Muji operator ordered to pay damages for defamation in China

BEIJING (Jiji Press) — A Beijing court has ordered Japan’s Ryohin Keikaku Co., the operator of the Muji brand, to pay 400,000 yuan, or ¥7.1 million, in damages for defaming a Chinese firm that owns the trademark for the brand name in China.

According to the court’s ruling dated July 30, which was released by Saturday, Ryohin Keikaku displayed a critical statement at its stores and on its online shopping site after losing in 2019 a trademark infringement lawsuit filed by the Chinese firm.

The Chinese firm then raised a defamation lawsuit against the Japanese company over the statement, which said the trademark had been obtained in a cunning way.

The court ruled that the statement did not match objective facts and hurt trust in the Chinese firm.

Ryohin Keikaku was also ordered to display a statement aimed at restoring trust in the firm.