January 04, 2014

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Michael Jordan, the basketball legend, is asking $8 million in intellectual property damages from a Chinese sports apparel company, according to the latest report in China's media. His Airness filed suit in Shanghai in late February against the firm Qiaodan for using his recognizable name, along with the names jordan 11 bred of his two children, for business purposes without his permission.

Jordan, a businessman in his own right, has said he would bred 11s 2012 apply any damages toward basketball training in China. But in his legal jump ball over what may be permissible in China as "trademark squat," he is up against a family business with its own well honed image. It's closely held by a family in Fujian Province.

The company, which produces shoes and workout gear, was a small state owned toiletries manufacturer in the city of Pujiang three decades ago. In the 1990s, it was bought at US$23,000 by Laosui Ding and his son, Guoxiong Ding, who is currently the CEO of what became Qiaodan. Guoxiong Ding had built a small sports shoe retailer in Beijing from the early 1980s. Meantime, Jiafang Ding, Guoxiong Ding's brother in law, sold fabric to shoe and apparel manufactures in Fujian Province in the 1990s.

In 2008, the company, by then producing sports shoes, attempted to register under the name "Maike'er Qiaodan," the pinyin for the direct Chinese translation of "Michael Jordan," but without bred 11s for sale success. It then attempted to use directly the spelling of "Jordan" in 2009, and failed again. It finally registered under "Qiaodan," the pinyin of Michael Jordan's last name, and a boost of sales immediately followed. It is a sponsor of major sporting events in China.

The top shareholder of Qiaodan, with a 64% stake, is Fujian Baiqun Ltd, an investment firm in Fujian Province that is 100% owned by Guoxiong Ding and his wife, Yezhi Ding. Jiafang Ding, who is Yezhi's younger brother, has 16%; and other family members are among those holding the remaining 20%. Guoxiong and Yezhi Ding still reside in Pujiang.

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