Determine what can be copyrighted and establish protection regime

Companies need to have an overall picture of their copyright ownership and a clear purpose for the exercise of such rights in the long term. Also of importance is the development of comprehensive precautions involving considerations of applicability of the law, say counsel.

Following the recent shutdown of free music and video content provider, VeryCD, Chinese netizens can no longer take for granted that the free downloadable resources they have enjoyed via peer-to-peer sites will continue to be available. The popular website's closure signifies the government's determination to safeguard rights holders and crack down on the rampant online copyright infringement that persists in China.

Xiaogang Ma, director of the China Copyright Association and a senior partner of Hylands Law Firm, says that combating online infringement is a unique challenge because of the uncertainty of the consequences of infringing acts, “invisibility” of the infringers, vulnerable evidence and applicability of relevant laws.

“A starting point is to make clear what possible various types of rights ownership can arise from business operations,” Ma said. These rights ownerships can be formed during the creation of a company's marketing and business strategies, or in the ownership agreements with its research and development personnel. Many companies may not be aware that original concepts devised during daily operations can be copyrighted.