TWO Shenzhen-based tech companies were ordered by the Futian District People’s Court to compensate the Chinese smartphone maker vivo who sued over brand violation, Shenzhen Evening News reported yesterday.

Last year, vivo sued the two Shenzhen-based companies via the Futian District People’s Court for violating its registered brand as the companies promoted two types of phones under the name of vivi through dozens of online shops, causing huge economic losses to vivo.

As a result, vivo asked the two enterprises to stop brand violation and compensate an economic loss of 5 million yuan (US$0.76 million) and legal fees.

The Futian District People’s Court recently confirmed the brand violation of the two companies and ruled that one accused company compensate vivo 1.04 million yuan, three times the total profit (345,000 yuan) the company earned from selling the vivi mobile phones and the other pay 200,000 yuan in compensation.

The court believed that the name vivi used for the two types of phones is similar to vivo, infringing upon the plaintiff’s exclusive right to use the registered trademark. It ordered the two defendants to stop their illegal behaviors.

After the first instance ruling, one accused company filed an appeal. Shenzhen Intermediate People’s Court recently dismissed the appeal. At present, the verdict has taken effect, according to the report.

Vivo registered its trademark in 2012, with approved products including electricity transformers, navigation equipment, electronic fax equipment, telephones, smartphones and electronic signal transmitters.

The registration is valid until Sept. 20, 2022. The trademark has been recognized as a well-known trademark.

(Wang Jingli)