In December 2020, Falan Company filed a lawsuit in the Nanchang Intermediate People’s Court against the Xinyu and its related companies, alleging infringement of its trade secrets related to automated production technology for high-strength coated packaging steel strips, claiming CNY 25 million in damages, including CNY 5 million and a punitive damages of 4 times. In September 2022, the first-instance court dismissed all of Falan Company’s claims.
Falan Company appealed. The Supreme Court accepted the case in April 2023 and held two court hearings in June 2024 and June 2025. Falan Company adjusted its claim to CNY 18.6 million, including CNY 3.1 million + a punitive damages of 5 times.
On October 29, 2025, the Supreme Court issued its judgment, finding that Xinyu and its related companies had infringed Falan Company’s trade secrets, thus revoking the first-instance judgment and awarding CNY 10.27 million in damages with additional CNY 200,000 for reasonable expenses incurred in enforcing its rights. (Apr. 8, 2026, IP Code)
Falan Company appealed. The Supreme Court accepted the case in April 2023 and held two court hearings in June 2024 and June 2025. Falan Company adjusted its claim to CNY 18.6 million, including CNY 3.1 million + a punitive damages of 5 times.
On October 29, 2025, the Supreme Court issued its judgment, finding that Xinyu and its related companies had infringed Falan Company’s trade secrets, thus revoking the first-instance judgment and awarding CNY 10.27 million in damages with additional CNY 200,000 for reasonable expenses incurred in enforcing its rights. (Apr. 8, 2026, IP Code)