Case Study
Case Study: Farmskins
A real-world example of how trademark registration protected brand traffic in China.
Farmskins — CS2 Gaming Brand
Gaming • Class 28 (Games & Toys) • Class 41 (Entertainment) • Class 42 (Online Services)
The Challenge
Farmskins, a well-known international CS2 skin platform, was actively running Baidu search ads to enter the Chinese market. They soon discovered that competitors were bidding on their brand keywords and using "farmskins" in their ad copy to siphon off their brand traffic — a common tactic in China's competitive gaming market.
Our Recommendation
After several rounds of discussion, we concluded that farmskins had long-term business plans in China — continued ad spend and market expansion. Registering their trademark was not just defensive; it was essential for sustainable growth. Without a registered mark, filing complaints with Baidu or other platforms against infringing advertisers would be slow and largely ineffective.
The Result
After 10 months of careful filing and prosecution, farmskins secured their China trademark registration. With the certificate in hand, they can now file rapid takedown complaints against any competitor using their brand name in ad copy. Ad platforms in China respond quickly to trademark-based complaints — infringing ads are typically removed within hours. Their brand keyword traffic is now fully protected.
The Cost of Waiting
Even the Biggest Brands Got Burned
China operates on a first-to-file system. Whoever registers the trademark first owns it — regardless of who used it first globally. These brands learned the hard way.
Apple — iPad
Settlement: $60M
Proview Technology registered "iPad" in China before Apple launched the product. Apple had no choice but to pay $60 million to settle.
Michael Jordan
Legal battle: 8+ years
A Chinese company registered "Jordan" in Chinese and built a billion-dollar sportswear brand. It took 8 years of litigation before China’s Supreme Court ruled in his favor.
New Balance
Damages: ¥5M to squatter
The Chinese transliteration was registered by a local company. New Balance lost and paid ¥5 million in damages to the squatter.
Hermès
Years of litigation
A Chinese company registered the Chinese name and used it openly. The luxury giant spent years in court fighting to reclaim its own brand.
Tesla
Pre-entry acquisition
The Chinese name was registered by a squatter before Tesla entered China. Tesla had to negotiate a private acquisition just to use its own name.
The Pattern
In every case: years of litigation, millions in costs, and brand damage that could have been avoided with a single trademark filing before entering the market.
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