Study On Legal Protection Of Know-how Transfer To China By Transnational Corporations

Transfer of Know-how to China by Transnational Corporations (TNCs), hasbecome one of the major measures of technology import to China. There are someinternational agreements to protect the transfer of know-how. A united protectionsystem is gradually setting up internationally. Basically, the know-how transfer islegally protected by domestic law. The legal protection by international law alsodepends on the domestic law. The legal protection of know-how transfer shouldenhance the economic development of its host country. Any unfair action,over-protection or under-protection, will do harm to the society. Since our country hasjoined World Trade Organization (WTO), we should adjust our domestic law tointernational agreements to better prepare ourselves to international competition andattract more high-tech import.Based on the above information, I developed a strategy on legal protection ofknow-how transfer to China by comparing the corresponding law in United States andGermany in this thesis.There are four chapters in this thesis. In Chapterâ… , I introduced thebackground of all the definitions mentioned in the thesis, mainly focus on technologytransfer, know-how, and TNCs.In Chapterâ…¡, I studied the domestic law on know-how transfer in the UnitedStates and Germany. The reasons why I chose these two countries are: a) BothAmerica and Germany are developed countries; b) these two countries are the maincountries to transfer technology to us. So their law on the transfer of know-how hasmajor influences on us. I analysis the law frame of legal protection on the know-howtransfer of these two countries. I also introduced the international agreements in thisfield. Based on those, I mentioned the problems remaining in the field of legal protection. These problems should also be addressed when we do our law adjustment.In Chapterâ…¢, I discussed the current law frame of know-how transfer toChina by TNCs. I found that: a) the lack of system on the legal protection; b) the lackof anti monopoly to protect the know-how competition; and c) some disagreementbetween our standard and international treaty.In Chapterâ…£, I summarized that we should enhance our protection toknow-how transfer to China by TNCs based on our current situation. I suggest that weshould pay more attention in the following aspects: a) coordination of internationalagreements and our domestic law; b) the remedies of know-how; c) legal protection ofknow-how in the age of internet; and d) the purpose of the law. As one of thedeveloping countries, we should play a leading role in the developing countries tomake WTO to consider more benefit of developing countries. On the other hand,when dealing with domestic law, we should respect the know-how rights of the othercountries as well as considering our own situation. We should better understand theitems "purpose" and "principal" in the Trade-Related Aspects of Intellectual PropertyRights (TRIPS). We need to make a corresponding law of trade secret, according tothe minimum standard of the TRIPS, to prevent anti-monopoly and to protectknow-how.Thus, we could: a) provide a better environment for know-how transfer byTNCs so that to attract more high-tech import; b) protect our own benefit andeconomic development; c) prevent an abuse of know-how rights.