Article 50 provides that the law of jurisdiction in which the IP protection is sought will be applicable regarding liabilities of IP infringement. However, the parties may choose their applicable law if the infringement is already in existence.