An interesting report was recently issued by the
Commission on the Theft of American Intellectual Property, which is a US-based
commission comprised of private and public sector members. The purpose of the
Commission is to assess the scale of international intellectual property theft
and its affect on the US, in addition to evaluating China's role in
international intellectual property theft. Needless to say, this piqued the
interest of Canada
Fashion Law and we wanted to provide a summary of the 89 page report.
The Commission states that intellectual property theft is
at an unprecedented high (a loss of $300 billion a year), which generates a
significant loss of revenue and undermines the innovative and entrepreneurial
spirit for the US. Ultimately, this can slow technological and economic
development. Conversely, countries that focus on manufacturing counterfeit
products benefit from a pseudo-subsidy, given that the costs of developing or
licensing intellectual property rights are avoided.
Studies indicate that China is responsible for 50% to 80%
of global intellectual property theft. The Commission projects that the longer
the supply chain, the greater the likelihood/opportunity that intellectual
property theft will pervade. (Perhaps another push for the "Made In America"
movement used to boost US domestic manufacturing to stimulate the economy?)
Ultimately, the Commission's proposition is to flip the
cost-benefit ratio for intellectual property theft. Currently the manufacture
and distribution of infringing and counterfeit product is cheap, which is
desirable for intellectual property evil-doers. Inverting the ratio, by
strengthening legal procedures and raising financial consequences, is key to
deterring intellectual property theft. In addition, the Commission advocates
for the need to help foreign countries raise their IP consciousness as
If you're interested in reading the full report, click here.
View more from Canada Fashion Law.
Follow Ashlee Froese on Twitter at @BrandFashionLaw.
(c) Ashlee Froese, 2013. All rights reserved.
contents herein are for informational purposes and do not constitute legal
advice. It is strongly recommended that you seek a professional legal opinion
in the event of a legal dispute.
more information about LexisNexis products and solutions connect with us
through our corporate site.