TORONTO, March 15, 2022 /PRNewswire/ -- Spin Master
Corp. (TSX: TOY) (www.spinmaster.com), a leading global
children's entertainment today announced several landmark IP
protection case wins. The victories are a positive sign of
China's commitment to tackle
counterfeiting and IP infringement in the toy industry.
The cases include financial compensation following a win for
Spin Master in a patent lawsuit against a Chinese company, as well
as the first criminal judgment obtained for its popular PAW Patrol®
cartoon series. The outcomes send a clear message that malicious
infringement of IP rights will cost counterfeiters.
The cases further represent a crackdown on counterfeit toy
products, which don't meet safety certification standards and could
endanger children. The strong stances taken will have a lasting
effect on the enforcement of IP rights in the region.
Spin Master also successfully protected its patent for the
award-winning Bakugan® toys in a patent infringement lawsuit
against a major local imitator. The infringer's 'Monster Hunter'
toys closely mirrored the Bakugan series and, despite the
infringer's attempts to delay the process of litigation over a
number of years, Spin Master obtained a favourable final civil
judgment. The patent related to Bakugan toys was also
sustained.
Spin Master was awarded CNY 15.5
million (approx. 2.4 million
USD) in damages, in a decision that demonstrated the Chinese
Supreme People's Court is willing to take strong action. It serves
as a warning for local IP infringers that the rights of
multinationals, whether toy producers or manufacturers of other
products, will be upheld in China.
Spin Master also successfully sought criminal action against
counterfeiters across China, who
had produced fake, unsafe toy merchandise for children in the
region, selling them under the guise of being part of Spin Master's
PAW Patrol line.
Several local counterfeiters were raided by police, resulting in
product seizures and detention of suspects. Two individuals were
sentenced to imprisonment and received monetary penalties.
Prosecutions against other infringers are still undergoing.
"These wins strengthen our confidence in China's IP protection environment and judicial
regime," said Chris Harrs, Spin
Master's General Counsel and Corporate Secretary. "Spin Master will
continue exploring routes, including legal action, to protection
our IP rights as well as consumers' interests."
Consumers may purchase the PAW Patrol series and other
toys developed by Spin Master through authorized distribution
channels in China, including Toys
"R" Us and Spin Master official online flagship stores in Tmall and
other platforms.
About Spin Master
Spin Master Corp. (TSX:TOY) is a leading global children's
entertainment company, creating exceptional play experiences
through its three creative centres: Toys, Entertainment and Digital
Games. With distribution in over 100 countries, Spin Master is best
known for award-winning brands PAW Patrol®, Bakugan®, Kinetic
Sand®, Air Hogs®, Hatchimals®, Rubik's Cube® and GUND®, and is the
global toy licensee for other popular properties. Spin Master
Entertainment creates and produces compelling multiplatform
content, through its in-house studio and partnerships with outside
creators, including the preschool franchise PAW Patrol and
numerous other original shows, short-form series and feature films.
The Company has an established presence in digital games, anchored
by the Toca Boca® and Sago Mini® brands, offering open-ended and
creative game and educational play in digital environments. Through
Spin Master Ventures, the Company makes minority investments
globally in emerging companies and start-ups. With over 30 offices
in close to 20 countries, Spin Master employs more than 2,000 team
members globally. For more information visit spinmaster.com or
follow-on Instagram, Facebook and Twitter @spinmaster.
Sophia Bisoukis, Vice President, Investor Relations,
sophiab@spinmaster.com