Hennessy wins Chinese trademark case

Cognac producer Hennessy has successfully sued Beijing Yan Wei Hong Trading Cooperation for trademark infringement and unfair competition.

The Beijing No 3 Intermediate People’s Court accepted the case, according to ChinaNews.com.

Societe Jas Hennessy registered its trademark in China in 1980. In 1995, Hennessy set up an office in Beijing and started business in China with its registered trademarks Hennessy (both in Chinese and English). The brand enjoys a great popularity in China, especially for its high-end products.

But since last November, Hennessy discovered that Beijing Yan Wei Hong Trading Cooperation used Hennessy as a trademark on its products and sold those illegally.

It was reported that the Beijing company bought the “Hennessy XO” and “Hennessy VSOP” below the market price and then sold them at a higher price. Both products used four registered trademark owned by Hennessy.

Chaoyang District Industrial and Commercial Bureau investigated the case and ruled that Beijing Yan Wei Hong Trading Cooperation had infringed Hennessy’s trademark.

Beijing Yan Wei Hong Trading Cooperation has been ordered to cease the infringement immediately, pay compensation of 150,000 yuan to Hennessy and publicise a notice of apology in a national newspaper, the China Legal Daily.

The case follows several other high profile drinks companies, who have run into problems with China’s trademark laws. Château Ausone and Barrière Frères have both won trademark cases, however Castel has been fined more than US$5m for trademark infringement.