Business news from Ukraine

UKRAINE HOPES TO PROVE U.S. IT EFFECTIVELY PROTECTS INTELLECTUAL PROPERTY RIGHTS

1 March , 2016  

KYIV. March 1 (Interfax-Ukraine) – Ukraine hopes it will be able to prove at open hearings at the Office of the United States Trade Representative (USTR) that it effectively protects intellectual property rights (IPR), despite recommendations by business representatives that Ukraine should be again designated as a Priority Foreign Country, which is the worst classification given to “foreign countries that deny “adequate and effective” protection of intellectual property rights.

The hearings will begin on March 1, the Ukrainian Economic Development and Trade Ministry said.

A Ukrainian delegation at the hearings will be represented by Deputy Economic Development and Trade Minister and Ukrainian trade envoy Nataliya Mykolska and Director of the ministry’s department for the development of innovation and intellectual property Olena Mynych.

“It is important to Ukraine, as the situation in IPR protection has a direct influence on any decision as for an access to our state to the U.S. market, including as part of the U.S. Generalized System of Preferences [provides duty-free treatment to goods of designated beneficiary countries and territories],” Mykolska said.

The Ukrainian delegates will inform the U.S. side about Ukraine’s progress in protecting of intellectual property rights in such directions as the fight against piracy in copyright and related rights; legalization of software at government agencies; the elimination of problems in collective management of property rights; strengthening of IPR protection; reform of state agencies that manage intellectual property.

According to Mykolska, Ukraine’s status in the Special 301 Report in 2015 was improved, which was a certain gesture of confidence in Ukraine, so the country will continue to take measures to be completely excluded from the list of the countries that deny effective protection of intellectual property rights.

As was reported. Ukraine is on the Priority Watch List in 2015. Ukraine was designated a Priority Foreign Country (PFC) in the 2013 Special 301 Report.

As described in that report, the three grounds for Ukraine’s PFC designation were: (1) the unfair, nontransparent administration of the system for collecting societies, which are responsible for collecting and distributing royalties to U.S. and other rights holders; (2) widespread (and admitted) use of illegal software by the Ukrainian government agencies; and (3) failure to implement an effective means to combat the widespread online infringement of copyright and related rights in Ukraine, including the lack of transparent and predictable provisions on intermediary liability and liability for third parties that facilitate piracy, limitations on such liability for Internet Service Providers and enforcement of takedown notices for infringing online content. Following Ukraine’s designation and pursuant to statute, the Office of the U.S. Trade Representative conducted an investigation under Section 301 of Ukraine’s IPR acts, policies, and practices, which concluded in March 2014. The U.S. Trade Representative determined that while IPR problems persisted, no adverse actions would be taken against Ukraine because of the political situation in Ukraine at that time.