In September 2026, the Supreme People’s Court released the “Biaofeng Liquor” unfair competition case as a typical anti-unfair competition case. Heard at first instance by the Putuo District People’s Court of Shanghai and affirmed on appeal by the Shanghai Intellectual Property Court, the ruling clarifies a key judicial principle: recognizable titles of hit TV series constitute “business identifiers with certain influence”, and malicious free-riders shall bear legal liability.

The plaintiff, Beijing iQiyi Technology Co., Ltd., is one of the producers of the anti-crime TV drama The Knockout and exclusively holds the intellectual property rights to the drama worldwide.

The Knockout was produced by China Media Group, Beijing iQiyi Technology Co., Ltd., in association with Dongyang Liubai Film & Culture Co., Ltd. and China Chang’an Publishing & Media Co., Ltd. Premiered in 2023, it quickly became a phenomenal hit with extremely high viewership and public discussion.

After discovering unauthorized “Biaofeng” liquor products on the market, the producer filed an unfair competition lawsuit, alleging that the defendants used the TV drama title without authorization in the production, sale and promotion of liquor products.

Liquor Companies Incorporated Right in the Heat of Broadcast

The defendants are three related entities: a management company, a liquor company, and an entrusted beer manufacturer.

Start-ups Built for Free-riding

According to public records, the management company and liquor company were both incorporated during the peak broadcast period of The Knockout. Immediately after establishment, the two companies commissioned the beer manufacturer to produce multiple “Biaofeng”-branded liquor products and launched them onto the market rapidly. This “incorporate on cue, launch at speed” operating pattern itself reveals clear commercial intent.

Public information shows that Biaofeng Liquor (Henan) Co., Ltd. was listed as an abnormally operating entity in July 2025 for failing to publish its annual report within the statutory period. Previously, the enterprise and its key person Mr. Wang had been subject to consumption restrictions by the Zhengzhou High-tech Industrial Development Zone Court due to multiple legal disputes.

The Beer Manufacturer: Role of Contracted Producer

The beer manufacturer is a professional liquor production enterprise entrusted by the defendants, responsible for turning the “Biaofeng” brand liquor from design into physical products. As a professionally qualified liquor producer, it failed to conduct prudent review of the use of the “Biaofeng” variant wording when accepting the order, and did not verify whether the entrusting party held authorization from the TV drama rights holder.

All-round Association from Product Appearance to Promotion

The court found that the defendants’ infringing conduct was systematic:

1. Close imitation in product appearance

The “Biaofeng” liquor produced by the defendants prominently used variant “Biaofeng” characters on bottles, labels, caps and packaging boxes, with a font style highly similar to the title font used in the opening credits of The Knockout. Many consumers mistakenly believed it was an official co-branded merchandise of the TV drama.

2. Name squatting in enterprise trade name

Going further, the liquor company registered “Biaofeng” as its enterprise trade name, seeking to embed the drama’s popularity into its corporate identity.

3. All-round free-riding in promotion and marketing

Across online stores, offline investment promotion and marketing campaigns, the defendants extensively used The Knockout protagonist names and classic scenes from the drama for promotion.

Specifically, accounts such as “Biaofeng Beer” and “Biaofeng Beer Manufacturer” on Douyin published massive content showcasing the production, transportation, display and promotion of “Biaofeng” beer, accompanied by classic lines and character names from the drama such as “Gao Qiqiang”, “Lao Mo” and “The bigger the storm, the pricier the fish”. The defendants also hired actor Feng Bing, who played the character “Lao Mo” in the drama, as “image ambassador for Biaofeng Beer” without distinguishing between the actor himself and the drama character, further amplifying public confusion.

4. Can a drama title become a “business identifier”?

The core dispute of this case is whether a common Chinese phrase used as a TV drama title like “Biaofeng” constitutes a “business identifier with certain influence” protected by the Anti-Unfair Competition Law.

First, the title “Biaofeng” has formed a stable association with the drama and thus constitutes a business identifier. The presiding judge pointed out that TV dramas have both cultural communication and commercial value. Although “Biaofeng” is a common Chinese phrase, as a drama title it has formed a stable corresponding relationship with the series amid its popularity and performs a source-identifying function. “Many people think of this drama as soon as they hear ‘Biaofeng’”, therefore it constitutes a “business identifier with certain influence”.

Second, the defendants’ conduct constitutes confusing unfair competition. The court held that the defendants subjectively intended to free-ride on others’ commercial reputation, and objectively caused relevant public to mistakenly assume that there was a specific connection such as licensed use or commercial cooperation between the liquor products and The Knockout rights holder, disrupting market competition order.

Third, the beer manufacturer failed to fulfill its duty of prudent review. The court also held that as a professional liquor production enterprise, the beer manufacturer failed to conduct prudent review of the use of the “Biaofeng” variant wording, which constitutes fault and shall bear corresponding liability.

In conclusion, the management company and liquor company were ordered to cease unfair competition, eliminate adverse effects and pay RMB 5 million in damages; the beer manufacturer bears joint and several liability for RMB 500,000 of the compensation.

After the first-instance judgment, the technology company and the beer company appealed. The Shanghai Intellectual Property Court dismissed the appeal and upheld the original judgment.

Case Significance

This case was selected as a typical case for the 2026 China Fair Competition Policy Publicity Week by the Supreme People’s Court. The presiding judge of the Third Civil Division of the Supreme People’s Court commented that the ruling clarifies: when a TV drama title, through use, acquires certain popularity, distinct recognizability and stable corresponding association, and can perform the function of identifying product source, it falls within the scope of business identifiers protected by the anti-confusion provisions of the Anti-Unfair Competition Law.

Meanwhile, the case sends a clear signal to the market: contract manufacturers cannot be exempted from liability on the grounds that “we only produce”. The beer manufacturer’s joint liability for failing to fulfill its prudent review duty breaks the gray arbitrage model of “brand infringes, OEM is exempt”, and serves as a warning to the OEM and private-label manufacturing industry.