Kangxin helped the client, Riello dealt with a significant criminal case against the infringing factories and their representatives
date: 2021-03-05

    KANGXIN PARTNERS, P.C. helped the client, Riello dealt with a significant criminal case against the infringing factories and their representatives.


    The client, Riello, is a global leader in the design and manufacture of advanced technologies for heating and cooling in the residential, commercial, industrial and process sectors. The company’s strength is the result of its technological innovation capacities and the experience it has acquired over the years, underpinned by the expertise of its technicians, professionals and collaborators. Riello has manufacturing facilities in Italy, Poland, Canada and China, supported by its Centre of Excellence in Legnago, Italy.


    The client found that Taizhou Unike Thermal Energy Equipment Co., Ltd. (thereinafter referred as “Taizhou Unike”) is producing counterfeiting Riello burners and filed complaint before Taizhou Administration of Industry and Commerce (AIC) by themselves.  Since the products are not stored in the factory and the staff is very cunning, the complaint does not result to any punishment of the factory.  The client then entrusted us to find out the upstream and downstream relationship of this factory, and wished to decide the further steps based on our investigation report. 


    We conducted an on-site investigation, and through days of tracking the factory’s members and found out that the manufacture of the counterfeiting products of Unike is related to the client’s agent, Wuxi Eico Electromechanical Equipment Co., Ltd. (thereinafter referred as “Wuxi Eico”), and the address of their storage factory, etc.  In order not to alert the suspects, we reported the case to local PSB after we got the assistance from the buyers, and received related invoices, the samples of the counterfeited products, etc.  Usually the buyers are not willing to cooperate, however, after our professional investigators informed them the possible responsibility of the buyers and hidden danger of using the counterfeiting burners, they provided many essential documents that greatly helped with the conviction of the suspects. 


    After submitting the favorable evidence to the PSB, the case is successfully filed before the procuratorate.  After interrogating the legal representative of Taizhou Unike, You Jin, he confessed that he is a relative of Miao Zhenghong, and Miao is the actual owner of the company. Miao owns other company, Wuxi Eico Electromechanical Equipment Co., Ltd., which has an agreement by which Unike supplies Eico assembled fake Riello burners. 


    After the fact has been established, this case was filed before the Court by the procuratorate, and Wuxi Eico, Miao, Taizhou Unike and You Jin are the defendants of the case.


    During the trial, the prosecutor provided a total of 9 documentary evidence and 10 witness testimonies, proving that A) Wuxi Eico commissioned one factory to manufacture counterfeit burner heads; B) Wuxi Eico commissioned another factory to manufacture counterfeit burner fans; C) Wuxi Eico entrusted an individual to print the "RIELLO" trademark label; d) Wuxi Eico entrusted Taizhou Unike to assemble all components and affixed the label; e) Wuxi Eico accepts orders from individual, and sells the counterfeiting products to him; f) The individual sold a total of 143 counterfeit "RIELLO" burners to two companies, for a price increase of RMB 2,000 for each counterfeit product.


    Then, during the trial, Miao Zhenghong confessed that the 143 counterfeit burners Wuxi Eico sold to the individual received a total product price of more than RMB 1,700,000, and illegal profits of more than RMB 500,000.


    Last but not the least, on behalf of RIELLO, we made a statement on the infringement of No. 9663232 and No. 4690479 RIELLO trademark rights committed by the defendants, and requested the court to impose sanctions on the infringement of the defendants.


    Based on the above facts, the prosecutor identified the defendants committed the joint crimes. Among them, Wuxi Eico and Liao Zhenghong were the principal offenders, and Taizhou Unico and You Jin were accomplices.


    As a result, the court decided that: First, the defendants Wuxi Eico and Taizhou Unike used trademarks identical to their registered trademarks on the same product without the permission of the registered trademark owner. The circumstances were particularly serious, and their actions constituted the crime of counterfeiting registered trademarks. Second, Defendants Miao and You Jin were directly responsible for the crimes, and they also constituted the crime of counterfeiting registered trademarks.


    Though this criminal case, we helped our client, Riello protect their rights in China.

    

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