Litigation 2025

JAPAN Trends and Developments Contributed by: Kensaku Yamamoto, Laarni Vinas, Junko Asai and Kosuke Masuda, SHUSAKU

Osaka High Court, Civil Case Nos Reiwa 5 (Ne) 1384 and 1886, 26 January 2024 The 26 January 2024 Osaka High Court deci- sion involved a dispute over false copyright infringement claims submitted to Amazon. The case revolved around a competitor’s reports that certain images on the plaintiff’s Amazon listings infringed copyright. The court found these claims to be false and deemed them as unfair compe- tition under the Unfair Competition Prevention Act. The ruling awarded damages to the plaintiff for losses incurred due to the temporary suspen- sion of their listings and emphasised the need for caution when making infringement claims. Osaka District Court, Civil Case No Reiwa 5(Wa) 893, 18 March 2024 In this case, the court addressed a trade mark dispute involving false infringement claims submitted to Amazon. The defendant reported that the plaintiff’s products violated their trade mark, leading to the suspension of the plain- tiff’s listings. The court found that these claims were unjust and constituted unfair competition under Japanese law. The plaintiff was awarded JPY7.13 million in damages, as the false claims caused financial losses due to the removal of the plaintiff’s products from Amazon’s platform. The growing body of cases, including Amazon trade mark disputes and YouTube copyright infringement reports, underscores the need for businesses to be cautious when making IP infringement claims. False reports not only dam- age the competitive environment but also result in significant financial and reputational losses, as well as court-imposed damages. Companies need to ensure that IP claims are well founded, backed by robust evidence, and filed with full awareness of the potential legal repercussions for false reporting. Misuse of these mechanisms, even through automated forms like those pro-

after Manga-Mura’s shutdown, piracy continues through international websites. While the legal victory against Hoshino and Manga-Mura is seen as a win for the publish- ing industry, it also illustrates the ongoing bat- tle to protect creators’ rights in an increasingly digital and globalised world. The industry is now focused on finding ways to enforce intellectual property rights more effectively across borders, while educating consumers about the impor- tance of supporting legitimate content. Ultimately, the Manga-Mura case underscores the critical need for legal frameworks and inter- national co-operation to address the evolving challenges of online piracy. Legal Implications of False IP Claims on Online Platforms In recent years, Japanese courts have seen an uptick in cases involving false intellectual prop- erty (IP) claims on e-commerce and content- sharing platforms. Some of these rulings, dis- cussed below, highlight the significant legal and financial consequences for parties who misuse the IP infringement reporting mechanisms of platforms like Amazon and YouTube. Osaka District Court, Civil Case No Reiwa 4 (Wa) 11394, 16 January 2024 The Osaka District Court’s ruling on 16 January 2024 involved a case where a company submit- ted false copyright claims to video platforms like YouTube and TwitCasting, leading to the tem- porary suspension of a YouTuber’s content. The court found the claims to be misleading, as the videos did not actually infringe on the company’s copyright. Consequently, the court ordered the company to notify the platforms about the mis- take and awarded damages to the YouTuber for lost revenue and reputational harm.

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