Telephone and telefax numbers have changed in JORDAN. Please make note of the following:
REGIONAL OFFICE New Telephone Number 962-6 5669-603 New Telefax Number 962-6 5603-743 JORDAN OFFICE New Telephone Number 962-6 5698-282 New Telefax Number 962-6 5603-743
JORDAN: Publication Charges Increased by 60%
The increase in charges entered into effect on March 14th, 1998. For more information, please contact our Regional Office or our Jordan Office.
FOR THE UNITED ARAB EMIRATES
Kindly Complete the Power of Attorney Forms as Follows:
Abu-Ghazaleh Intellectual Property- TMP Agents
P.O.Box 1991 Deira, Dubai,
United Arab Emirates
Possible Removal of UAE from US Watchlist
The United Arab Emirates Ministry of Finance and Industry is currently going through the final revision of a draft amendment of the patents and designs law to comply with global trade standards, after which the final revision is to be forwarded to the cabinet.
A U.S. diplomat said that the UAE is currently under review for possible removal from the US 301 Special Watch List of countries monitored for violation of intellectual property rights. Passing the patent law, which is in the final revision state, would help remove UAE from the watch list.
Areas of concern remain those pertaining to the registration of motion pictures and CD's. The US Ambassador held talks with Abu-Dhabi officials in order to discuss progress on the protection of pharmaceuticals, another important area which needs to be taken into consideration.
In this issue:
- Reminder: Change of phone and fax numbers - page 1
- JORDAN: Publication Charges Increased - page 1
- Power of Attorney Form - page 1
- Possible Removal of UAE from Watch List - page 1
- BAHRAIN: IP Law Enforcement - page 2
- Notice of Holiday - page 2
- IP Seminar in JORDAN - page 2
- A New Patent of Invention Law in JORDAN - page 2
- OMAN Takes IPR Very Seriously - page 2
- RIYADH: Cartier Wins a Lawsuit - page 3
- A BAHRAINI Company Receives an International Award - page 3
- In Brief From Our International Office - page 3
Legal Angle
- SAUDI ARABIA Prepares to Join WTO - page 4
- SYRIA: Concluding an Agency Agreement - page 4
- New US Supreme Court Ruling - page 5
- New Environmental Law in the UAE - page 5
- Saudi Arabia Drafts a New Foreign Investment Act - page 5
NOTICE of HOLIDAY
Our offices in the Arab World will be closed from April 6th to April 10th.
BAHRAIN: Intellectual Property Law Enforcement
The grace period which was set by the Bahrain Ministry of Information in the context of Bahrain's ratification of the Berne Convention for the Protection of Literary and Artistic Works for disposing of pirated audiovisual cassettes and CD-ROM's came to an end the first week of March; the Ministry had given the grace period from September to February.
Contraventions to the decision will be punishable by an imprisonment for one year, or a fine of Bahraini Dinars 5000 (US $ 13,227.00). The store owners, fearing that they will be forced to declare bankruptcy and close-down their shops, have resorted to selling their pirated goods in the popular markets, foremost among which is Al-Maqasis Market, where they hope to make some money rather than having to throw their goods away.
However, the Ministry, represented by the Publications Administration, being the state authority enforcing the decision, threatened to pursue pirated cassettes whenever they were in Bahrain even in popular markets so as to close all outlets of pirated goods.
The Ministry suggested that stores either enhance their financial capabilities to be able to import directly from original sources or to merge with each other to be in a better position for this purpose.
IP Seminar In JORDAN
The Arab Society for the Protection of Intellectual Property (ASPIP), in cooperation with the International Chamber of Commerce (ICC) in Jordan, will hold a two-day seminar titled "The Rules of Intellectual Property Aspects". The seminar will take place on May 18th, 1998 at the Radisson Hotel in Amman, Jordan. IP experts from Jordan and abroad will give lectures during this seminar; notably Mr. Talal Abu-Ghazaleh, Chairman of ASPIP, and Dr. Erich Hausser, former President of the German Patent Office.
A New Patent of Invention Law in JORDAN
The Ministry of Industry and Trade has finalized an amendment draft law of the Jordanian Patents Law, effective since 1952, in order to make it comply with international standards set by the TRIPS Agreement, which is supervised by the WTO. Jordan has been negotiating for the WTO membership, which dictates major amendments to Jordanian intellectual property laws.
A delegation, consisting of the Jordanian Registrar of the Intellectual Property Office, and the Legal Counsel of the Ministry of Industry and Trade, will discuss the said draft law with WIPO representatives.
This amendment meets the international requirements, makes room for more investments, provides a healthy environment, and contributes to facilitating technology and know-how transfer.
It is note-worthy here that Jordan does not conduct substantive examinations for patents but just registers them following a formal examination. The registered patents in Jordan amount to about 2500 inventions belonging to foreign patentees. Also, a large number of them lapsed after the 20-year protection period elapsed.
OMAN Takes IPR Very Seriously
For years now, Oman has committed itself extensively to enforcing intellectual property laws which include the Trademark Law promulgated under Royal Decree No. 68/87, which became effective in 1989. Also, the Author's Right Law had been promulgated under Royal Decree No. 47/96. A ministerial decision will be issued soon to put this law into effect and to begin with audio and video tapes.
A seminar was held at the Oman Chamber of Commerce and Industry earlier in March on the application of intellectual property protection and authors' rights laws in the music, cinema, and computer industries. This seminar focused on how to tell the difference between genuine products and fakes.
Also, a meeting on patents of invention in the Arab Gulf Cooperation Council (GCC) states will be held soon at the GCC secretariat general. Oman is in coordination and cooperation with the GCC states in applying all laws related to the protection of i ntellectual property. A committee had been formed to follow up the implementation of intellectual property protection laws.
RIYADH: Cartier Wins a Lawsuit Against a Well-known Local Store
The Ministry of Trade in Saudi Arabia is in hot pursuit of clones of Cartier S.A. products. Those products include watches and wallets which are being circulated in the Saudi market in commercial quantities.
This move comes in the context of a decision issued by the Appeal Bureau in favour of Cartier S.A. against a well-known store specialized in the sale of cosmetics, accessories and perfumery.
The general manager of the law firm representing Cartier S.A. said that the lawsuit filed by his principal came after they noticed that the well-known store was imitating their two marks, which are registered with the Ministry of Trade.
He pointed out that the defendant displayed the products bearing the imitated marks in the said store for wristwatches and leather wallets which were being marketed in store branches all-over the country.
The judgement was proper under the provision of Article 54 of the Trademarks Rules which reads:
"Whoever sustained damage under the commission of the contraventions provided for in the Rules shall have the right to demand that the perpetrator should compensate him appropriately for the damage".
A BAHRAINI Comapny Receives an International Award
Al-Mashaal Group for the Chemical Industries has been chosen to receive the 1998 international award for the best trademark in the world.
Al-Mashaal Group was chosen by the European Commission granting the 23rd award for the best trademark. The award is granted in the Trade Pioneers Club in appreciation for international companies in their respective fields, basing their decision on specialized statistics carried out by the club in coordination with the European Commission and members of the club and the Arab Chambers of Trade.
Engineer Yousef Mashaal received the award and the merit certificates in Geneva, Switzerland, on March 9th, 1998. Foremost among the participants were the diplomatic core, economic and political circles, world news agencies, as well as heads of international organizations in more than 150 countries. Also, Mr. Mashaal attended the extended working conference which leaves room for establishing contacts and business and industrial relations among the participants.
Al-Mashaal Group is the only GCC company in the chemical industry field that obtained an international award and the second to obtain the World Trade Pioneers Club membership.
In Brief,From Our International Office
AZERBAIJAN
Azerbaijan registrations acquired on the basis of the international registration system will be renewable within the validity term of the corresponding international registration. However, all the trademarks registered in this way will have to be renewed at the latest on September 25, 2001 regardless of the validity term of the corresponding international registration.
BOSNIA and HERCEGOVINA
Re-validation deadline for former Yugoslavian Intellectual Property Rights has been extended from May 31, 1997 to May 31, 1998. WIPO was informed of this extension by a letter dated May 6, 1997.
RUSSIAN FEDERATION
According to related government decrees, it will no longer be allowed to sell imported goods within the Russian Federation without having the product specification written in the Russian language. As of July 1, 1998, this will cover alimentary as well as non-alimentary goods.
UKRAINE
The Ukranian Parliament has adopted the new Unfair Competition Act to take effect sometime in 1998. The Anti-Monopoly Committee, which is the government body in charge of unfair competition activities, is given a very broad authority by the new Unfair Competition Act over acts committed in a way that conflicts with the rules of trade and other practices in entrepreneurial activities.
SAUDI ARABIA Prepares to Join WTO
Saudi Arabia is preparing to join the World Trade Organization (WTO) by increasing production capacity and willingness to compete globally. Recently the Kingdom made tremendous strides on the industrial sector and has been competing effectively in the international market on the strength of the quality of its products. This strategy is quite necessary due to great dependence on oil, gas and down-stream petrochemical revenues to sustain its growing economy.
Saudi Arabia, with a population of 19 million last year -according to the World Bank Report- had a GDP per capital of $ 7.000 whereas Australia with a population of 18 million registered a GDP per capital of $ 19.000.
Therefore, the Kingdom has been trying to rectify the situation through transfer of technology and establishing joint ventures.
The cornerstone of such efforts highly depends on increasing productivity in order to match or exceed global competition with WTO members.
Besides petrochemicals, another high- growth area in terms of productivity is the agricultural sector, which started from scratch and zoomed in on self-sufficiency staff in a short span of time.
However, the construction sector showed a declining trend in productivity while the level of productivity in the utilities sector was impressive.
SYRIA: Concluding an Agency Agreement
The Law of Commercial Agencies in Syria has embodied within its terms the requirements for granting a commercial agency in the country. Besides that there are some regulations and by-laws which have provided the do's and don'ts for foreign companies interested in granting agency rights to a Syrian company.
In order to safeguard against any future violations to the laws and regulations, commercial agency agreements should contain the following articles:
· The foreign company should state its name, business address, nationality and place of incorporation.
· The agreement shall also include the complete address of the company's head office and the type of the commercial agency. If the agreement is based on a commission, it should provide the commission rate, when the commission is earned, and the way of determining the right and obligations of the agent.
· A special paragraph should be added to cover the subject-matter of the agreement with reference to the kind of goods or merchandise.
· The term of the agreement, duration if it was limited in time, and renewal procedures.
· The full name of the agent, his business address, and his telephone and telefax numbers.
· The agreement should specify the territory encompassed by its terms, the principal should provide a letter declaring that it has no agents in Syria; otherwise, the agreement shall be considered null and void.
· The above-mentioned letter is an important precondition. In addition, it shall contain a duly certified trade registration certificate and the agent's identity card. The aforementioned letter should be duly notarized and legalized up to the Chamber of Commerce in the principal's country, the Ministry of Foreign Affairs in that country, the Syrian embassy, and finally in Syria by the Ministry of Foreign Affairs.
After producing all the required documents as stated hereabove, the Minister of Economy and Foreign Trade will grant the approval thereof.
It is advisable that the principal should inquire about the personal reputation and financial standing of the agent before reposing his trust in him. It is highly advisable to take the following two points into consideration when procuring or concluding an agency agreement:
1- Precautionary measures are usually included in the agreement, e.g. a short probationary period preceeds a long-term commitment, or a minimum turnover to be stipulated for a certain period. 2- Personal contacts should be established and maintained between the principal and the agent; no agency agreement of consequence should be concluded before the principal has met the agent in person.
New US Supreme Court Ruling
The U.S. Supreme Court ruled in favor of Yusuf Ahmed Alghanim & Sons, a Kuwaiti company, which was involved in a franchise agreement with Toys "R" Us for the purpose of opening fourteen (14) toy stores in Middle Eastern countries.
A dispute rose out of the franchise agreement and Toys "R" Us sought the application of an arbitration clause found in the agreement alleging that it had been terminated in 1993. The issue was brought before an Arbitration Committee in New York. The Arbitrator concluded that the Agreement had not been terminated and held Toys "R" Us liable to pay 47 million U.S dollars plus interest and damages. Toys "R" Us did not agree to the Arbitrator findings and sought refuge with the Court of Appeals to overrule the arbitration award and to use the case to decide whether federal courts can overturn an arbitration award.
The Second U.S. Circuit Court of Appeals ruled against Toy's "R" Us and stated that:
"Interpretation of these contract terms is within the jurisdiction of the Arbitration and will not be overruled simply because we disagree with that interpretation. At a time when Arbitration is becoming an increasingly utilized method of dispute resolution, the over 50 million U.S dollars award in this case presents an importuned question concerning the power of the courts to overturn an arbitration award".
New Environmental Law in the UAE
As part of the United Arab Emirates's belief in the importance of protecting the country's environment, and part of the state's desire to safeguard against violation of the environmental system, competent authorities in the United Arab Emirates are in the process of preparing a new legislation. This legislation will tackle ways of protecting the national environment and will impose penalties on those who violate environmental regulations.
The law is expected to see the light in the coming months and will likely cover all aspects of environmental protection in order to reach the international standards by using the international yardstick.
SAUDI ARABIA Drafts A New Foreign Investment Act
The Ministry of Finance is in the process of drafting a new act to regulate taxes on foreign investment.
This act is in response to the rapid movement of the industrial production wheel in the Kingdom and will aim at enhancing international investment in the Kingdom.
This new act will most likely adopt the "one station" system which has the advantage of being speedy and will streamline all other procedures.
The ambit of such a new act is to provide a new package of tax exemptions to foreign investments and will provide longer periods for tax benefits in comparison with the old Act.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
