On February 7, 2024, Funto achieved a favorable verdict in the first-instance judgment from the People's Court of Chancheng District of Foshan City regarding the trademark dispute case. We represented A.O. SMITH (China) Water Heater Co., Ltd. in suing the relevant shareholders.

The People's Court of Chancheng District in Foshan City ruled that the defendant's use of "SHIMISI LAOLUN" and other signs constituted trademark infringement. Based on sales data exceeding 93 million yuan, it fully supported our claim for economic loss compensation of 9.5 million yuan. Furthermore, in this case, the defendant managed to evade his legal obligations by establishing a multitude of shell companies for external operations. Consequently, it becomes crucial to investigate the accountability of the shareholders involved. Through thorough investigation, we collected and organized substantial subjective and malicious evidence to prove that the shareholders manipulated the company to carry out infringement. During the trial, we emphasized these findings while presenting a proxy statement for clarification, ultimately leading to a successful determination that both shareholders bear joint and several liability for infringement.