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Japan To Launch Formal Complaint Over Hong Kong's Company Registration System

by Mary Swire, for LawAndTax-News.com, Hong Kong

12 October 2005

According to reports in the international media, the Japanese government is readying itself to formally lodge a complaint with Hong Kong officials over the territory's company registration regime, following earlier petitioning by the Japan Electronics and Information Technologies Industries Association (JEITA).

In April, the trade body urged the government of Hong Kong to amend its company registration rules, arguing that Chinese and other companies are taking advantage of the fact that the Hong Kong Companies Registrar does not closely examine whether a company name infringes on the copyright of another organisation before it is incorporated.

As a result, businesses such as the Japan Toshiba Electricity (HK) Co. Limited and Panasonic Air Conditioner Industry (HK) International Ltd have been established in Hong Kong, despite being totally unrelated to their namesakes.

The Association was the first organisation to take action under Japan's new System for Investigation of Intellectual Property Right Infringement Overseas, whereby companies can report IP infringement problems being faced in other countries, and Japanese officials can discuss the issues with their counterparts in the country in question.

The matter will reportedly be discussed by the IP authorities in Japan and the Hong Kong government following the conclusion of a six-month investigation into the difficulties being faced by Japanese companies as a result of fraudulent company registrations.

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