China operates under a first-to-file trademark system, which often results in third-party registrations that conflict with your legitimate business interests. If a third party has registered a trademark that infringes on your rights, you may seek cancellation through China’s administrative or judicial mechanisms. This article outlines the key steps and legal considerations for canceling a third-party trademark in China.

1. Grounds for Cancellation
Understanding the valid grounds for cancellation is crucial. These include:

• Non-Use for Three Consecutive Years:
  A trademark can be canceled if it has not been used in commerce for at least three years without a valid reason.
• Bad-Faith Registration:
  If the trademark was registered in bad faith, such as by a trademark squatter or a former business partner, you may challenge it on these grounds.
• Violation of Chinese Law:
  Registrations that are deceptive, violate public order, or are contrary to the law can also be challenged.
• Prior Rights:
  If you own a prior trademark, copyright, or trade name that is identical or similar, you may seek cancellation based on these rights.

2. Evidence Gathering
Successful cancellation applications require robust evidence. Prepare the following:

• Non-Use Evidence:
  Collect proof that the trademark has not been used in commerce, such as searches of market records, advertising, and business operations related to the trademark.
• Bad-Faith Evidence:
  Provide documentation such as communications, contracts, or prior business dealings to establish bad faith.
• Ownership of Prior Rights:
  Submit certificates or other evidence proving ownership of an earlier trademark, copyright, or trade name.

3. Filing the Cancellation Application
Submit the cancellation application to the China National Intellectual Property Administration (CNIPA). The application must include:

• Applicant’s details (name, address, and legal representative if applicable).
• Trademark registration number and details of the third-party mark.
• Grounds for cancellation and supporting evidence.

Applications can be filed directly or through a licensed Chinese trademark agent.

4. Review and Decision by CNIPA
Once filed, CNIPA will review the application and evidence. The process typically includes:

• Notification to the Trademark Holder:
  CNIPA will notify the trademark owner, who has the opportunity to respond and provide counter-evidence.
• Evidence Evaluation:
  CNIPA examines the evidence provided by both parties.
• Decision:
  CNIPA issues a decision to cancel the trademark, maintain it, or partially cancel it if applicable.

5. Appeal and Further Remedies
If CNIPA rejects your cancellation application or the trademark holder disputes the decision, you can:

• Appeal to the Beijing Intellectual Property Court:
  File an appeal to review CNIPA’s decision judicially.
• Negotiate a Settlement:
  In some cases, negotiating directly with the trademark holder to transfer ownership or withdraw the registration may be more efficient.

6. Practical Considerations

• Timing:
  Prepare for a process that may take months or years, depending on the complexity of the case.
• Cost:
  Engage experienced local counsel to ensure compliance with procedural requirements and improve your chances of success.
• Language:
  All filings must be in Chinese, and evidence must be translated if it is in a foreign language.

Canceling a third party’s trademark in China requires a solid legal strategy, thorough evidence collection, and knowledge of local laws. Working with an experienced trademark attorney can streamline the process and maximize your chances of success in reclaiming your intellectual property rights.