Bank Issues Guarantee Letter
After determining the amount under the general bond, the IPR holder shall apply to a bank for issuance of a Letter of Guarantee and shall sign a bond agreement. Only the bank which has obtained an approval to undertake the financial business within the territory of mainland China has the right to issue a Letter of Guarantee.
The bank issues, according to the bond agreement, the Letter of Guarantee addressed to the General Administration of Customs according to the format specified by the General Administration of Customs. The period of validity of the Letter of Guarantee shall be from the date of issuance by the guarantor to June 30 of the next year. The bank issuing the Letter of Guarantee shall bear the several and joint liabilities for the performance of legal obligations by the IPR holder.
Letter of Guarantee (Format)
Translation for reference:
Letter of Guarantee (Format)
Date of issue: Month Day Year, No.:
Beneficiary: General Administration of Customs of the People's Republic of China
No. 6 Jianguomennei Avenue, Beijing, China (Post code: 100730)
This bank, namely the bank located at No. () () Road, () City, issues this Letter of Guarantee whereby you are the beneficiary to guarantee the intellectual property right holder to perform the obligations described in Article 14 of the Regulations of the People's Republic of China on Customs Protection of Intellectual Property Rights (hereinafter referred to as the Regulations) at the request of ( ) (hereinafter referred to as the IPR holder).
If the applicant files an application with the Customs house for the detention of any import and export goods suspected of infringing on its exclusive right to use trademark in accordance with Article 16 of the Regulations and if the IPR holder fails to pay the relevant fees as required by the Customs within 10 working days after it receives a written notice about the fees mentioned in Article 25 of the Regulations, or if it fails to perform the compensation liabilities as prescribed in Article 29 of the Regulations in compliance with the judgment of the people's court, this bank promises to transfer the money you demand to the bank account designated by you within 10 working days after the receipt of the payment demand notice. The amount under this Letter of Guarantee is not more than (in words: RMB xxxx only) (RMB xxxx in figures: RMB______).
This Letter of Guarantee shall take effect as of the date of issuance and shall be valid till the day of December 31, (year). If you fails to issue to this bank a payment demand notice within 180 days after the expiration of this Letter of Guarantee, this bank will no longer assume the payment liabilities as described in this Letter of Guarantee.
Guarantor: Bank_________________ (Signature or Seal)
Issuer of the Letter of Guarantee: __________________(Signature or Seal)
Month Day Year