Shift in Criminal Enforcement Practices in China Raises Concerns for Brand Owners
Introduction
Recent changes in China’s criminal enforcement practices have sparked significant discussion among legal professionals and brand owners alike. The Ministry of Public Security (MPS) has rolled out new directives aimed at addressing jurisdictional challenges and delays in cases tied to Public Security Bureaus (PSBs). This shift signals a stricter enforcement landscape, particularly in the realm of intellectual property (IP) rights.
Regulatory Developments
In 2021, the MPS implemented the "Seven Provisions on Prohibiting Profit-Seeking Law Enforcement by Public Security Organs." This legislation was designed to strengthen jurisdictional protocols and improve mechanisms for dispute resolution. Despite clear regulations, illegal cross-regional enforcement—referred to as "offshore fishing"—has triggered widespread concern. Such practices often involve aggressive tactics like arrests and asset freezes that jeopardize the financial stability of private enterprises and disrupt social order.
Conversely, legitimate cross-jurisdictional enforcement is sometimes necessary, particularly when local PSBs lack expertise in IP matters or exhibit tendencies toward protectionism.
Insights from Jing’an District PSB
Following a recent meeting with the Jing’an District PSB in Shanghai, new internal directives aimed at optimizing the enforcement landscape were disclosed. The directives, effective from March 5, 2025, emphasize clarity in jurisdiction, notably for cross-provincial crimes:
- Primary Jurisdiction: Crimes are generally under the jurisdiction of the police where the primary crime occurred. If unsure, jurisdiction defaults to the location of the enterprise. Cybercrimes will also be addressed under these regulations.
- Individual Operators: The previous model allowing forum shopping for individual business operators remains viable.
- Coordination in Disputes: In jurisdictional disputes, the MPS will coordinate based on the main crime location.
These updates aim to enhance the accuracy and efficiency of criminal enforcement.
The Impact of Recent Changes
The increased rigor in evidentiary requirements has marked a notable shift in how PSBs manage cases. Brand owners previously multitasking across different PSBs must now navigate increased scrutiny in their case filings. Reports show that, post-2025 Spring Festival, PSBs have become more selective in prioritizing cases based on their potential economic impacts.
Regional Variations
- Beijing: Exercising heightened caution in jurisdictional decisions.
- Shanghai: Maintaining active case management while insisting on stricter evidence standards.
- Guangdong: Showcasing vigilance against "offshore fishing" and implementing more stringent documentation processes.
Recommendations for Brand Owners
To adapt to these evolving enforcement practices, the following strategies are recommended for brand owners:
- Engage with Stricter PSBs: Develop comprehensive evidence-gathering strategies to meet heightened expectations, particularly in Beijing and Shanghai.
- Foster Relationships: Establish cooperative ties with local PSBs that can effectively handle cases without jurisdictional complications.
- Avoid Problematic Areas: Steer clear of regions like Shantou and Fujian, which are known for local compliance risks.
- Enhance Evidence Collection: Invest in training and recruiting skilled specialists to bolster evidence-gathering capabilities.
- Advocate for Timely Enforcement: Assist local PSBs in improving IP protection and ensure timely enforcement.
Conclusion
As China’s criminal enforcement landscape continues to evolve, brand owners and legal practitioners face both challenges and opportunities. By aligning strategies with the new directives and embracing a more structured approach, stakeholders can navigate the complexities of IP protection more effectively.
This ongoing development will be monitored closely, with further updates anticipated as the regulatory environment matures, potentially leading to a more transparent and legally sound framework for enforcement across China.
For those seeking specific guidance, expert legal advice is strongly recommended.
Focuses on crime, public safety, and regional events.
Bio: Marcus is a community-based journalist passionate about reporting impactful stories that matter most to readers.