On 28 January 2026, the Intellectual Property Court of the Supreme People's Court released its Special Types of Cases compendium, featuring selected precedents on high‑value damage awards (over RMB 10 million), punitive damages, referrals of criminal leads, judicial sanctions, bad‑faith litigation, and sham litigation. The case Lifang v. [Defendant] concerning a utility model patent for “electrical connectors” (SPC (2023) Zui Gao Fa Zhi Min Zhong No. 646), handled by partners Yu Haidong and Ji Heng, was included in both the “High‑Value Damages” and “Punitive Damages” categories.

This case is part of Lifang's series of enforcement actions on behalf of the patentee for its “back‑battery” product. The Hangzhou Intermediate People’s Court initially awarded RMB 3 million in damages. On appeal, Lifang advanced a precise damages calculation alongside a punitive damages claim, rigorously relying on record evidence. The Supreme Court fully sustained the patentee’s RMB 12 million claim and granted punitive damages.

The decision provides authoritative guidance on calculating compensatory damages and determining liability—covering issues such as e‑commerce platform sales verification, reasonable royalty rates, willful infringement, joint and several liability, deduction of lawful source quantities, and estimation methods for unquantified sales. It stands as a significant precedent for precision in damages assessment in patent litigation.