Anti-UnfairCompetitionLawofthePeoplesRepublicofChina1993.12.01STANDINGCOMMITTEEOFTHENATIONALPEOPLE'SCONGRESSANTIUNFAIRCOMPETITIONLAWOFTHEPEOPLE'SREPUBLICOFCHINA(AdoptedbytheThirdSessionoftheStandingCommitteeoftheEighthNationalPeople'sCongressOnSeptember2nd,1993)CONTENTCHAPTERONEGENERALPROVISIONSCHAPTERTWOACTIVITIESOFUNFAIRCOMPETITIONCHAPTERTHREESUPERVISIONCHAPTERFOURLEGALRESPONSIBILITYCHAPTERFIVESUPPLEMENTARYARTICLESChapterOneGeneralProvisionsArticle1Thislawisdrawnupinordertosafeguardthehealthydevelopmentofthesocialistmarketeconomy,encourageandprotectfairmarketcompetition,prohibitunfaircompetition,safeguardthelegalrightsandinterestsofmanagers.Article2Managersshallabidebytheprincipleofvoluntariness,equality,impartiality,honestyandgoodfaith,andalsoadheretopubliccommercialmoralintheirbusinesstransactions.Unfaircompetition,inthisLaw,meansactivitiesmadebymanagerswhodamagetheothers'legalrightsandinterests,disturbetheorderofsocialeconomyandviolatetheprovisionsofthisLaw.Manager,inthisLaw,meansthelegalperson,theothereconomicorganisationsandindividualswhodealwithcommercialbusinessorprofitableservice(commoditiesinthisLawinhereafterastocommoditywhichincludesservice).Article3Thegovernmentsinalllevelsshalladoptmethodstoprohibitunfaircompetitionandtocreatethesoundenvironmentandconditionsforfaircompetition.TheBureausofIndustrialandCommercialManagementofthePeople'sGovernmentoverthecountylevelsuperviseunfaircompetition,exceptforthesupervisionmadebytheotherorganisationsinaccordancewiththeprovisionsoftheotherlawsorregulations.Article4TheStateshallencourage,supportandsafeguardallorganisationsandindividualstocarryoutsocialsupervisingforunfaircompetition.OfficialsintheStateorgansshouldnotsupportorshieldunfaircompetition.ChapterTwoActivitiesofUnfairCompetitionArticle5Managersshouldnotusethefollowingunfairmethodsintheirbusinesstransactionswhichcandamageothercompetitors:1.tofeigntheothers'registeredtrademark;2.tousethespecificname,package,decorationofthefamousornotedcommodities,oruseasimilarname,package,decorationofthefamousornotedcommodities,whichmayconfuseconsumersdistinguishingthecommoditiestothefamousornotedcommodities;3.tousethenameofotherenterpriseorpersonalnameandmakepeopleconfusethiscommoditytotheother'scommodity;4.tofeignorpretendtobethecertificateofattestation,markoffameandhighqualification,tofeignthecertificateoforiginallyproducedplaceofthecommodities,whichmakeotherstomisunderstandthequalificationofthecommoditiesbecauseofthefalsecertificates.Article6Publicfacilityenterprisesortheotherenterpriseswhichlegallymonopolizedthespecialmarketinaccordancewithlawshallnotforcetheotherstopurchasethecommoditiespointedbytheenterprisesorprohibitthecompetitionfromtheothercompanies.Article7Thegovernmentanditsorganshallnotabuseitsauthoritytoforcetheotherstopurchasethecommoditiesfromthepointedsellerorprohibitthefaircompetitionfromtheothers.Thegovernmentanditsorganshallnotabuseitsauthoritytoprohibitoutsidecommoditiesfromgoingintohomemarket,orprohibitdomesticcommoditiesfromgoingtooutsidemarket.Article8Managersshallnotusemoneyorpropertiesortheothermethodstobribetoothersinordertosellorpurchasecommodities.Itshallbeguiltyofgivingbribeifmanagersgiveasecretcommissiontotheotherorganisationsorindividualswithoutthenormalaccountingrecords.Itshallbeguiltyoftakingbribe,iftheorganisationsorindividualsacceptthesecretdiscountwithoutnormalaccountingrecords.Managersmayofferadiscounttotheothersinpublic,ormaypaycommissiontothemiddlemaninsellingorpurchasingcommodities.However,managerswhogivediscounttotheothersorpaycommissiontothemiddleman,ortheotherswhotakethediscountorcommissionshallmakeaccountingstrictlyaccordingtothefacts.Article9Managersshallnotuseadvertisementortheothermethodstomakeafalsepropagandaforthequality,composition,function,usage,producer,timeofefficacyandplaceofproductionofcommodities.Advertisingcompanyshallnotbeanagentof,ordesign,ormake,orpropagandizefalseadvertisement,ifitknoworshouldknowthetruth.Article10Managersshallnotusethefollowingmethodstoinfringeuponbusinesssecrecy:1.tosteal,coerce,oruseanyotherunfairmethodtoobtaintheother'sbusinesssecrets;2.todisclose,useorpermitotherstousethebusinesssecretsmentionedinSection1ofthisArticle.3.toviolatethecontractortherequirementtopublish,useorpermitotherstousethebusinesssecrets,whichweremaintainedassecretsbythelegalownerofthebusinesssecrecy.Thethirdpartywhoknowsorshouldknowtheillegalactivitiesasfirstmentioned,andwhogains,usesorpublishesthebusinesssecrecyshallbelookedasactivitiesofinfringingupontheothers'businesssecrecy.Businesssecrecy,inthisArticle,meanstheutilizedtechnicalinformationandbusinessinformationwhichisunknownbythepublic,whichmaycreatebusinessinterestsorprofitforitslegalowners,andalsoismaintainedsecrecybyitslegalowners.Article11Managershallnotsellcommodityatthepricelowerthanthecommodity'scostinordertoputtheothercompetitorsoutofthecompetition.Anyofthefollowingactivitiesshallnotbelookedasunfaircompetition:1.tosellfreshorlivecommodities;2.toquicklysellcommoditiesbeforetheirexpirationortheotheroversto