In May 2024, foreign company C filed a lawsuit in the Texas court in the United States, naming Guangdong-based company G and several peer enterprises as defendants. This unexpected cross-border patent dispute not only threatened G’s overseas business operations but also posed a serious risk to its market reputation and operational stability. At this critical moment, the Guangdong Intellectual Property Protection Center (Guangdong Sub-Center for Overseas IP Dispute Response, hereinafter “Guangdong Sub-Center”) swiftly activated its overseas IP dispute response mechanism, providing robust support to the enterprise in navigating the crisis.

 

1. Rapid Response: Proactively Addressing Risks

 

While promoting and collecting feedback on the “Enterprise Intellectual Property International Compliance Management Standard” (DB44/T 2361-2022), the Guangdong Sub-Center captured urgent information indicating that G was embroiled in an overseas dispute. The Sub-Center immediately activated its response mechanism, organizing experts to provide on-site, targeted guidance, helping the enterprise mitigate risks.

 

2. Professional Assessment: Developing Core Strategies

 

Upon reviewing the dispute, the Sub-Center quickly assembled a team of lawyers specialized in U.S. patent litigation to conduct a preliminary assessment of the involved patents. They identified potential weaknesses in patent stability, providing a foundation for strategic responses. The expert team also carefully considered the high cost of U.S. litigation and the challengeability of the patents, recommending a “strategic settlement at minimal cost” approach. This analysis shifted the enterprise’s focus from “winning the case” to “resolving the dispute optimally,” providing a clear direction for subsequent actions.

 

3. Intelligence Support: Assisting at Critical Junctures

 

During the litigation’s protracted phase, when the enterprise faced the dual pressures of high settlement demands and legal fees, the Sub-Center leveraged its case monitoring network. In August 2025, it captured and communicated key intelligence to G: the plaintiff, C company, had reached a settlement with another defendant. This information provided critical negotiation benchmarks and signaled potential flexibility in the plaintiff’s stance, significantly enhancing G’s confidence and bargaining position.

 

During this period, G took several key legal actions:

 

Successfully petitioned to transfer the case from the Texas court, which was relatively favorable to the patent holder, to the more neutral California court;

 

Filed persuasive patent invalidity motions to demonstrate its defense resolve;

 

Under expert guidance, effectively utilized third-party-initiated patent invalidation proceedings, prompting the court to suspend the litigation process.

 

These measures successfully implemented the “strategic litigation to facilitate negotiation” approach, gradually building a systematic advantage at the negotiation table.

 

4. Dispute Resolution: Minimizing Losses

 

With continuous coordinated support from professional teams, G steadily advanced its response efforts, ultimately achieving its objectives. In September 2025, after multiple rounds of negotiation, both parties reached a settlement and jointly filed for dismissal with the court. The more-than-one-year overseas IP dispute was thus resolved successfully. The final settlement amount was far below the enterprise’s initial estimates, avoiding potential losses of up to tens of millions of RMB, resulting in a highly satisfactory outcome.

 

This case demonstrates the effectiveness of the Guangdong Sub-Center’s overseas IP risk prevention and control mechanism in practice. From early detection and rapid response to resource integration, professional guidance, systematic intelligence tracking, and critical juncture support, the Sub-Center established a practical and effective operational model. The case illustrates that for enterprises expanding overseas, leveraging a localized professional service system provides reliable support for handling international IP disputes, helping enterprises proactively manage risks and maintain stability in their global operations.