In order to further advance the special campaign against online intellectual property infringement and counterfeiting crimes and to fully leverage the exemplary and guiding role of typical cases, the Ministry of Public Security has selected and released the “Top Ten Typical Cases of Law-Based Crackdown on Online Intellectual Property Infringement and Counterfeiting Crimes.” The case involving the production and sale of pirated toys by Yang Mou Shan and others, handled by Lusheng Law Firm on behalf of a certain internationally renowned toy and entertainment group, has been honorably included.
Brief Case Overview
The public security authorities in Shandong uncovered the case involving the production and sale of pirated toys by Yang Mou Shan and others. In June 2024, based on clues reported by the right holder enterprise, the public security authorities in Heze, Shandong solved the case, arresting 29 criminal suspects, destroying 7 criminal dens, and seizing more than 100,000 pirated toys on site, with the amount involved exceeding RMB 76 million. The investigation revealed that since November 2019, the criminal suspect Yang Mou Shan and others had registered multiple companies and engaged in large-scale production of pirated toys, copying the design of product packaging, printing assembly instructions, and, after packaging, selling the products externally through e-commerce stores and physical shops in small commodity markets.
Lusheng Law Firm assisted the client and the public security authorities in handling this case.
Typical Significance
This case is another major case involving the crackdown on the manufacture and sale of pirated toys in which Lusheng Law Firm assisted the right holder and the Shandong public security authorities. The significance of this case lies not only in the exceptionally high amount involved, but also in the full-chain crackdown and the disruption of the cross-border supply chain of infringing products. In this case, our firm assisted the public security authorities in uncovering the entire network responsible for the design and manufacture of pirated toys. In addition to the persons in charge and key managers of the factories manufacturing pirated toys, the authorities also arrested the designers of the pirated toys, as well as downstream distributors responsible for wholesale, retail, and export, thereby effecting a comprehensive and thorough crackdown on the entire infringement ecosystem. The infringing products in this case were exported by traders to multiple countries in Southeast Asia, Europe, and elsewhere. This crackdown has cut off the export routes of the infringing products and also helps to establish China’s image of intellectual property protection in the international arena.
