JD Sues China Trademark Authority for "Double 11" Use

JD is attempting to overturn a July 2017 ruling against its use of “Double 11” – a concept first invented by Alibaba.

CapitalWatch Staff
    Nov 19, 2019 6:00 AM  PT
JD Sues China Trademark Authority for "Double 11" Use
author: CapitalWatch Staff   

China's largest e-commerce platforms Alibaba Group and JD.com Inc. (Nasdaq: JD) continue their trademark skirmish in courts, and the latter is now suing China's intellectual property authority.

In this move, JD is attempting to overturn a July 2017 verdict against its use of "Double 11" – a concept which the Trademark Review and Adjudication Board ruled was trademarked by Alibaba, as reported by Caixin Global on Monday. The board is now part of the National Intellectual Property Administration (CNIPA).

Alibaba Group Holding Ltd. (NYSE: BABA), attending the case as a third party, was the first to use the date November 11 to celebrate Singles' Day, which became Asia's largest shopping festival. Other online retailers, including JD and Pinduoduo Inc. (Nasdaq: PDD), joined in later, according to Caixin.

The CNIPA argued that the Double 11 trademark used by JD was too similar to Alibaba's and could thus mislead the public, Caixin wrote. Alibaba argued that it should have exclusive rights to the concept.

Earlier this month, both JD and Alibaba landed record sales on Singles' Day, so called for the idea of singles shopping for themselves. Alibaba reported $38.4 billion in gross merchandise volume (GMV) compared with $30.8 billion a year ago. JD saw GMV of $29.2 billion, up from $23 billion for 2018 Singles' Day.

After a 2% slide on Monday, shares in JD were up 21 cents in pre-market trading on Tuesday morning, at $33.01 per ADS.

Alibaba gained $1.09 in pre-market, at $185.70 per American depositary share. China's top e-commerce conglomerate is closing its order books for its upcoming listing in Hong Kong at noon on Tuesday, as reported by Reuters. It is set to start trading in Hong Kong on Nov. 26.