1     The following types of Intellectual Property are protected by 
      law in the PRC:

1.1   Patents for:
      1.1.1   Inventions
      1.1.2   Utility Models (or "petty patents")
      1.1.3   Designs

1.2   Copyright for such subject matter as:
      1.2.1   literary, musical, artistic, photographic and 
      cinematographic works
      1.2.2   sound recordings
      1.2.3   computer software and databases
      1.2.4   technical diagrams

1.3   Trade Marks:
      1.3.1   for specified goods and services (using the 
              international classification system) 
              (ii)   as marks used in business/commerce to denote 
                     the goods of a particular trader
              (iii)  as collective marks (ie. to distinguish 
                     members of a trade association or other 
              (iv)   as certification marks (ie. to show that a 
                     certain quality has been reached for the goods 
                     or services in question)
      1.3.2   as marks which are "well-known" in China

1.4   Trade names and trade dress:

1.5   Trade secrets, know-how and other confidential information

2     The laws governing IPR protection include:

2.1   the Trade Mark Law
2.2   the Patent Law
2.3   the Copyright Law
2.4   the Anti-Unfair Competition Law.

3     These laws are supplemented and interpreted according to a 
      substantial body of implementing regulations and directives.

4     The following types of IPRs are not expressly protected by law 
      in the PRC, but may be protectable by reference to other forms 
      of IPRs or by other means, according to specific circumstances:

4.1   Scientific discoveries and rules or methods for mental 
4.2   Methods for the diagnosis or treatments of diseases
4.3   Plant varieties
4.4   Semi-conductor chip topographies
4.5   Trade marks for wholesaling and retailing
4.6   Appellations of origin

5     For patents, trade marks and certain kinds of pharmaceutical or 
      agrochemical products, protection is obtainable only by 
      registration on a "first-to-file" basis.

6     For other forms of IPRs, registration is not mandatory but is 
      recommended in certain circumstances eg. 

6.1   to secure better protection for copyright (especially in 
      computer software, printed publications and audio-visual 
      products such as videos and CD-Roms)
6.2   to secure enforcement of IPRs by Customs

7     Licences of IPRs may need to be registered with PRC authorities 
      eg. For

7.1   trade marks
7.2   computer software, printed publications and audio-visual 
      products such as videos and CD-Roms
7.3   licences which involve the importation of technology to the PRC 
      (ie. from an overseas to a domestic entity).

1 May 1996

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Tel - 852 28424888
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FURTHER INFORMATION on the above may be obtained via Linklaters & Paines Hong Kong office or via any of the other nine Linklaters & Paines offices world-wide, located in Singapore, Tokyo, London, Brussels, Paris, Frankfurt, New York, Washington D.C. and Moscow. Contact details for the various L&P offices worldwide are available via the Linklaters & Paines corporate listing c/o Business Monitor Online - http://www.businessmonitor.co.uk