Crystal A. Zarpas, Esq. ___________________________________________________________ _______ MANN & ZARPAS, LLP | Ventura Blvd., Ste. 714 Sherman Oaks, CA | Tel (818) | Fax (818) | GREEN TRADE NETWORK SUMMIT LICENSE GREEN TECHNOLOGY IN FOREIGN MARKETS & PROTECT YOUR INTELLECTUAL PROPERTY September 19, 2008 © 2008 Mann & Zarpas, LLP All Rights Reserved

THE BASICS - WHAT IS INTELLECTUAL PROPERTY (“IP”)? Legal Categories of (USA) IP: Trademark/Service Mark Law – protection of any mark which identifies and distinguishes a product/service from competing products/services Copyright Law – protection of all forms of original expression fixed in a tangible medium, such as literary works, computer software, sound recordings, etc. Patent Law – protection of ideas that take the form of useful, novel and non-obvious inventions, such as production methods, devices, mechanical processes Note that the availability of IP protection in foreign countries varies greatly from country to country. Mann|Zarpas LLP attorneys at law

WHO IS THE IP OWNER? IP is the product of human intellect and is generally owned by the brand owner (trademark), the author of the original work (copyright) or the inventor (patent) IP and ideas are our most valuable commodity today, whether used domestically or internationally The commercial value of IP is derived from the IP owner’s ability to control and use its IP or to license its IP for use by others Mann|Zarpas LLP attorneys at law

HOW VALUABLE IS IP? USA IP is worth approximately $5 - $5.5 trillion dollars (USA for Innovation Study) IP makes up more than ½ of all USA exports (U.S. Dept of Commerce) IP drives 40% of the countries growth (U.S. Dept of Commerce) The real measurement - IP theft costs the USA an estimated $250 billion dollars annually Mann|Zarpas LLP attorneys at law

GLOBAL COUNTERFEITING/PIRACY OF USA IP Steals from our innovative citizens Global piracy/counterfeiting costs State and local governments millions in tax revenue (California approximately $483 million dollars in 2005) Results in closing of businesses and job loss Jeopardizes everyone’s health and safety Mann|Zarpas LLP attorneys at law

HOW TO PROTECT YOUR IP REGISTER REGISTER REGISTER - both at home and abroad For domestic use and protection, register your IP with the United States Patent and Trademark Office (“USPTO”) and if applicable, with the United States Copyright Office Go one step further and record registered USA trademark/copyrights with the U.S. Customs and Border Protection Mann|Zarpas LLP attorneys at law

Continued - HOW TO PROTECT YOUR IP For foreign use and protection, register IP in all countries where you/your licensee will manufacture, sell and distribute CAUTION – IP protection in the USA does not give you IP protection in a foreign country Not all foreign legal systems protect IP as well as that of the USA Mann|Zarpas LLP attorneys at law

FOREIGN IP PROTECTION - SOME REAL CHALLENGES Show me the Money!! IP registration can be both timing consuming and expensive, Generally, foreign associates must be retained in each country and fees and costs must be paid in advance The buck doesn’t stop with IP registration Some foreign countries require that Licenses be registered as well Even in a licensing arrangement, it is generally the IP owner’s responsibility to police its IP rights against infringers, counterfeiters, etc. Timing to obtain foreign registration(s) could take years Mann|Zarpas LLP attorneys at law

Continued - FOREIGN IP PROTECTION CHALLENGES First to use versus first to file – in many foreign countries, the first person to file is able to secure the registration even though that person has never used the mark and may not own the IP rights in other countries Foreign investment firms are monitoring and registering hot USA IP in critical foreign countries such as China, Japan, Europe, etc. Mann|Zarpas LLP attorneys at law

THE PRACTICAL SIDE OF PROTECTING YOUR IP Police use of your IP in the marketplace, on the internet, at tradeshows, etc. Being proactive is cheaper than being reactive Know who you are doing business with. Conduct a thorough due diligence of any potential licensee, contactor, distributor, etc. Know who your (your foreign licensee’s) customers are – are they legitimate distribution/retail outlets? Or are they counterfeiters looking for the opportunity to mix fake products with your authentic products? Mann|Zarpas LLP attorneys at law

Continued - THE PRACTICAL SIDE OF PROTECTING YOUR IP Make certain your (your licensee’s) contractors aren’t running a “third shift” for distribution of your brand in the illegal market Protecting your IP is no longer a luxury but a necessity due to the globalization of the economy. Do not be afraid to vigorously pursue the legal remedies available to you as a brand owner Mann|Zarpas LLP attorneys at law