The Nantong Intermediate People's Court has entered a first-instance judgment on the trademark dispute over L'Oreal and its Chinese name, ordering defendants Hangzhou L'Oiyir Cosmetics and Shanghai Meilianni Cosmetics to cease infringement and jointly pay 400,000 yuan in damages to the French firm.

It also ordered Hangzhou L'Oiyir Cosmetics to cease use of the L'Oreal name in Chinese and pay 100,000 yuan in damages for unfair competition.

From 1981 to 2001, L'Oreal registered several trademarks for L'Oreal and its Chinese translation that are certified to be used on cosmetics, beauty products and perfumes. Hangzhou L'Oiyir was established in June 2004 and engaged in manufacturing and distribution of cosmetics with Shanghai Meilianni. In January 2005, Shanghai Meilianni used a logo combining both L'Oiyir and the Chinese name of L'Oreal on the packaging of its cosmetics. As well, Hangzhou L'Oiyir advertised that the L'Oiyir line of cosmetics is from L'Oreal.

(China Daily 06/08/2009 page9)