Intellectual Property Rights in a Global Economy Steve Baron April 3, 2003

Context of the Global Economy World population 6.2 billion U.S. population 281 million U.S. population = 4.5% of World Population

Context of the Global Economy As a main source of wealth creation, intellectual capital surpassing in importance the components of physical capital: Land Natural Resources Manual Labor

Context of the Global Economy In the Internet Age, intellectual capital is highly mobile National boarder is no longer a viable line to manage IP rights Yet, IP law remains grounded in a national system

Context of the Global Economy Are global IP rights locking up knowledge in favor of developed countries and to the detriment of the developing world? But, in the absence of effective IP protection in the developing world, will the developed world impose a unilateral trade barrier on the developing nations?

Context of the Global Economy Queries: How to devise a mechanism for protecting industrialized countries’ intangible wealth? How to secure cooperation from developing countries who must forgo an economic windfall from misappropriating intellectual property? How to provide access to the developing world to the intellectual property?

Sources of International Law International conventions International custom General principles of law Judicial decisions

Sources of International Law International Conventions Treaties Bilateral Agreements (between 2 states) Multi-lateral Agreements

Sources of International Law International Conventions Paris Convention for the Protection of Industrial Property (1883) Berne Convention for the Protection of Literary and Artistic Works (1886) Agreement on Trade Related Aspects of Intellectual Property Rights (TRIPS) (1995)

Sources of International Law International custom General practices accepted as law that evolve over a substantial period of time and give rise to consistent patterns of conduct between or among countries

Sources of International Law General principles of law recognized by civilized nations Common to different legal systems Equitable Maxims He who seeks equity must do equity Equity looks to intent rather than form No one may transfer more than he has

Sources of International Law Judicial Decisions Little judicial precedent on an international level to draw from Under WTO - TRIPS Agreement – case law beginning to emerge No stare decisis – judges need not follow precedent, but need only consider prior decisions

Multilateral Organizations WIPO = World Intellectual Property Organization WTO = World Trade Organization

Multilateral Organizations WIPO Located in Geneva, Switzerland Created by a convention that took effect in 1970 Staffed by about 900 people

Multilateral Organizations WIPO Programs Global Protection Systems Progressive Development of International IP Law Cooperation for Development Inter-office Technical Cooperation Dispute Resolution between Private Parties

WIPO’s Global Protection Systems WIPO administers four systems which enable users to apply for and obtain protection of IP rights from multiple countries through a single process. Patent Cooperation Treaty – 100 states Madrid Protocol – Trademark Registration – 51 states Hague Agreement Concerning International Deposit of Industrial Design – 29 states Lisbon Agreement for Protection of Appellation of Origin – 18 states

WIPO Development of Int’l IP Law E.g. WIPO prepared and delivered to Internet Corporation for Assigned Names and Numbers (ICANN) a process to register Internet domain names

WIPO Cooperation for Development WIPO offers legislative and administrative advice for developing countries

WIPO Inter-Office Technical Cooperation Standardization of Practices Administers international classification systems for patents and trademarks

WIPO Dispute Resolution Provides a forum for parties to resolve international IP disputes

World Trade Organization (WTO) Global international organization dealing with the rules of trade between nations Established 1995 Located in Geneva, Switzerland 146 member countries

Functions of WTO Administering WTO trade agreements Provides forum for trade negotiations Assists in handling trade disputes Monitors national trade policies Assistance and training for developing countries Cooperates with other international organizations

Quote of the Day “The spirit of resistance to government is so valuable on certain occasions that I wish it to be always kept alive.” Thomas Jefferson