CHANG TSI
Insights
On May 25, 2025, the China National Intellectual Property Administration (CNIPA) released the Guidelines on Patent Dispute Administrative Adjudication and Mediation (Draft for Public Comment), with a notably short 15-day comment period ending June 9. At 316,000 Chinese characters across 16 chapters, this is the most comprehensive operational manual ever issued for patent administrative proceedings in China.
China's patent system has long offered two tracks for dispute resolution: courts and administrative agencies. The administrative track — faster, cheaper, and procedurally simpler — has been underutilized, largely because local authorities lacked uniform standards. The same technical comparison could yield different outcomes in different provinces.
The Measures on Patent Dispute Administrative Adjudication and Mediation, issued in December 2024 as the first departmental regulation in this field, established the institutional framework. But its provisions remained high-level. The new Guidelines translate those principles into actionable rules — specifying how cases should be filed, examined, and decided.
Major patent disputes now have a clear path to CNIPA. The Guidelines define four categories of "major" disputes eligible for direct CNIPA adjudication — cases involving significant public interest, major industry impact, cross-provincial scope, or other substantial significance — and specify the evidentiary requirements for each. Cases implicating national security or foreign trade receive special attention.
Pharmaceutical patent linkage gets operational rules. The burden of proof, the treatment of numerical claim features (where the doctrine of equivalents should be applied cautiously), prosecution history estoppel, and the independence of adjudication from invalidity proceedings are all addressed in detail. Notably, the Guidelines confirm that invention patent adjudication need not be suspended when an invalidity request is filed — aimed at preventing tactical delays within the 9-month statutory window.
Infringement analysis standards converge with judicial practice. The Guidelines introduce detailed claim construction rules (including the doctrine of equivalents, internal vs. external evidence hierarchies), partial design protection, traditional Chinese medicine patent analysis, and joint infringement standards covering inducement and contributory infringement — extending liability to warehousing, logistics, and e-commerce platforms.
A new tool for accused infringers. Where a patent holder sends an infringement warning but fails to file suit or request adjudication within the prescribed period, the accused party can now proactively request a non-infringement advisory opinion — a streamlined administrative procedure that provides a formal professional assessment.
Damages calculation becomes more predictable. A four-step test for actual losses, strict requirements for license fee-based damages (including exclusion of related-party agreements without corroborating evidence), and a quantified framework for statutory damages with ten enumerated factors bring greater structure to what has historically been one of the most contentious aspects of patent disputes.
Mediation agreements gain teeth. Administrative mediation agreements can now obtain enforcement power through notarization, judicial confirmation, or arbitration confirmation — a significant upgrade from their previous non-binding status.
For rights holders, the administrative track becomes a more credible alternative to litigation, particularly where speed matters. Strategic combinations — administrative adjudication to stop infringement, followed by civil litigation for damages — are now more viable.
For accused infringers, the non-infringement advisory opinion creates a proactive option that did not previously exist in administrative proceedings.
For supply chain participants, the expanded scope of contributory infringement liability demands closer attention to IP compliance, particularly for platform operators, logistics providers, and component suppliers.
For pharmaceutical companies, the detailed rules on burden of proof and claim construction in drug patent linkage proceedings will directly affect both generic and originator strategies.
The Guidelines establish that invention patent adjudication may continue despite a pending invalidity challenge — but stop short of institutionalizing "same-day hearing," where invalidity and infringement proceedings run in parallel. In civil litigation, invalidity challenges routinely cause suspension of proceedings, significantly extending enforcement timelines. If the Guidelines were to formalize concurrent processing, it would represent a decisive advantage over the judicial track. Our recent experience handling a patent infringement administrative adjudication case — where a provincial authority directed exploration of this approach — suggests the practice is already evolving ahead of the rules.
The 15-day comment period signals urgency. Businesses operating in China should use this window to understand the rule changes, submit comments, and begin aligning their IP enforcement and defense strategies with the new framework.
For further information or specific matters, please contact the authors.