Global athletic footwear brand New Balance Athletic Shoe, Inc. has announced that it has won a significant trademark infringement lawsuit in China against Chinese footwear maker Qiuzhi Footwear. The court awarded New Balance a monetary award of RMB600,000 ($75,000) and ordered Qiuzhi to stop producing its ‘New Barlun’ athletic shoes after a three-year battle. 

In 2002, New Balance discovered a group advertising itself as American New Barlun (Hong Kong) Limited conducting business in China and promoting a relationship with the “American New Balance” company.  New had acquired trademarks which were similar to those of New Balance and combined them with packaging, advertising, and slogans also similar to the brand. New Barlun began selling franchises and opening retail stores throughout China. New Balance took immediate action, working with China’s Administration for Industry and Commerce with limited success. In 2003, New Balance discovered that New Barlun was a front established in Hong Kong by a Chinese company called Qiuzhi Footwear. New Balance then sued Qiuzhi in the court of Hangzhou.  

After almost three years of litigation, the court held up New Balance’s complaint and found Qiuzhi liable to New Balance for trademark infringement and unfair competition. 

“Billions of dollars worth of counterfeit brand-name goods are discovered annually around the world, most of them originating in China,” said Ed Haddad, vice president of Intellectual Property and Licensing at New Balance. “Brand owners must be vigilant against those who would capitalize on their goodwill and brand reputation.  We applaud the Court’s actions as a tremendous breakthrough in IP protection in China.”