Recently, the Supreme People’s Court issued a final judgment in an infrared thermal imaging software copyright infringement case, increasing the first-instance damages award from CNY 15 million to over CNY 55 million, applying punitive damages.
The Supreme People’s Court held that when determining the multiplier for punitive damages, the possibility of the infringer evading accountability should be considered. In determining the multiplier for punitive damages in intellectual property infringement cases, in addition to considering basic factors such as the infringer's degree of subjective fault and the severity of the infringement, the possibility of the infringer evading legal accountability should also be taken into account as a discretionary factor. In cases where the infringement methods are concealed, the difficulty of proving infringement is high, and the objective probability of discovering and verifying the infringement is significantly reduced, the multiplier for punitive damages may be appropriately increased. (Dec. 30, 2025, IP House)
The Supreme People’s Court held that when determining the multiplier for punitive damages, the possibility of the infringer evading accountability should be considered. In determining the multiplier for punitive damages in intellectual property infringement cases, in addition to considering basic factors such as the infringer's degree of subjective fault and the severity of the infringement, the possibility of the infringer evading legal accountability should also be taken into account as a discretionary factor. In cases where the infringement methods are concealed, the difficulty of proving infringement is high, and the objective probability of discovering and verifying the infringement is significantly reduced, the multiplier for punitive damages may be appropriately increased. (Dec. 30, 2025, IP House)