First: Don't Panic

Discovering a squatter has filed your brand in China is alarming, but you have options. The key is acting quickly and strategically. Here's your action plan, ranked from fastest/cheapest to slowest/most expensive.

Option 1: Opposition (If Mark Is Still in Publication)

Timeline: 3-month window from publication date
Cost: Low (agent fees + evidence preparation)
Success rate: High if you can prove prior rights + bad faith

If the squatter's application is still in the 3-month publication period, file an opposition immediately. Cite your prior use, brand reputation, and the applicant's bad faith (multiple squatting filings, demand letters, etc.).

Option 2: Invalidation (If Mark Is Already Registered)

Timeline: 12-24 months
Cost: Moderate
Success rate: Good with strong evidence of bad faith

Available within 5 years of registration. Grounds include:

• The squatter filed in bad faith (Article 4)
• The mark copies your well-known mark (Article 13)
• The squatter was your agent or representative (Article 15)
• The mark infringes your prior rights — copyright, trade name, etc. (Article 32)

Option 3: Non-Use Cancellation (If Mark Is 3+ Years Old)

Timeline: 6-12 months
Cost: Low-Moderate
Success rate: High — squatters rarely have genuine use

If the squatter's mark has been registered for 3+ years, file a non-use cancellation. Most squatters hold marks for ransom, not for commercial use, so they cannot produce evidence of use. This is often the most effective remedy.

Option 4: Negotiated Purchase

Timeline: 1-3 months
Cost: Variable (squatters typically demand USD 5,000-50,000+)

If time-to-market is critical (product launch imminent, platform deadline approaching), purchasing the registration may be the fastest path. However:

• Never negotiate directly — use a Chinese attorney as intermediary
• Document all communications — they may later prove bad faith
• Consider the purchase as a temporary measure, then invalidate other squatting marks

Option 5: Litigation

Timeline: 18-36 months
Cost: High
Success rate: Depends on evidence quality

Civil lawsuits for trademark infringement or unfair competition. Reserved for high-value marks where administrative remedies have failed or the squatter is actively using the mark to confuse consumers.

Prevention: The Lesson

The best strategy against squatters is filing your Chinese trademark before entering the market. The cost of registration is a fraction of what you'll spend fighting squatters.