ARTICLE
6 March 1999

Abu-Ghazaleh Intellectual Property Bulletin, March 1999

Algeria Accounting and Audit

IN THIS ISSUE

UNITED ARAB EMIRATES:
ADVANCE PAYMENT NO LONGER REQUIRED

SAUDI ARABIA:
INAUGURATION OF GCC PATENT OFFICE
NEGOTIATING TO JOIN THE WTO
LOCAL WORKSHOPS COUNTERFEIT SWISS GOLD TRADEMARK

BAHRAIN:
INTELLECTUAL PROPERTY WATCH LIST

OMAN:
IP FORUM

WEST BANK:
Q&A ON IP LAWS AND PRACTICES

IN BRIEF FORM OUR INTERNATIONALOFFICE

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UNITED ARAB EMIRATES: ADVANCE PAYMENT NO LONGER REQUIRED

As of March 1999, AGIP will no longer request advance payment for filing applications nor for registration fees in the United Arab Emirates.

The advance payment policy was implemented following the issuance of a decree demanding that all applicants pay the official fees immediately upon filing. Although the decree is still in force, AGIP has, in the interest of its clients, chosen to stop implementation of the advance payment policy.

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SAUDI ARABIA: INAUGURATION OF THE GCC PATENT OFFICE

The official inauguration of the Gulf Corporation Council (GCC) Patent Office, in Riyadh, was held on Sunday, February 21, 1999 under the auspices of the General Director of the Council, Mr. Jamil Al-Hjailan. This comes four months after the initial opening of the office and filing of applications.

For more information regarding the GCC Patent Law, please contact our Saudi Arabia Office or our Regional office in Jordan.

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BAHRAIN: INTELLECTUAL PROPERTY WATCH LIST

Officials from the Bahraini Ministry of Trade met with a US Trade delegation last month and requested that Bahrain’s name be removed from the US Intellectual Property Watch List.

Mr. Ali Salah Al-Saleh, Minister of Trade, discussed with the US delegation, under the chairmanship of Mr. Yan Kalesky, the procedures which Bahrain follows in the field of intellectual property, and in particular those concerning the protection of Industrial Property Rights. Due to its strict adherence to the TRIPs agreement and other IP conventions to which it is a signatory, Bahrain feels it deserves to be removed from the US Watch List.

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SAUDI ARABIA: NEGOTIATING TO JOIN THE WTO

After completing his negotiations with the head of the US Trade Representative Office of the US Trade Ministry, Dr. Osama Faqueh, Saudi Arabian Minister of Trade, stated that there was no objection to Saudi Arabia joining WTO since all the member countries welcomed its inclusion.

Dr. Faqueh arrived in Washington, DC, after having attended further bilateral negotiations in Brussels and Canada with regard to obtaining WTO membership for Saudi Arabia. He also added that the meetings with the EU, Canada, and the USA had dealt with providing details and answers to questions raised after Saudi Arabia had submitted its amended offers for goods and services.

The meetings are also part of an effort to expedite the current negotiation process with the trade partners of Saudi Arabia.

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SAUDI ARABIA: LOCAL WORKSHOPS COUNTERFEIT SWISS GOLD TRADEMARK

The Saudi Arabian Ministry of Trade is currently reviewing a complaint by Bamb Swiss Saudi Arabia against Saudi workshops that it claims are using the name and trademark of the Swiss company to market and sell its gold articles.

The sources of the Swiss company stated that the workshops resorted to those methods in order to gain an international dimension for their products thereby selling at higher prices.

Mr. Bassam Al-Tayar, General Manager of Sawaed Biladi for Gold and Jewelry, which is one of the distributors of the Swiss Company in Saudi Arabia, has stated that the company noticed lately the circulation of counterfeit gold ingots sold in stores under the trademark and name of the Swiss company. The Swiss company complained to the Ministry of Trade against counterfeiters.

Mr. Al-Tayar added that the counterfeit articles had the words "Swiss Gold" on them in order to mislead the consumers. The workshops are alleged to market their products by benefiting from the fame of the Swiss company at the expense of the consumers who do not distinguish between the genuine and the counterfeit.

The drop in sales was estimated to be 50 percent due to the sale of the counterfiet ingots at much lower prices, which was made possible by inferior quality and cheaper manufacturing costs for the counterfeiters.

The foremost differences between the genuine and the counterfeit products are that the latter products tend to be yellow, with sharper edges and uneven surfaces. In addition a circle has been added to the genuine trademark on some of the ingots.

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OMAN: IP FORUM

The Sultanate of Oman hosted the Arab Regional Forum on the Economic Importance of Intellectual Property between February 22-24, 1999. His Highness Faisal Bin Ali Al-Saeed, Minister of Omani National Heritage and Culture, sponsored the forum’s activities, in cooperation with the Ministry of Trade & Industry and the WIPO plus a number of other international organizations.

Oman joined WIPO in 1997 under the Omani Decree No. 74/96 as an instrument of accession, and became a full member as of February 1997. Lately Oman has enforced many intellectual property laws through raids on audio-visual tapes stores and will now commence enforcing the law regarding computer programs and compact disks.

Oman is looking to join WTO by the end of this year and will, therefore, have to implement all the GATT provisions to ensure achieving this objective. All intellectual property laws in Oman are now being revised.

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Q&A ON IP LAWS AND PRACTICES IN WEST BANK

Q: How long does it take to conduct a trademark search?
A: Two to four working days.

Q: Does the West Bank follow the international classification of goods?
A: Yes.

Q: Are there any goods or services for which the mark cannot be registered?
A: No.

Q: Does the specification of goods in any class limit the protection to the specified goods, or does it give additional protection to the whole goods within the class?
A: The specification of goods in any class limits the protection to the specified goods.

Q: Can a trademark be registered in the name of more than one applicant (i.e. joint application)?
A: No.

Q: Can an application be filed without its complete documents?
A: No.

Q: Can one application cover more than one class of goods/services?
A: No.

Q: May priority be claimed under the Paris Convention?
A: Yes, as the West bank abides by the Jordanian Law.

Q: What is the term of protection of a trademark and from what date is it calculated?
A: Lawful protection for seven years from the filing date.

Q: Is marking compulsory ?
A: No, but it is recommended in order to protect against third parties.

Q: Is use required before registration or for maintaining the registration in force?
A: No, but highly recommended as the registration maybe cancelled by a 3rd party due to non-use.

Q: Can the assignment of an application be recorded?
A: Yes.

Q: Is recordal of a license agreement compulsory?
A: No.

Q: Can recordals such as change of name, address, merger, assignment, license, etc., be made against pending applications?
A: Yes.

Q: Can an assignment be made with or without goodwill? What monetary consideration is to be mentioned as the value of the assignment? Is there any tax based on the value mentioned?
A: With goodwill; no monetary considerations nor taxes.

Q: Can the trademark application be opposed and what is the opposition period?
A: Yes, three months following publication in the official gazette.

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IN BRIEF FROM OUR INTERNATIONAL OFFICE

Bosnia and Herzegovina

The Institute for Standardization, Metrology and Patents of Bosnia Herzegovina has circulated the following information regarding re-registration of the former Yugoslav industrial property rights in Bosnia and Herzegovina:

The deadline for filing applications for re-registration of former Yugoslav industrial property rights in Bosnia Herzegovina was 31 December 1998.

However, it is still possible to file an application for re-registration of a trademark or an industrial design subject to the following conditions: trademark/ industrial design was granted before March 1, 1992; corresponding 10-year maintenance fees were also paid before March 1, 1992; the aforementioned 10-year maintenance period is still in force on the date of filing the application for re-registration.

Mozambique

The introduction of a new law on intellectual property in Mozambique is expected to be proposed within the next few months.

An industrial property office has been established and the new law was expected to be published in January 1999 and to come into effect in February 1999. As of yet no copies of the draft law, official fees, forms, etc., have been circulated. However, the Registrar is accepting provisional applications on file.

These applications have no legal effect at present and will be given a filing date corresponding to the first working day of the Trademark Office. Todate approximately 100 applications have been submitted.

Singapore

The New Trade Marks Act came into force on January 15, 1999. The new legislation has been implemented in order to modernize and simplify the trademark laws, so that Singapore can meet its obligations under the TRIPs agreement and the Paris Convention, and accede to other international agreements related to trademarks.

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ABLE / IN THIS ISSUE

JORDAN:
DRAFTING A BUNDLE OF IP LAWS

NEW LEGAL TRANSLATION DEPARTMENT

PROPOSAL FOR MULTILATERAL SYSTEM OF GEOGRAPHICAL INDICATION

UNITED ARAB EMIRATES:
AMENDMENTS TO COMPANIES LAW

BAHRAIN:
LICENSING OF GCC BANKS

COMMISSION DUE FOR AGENTS

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JORDAN: DRAFTING A BUNDLE OF IP LAWS

The Government of Jordan is drafting a bundle of intellectual property laws in its endeavor to update its legislation for joining the World Trade Organization (WTO). The WTO section at the Ministry of Industry and Trade is currently administering the process of re-drafting a number of existing laws and drafting other new legislations.

An independent legislation to deal with integrated circuits protection is yet to be introduced. It is said this law would be based on the 1989 Treaty on Intellectual Property in Respect of Integrated Circuits. Another law is being drafted on industrial designs separately from the patent law. Also, trademark and copyright laws are subject to change. Interestingly, the WTO Section is in the process of introducing an independent law for the protection of plant varieties.

While these legal efforts are designed to make Jordan’s intellectual property rights and protection in tune with TRIPs requirements, yet more problematic issues need to be tackled in this regard. One major concern is that still no concrete intent is directed towards enacting a law that deals with unfair competition.

Unfair competition provisions are essential to assist in establishing a sound system for the protection of intellectual property rights. Moreover, the question of whether Jordan’s legal system would be adequate to serve the required enforcement measures of TRIPs has not been answered yet. Adopting a new enforcement mechanism special to the distinctive nature of intellectual property would seem to be the ideal approach. In any case, intellectual property right owners and legal practitioners are eagerly awaiting the final release of this bundle of laws.

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NEW LEGAL TRANSLATION DEPARTMENT

In a world where communication has become the corner stone of mastering business, Abu-Ghazaleh Legal Services (ABLE) is expanding its services to include a translation sector. Abu-Ghazaleh Legal Translation is the fourth department of ABLE along with the licensing, intellectual property and corporate law departments.

ABLE has taken this step to satisfy its clients’ needs in an increasingly demanding sector and to fulfill the existing gap in providing high quality legal translations. Our translators are experienced lawyers fluent in English and Arabic, therefore, ensuring that all legal translations submitted before official bodies are accurate and observe the laws of the relevant countries.

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PROPOSAL FOR MULTILATERAL SYSTEM OF GEOGRAPHICAL INDICATIONS

A new scheme for notifying and registering geographical indications, was proposed by Japan and the United States.

According to this scheme, members would inform the World Trade Organization (WTO) of the geographical indications being protected in their own country.

WTO would publish a list of the reported geographical indications. This multilateral list would be referred to when members consider the registration of geographical indications. In a sense, this notification and registration system would act as a database for geographical indications. It is restricted, however, to covering only the goods of wines and spirits.

This proposal followed a previous one by the European Union (EU). Under the EU proposal, products submitted for registration would be protected in all WTO member countries. In all cases, other proposals are being prepared and these matters would be the subject of discussion at the TRIPs Council meeting next month.

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UNITED ARAB EMIRATES: AMENDMENTS TO COMPANIES LAW

Amendments have been effected to some provisions of the UAE Federal Law on Commercial companies as published in the Official Gazette No. 324 dated October 1999.

Article 2 of this law was amended with regard to companies upon which the law shall apply. According to the new provisions, the law applies to commercial companies incorporated in the country or to companies which have headquarters therein. Companies incorporated in free zone, however, would not be subject to this law, except in the case of acquiring the nationality of the state. The latter exception also applies to oil companies operating in the fields of exploration, drilling, marketing and transporting of oil. Also, exempted from the provisions of the Companies Law are companies generating electricity, gas, water desalination and their related activities, in addition to those companies exempted by decisions of the Council of Ministers.

These amendments further establish that every company incorporated in the state must have a place of residence there.

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BAHRAIN: LICENSING OF GULF COOPERATION COUNCIL BANKS

The Council of Ministers issued a decision allowing National Banks in the Gulf Cooperation Council (GCC) to open branches in Bahrain.

A "national bank" is defined as a public shareholding bank having its headquarters in GCC states, and where % 51 of the capital shares are held by nationals of GCC states.

The Cabinet's decision imposed a minimum capital requirement of US $ 100 Million for acquiring a license.

It is also stipulated that a national bank would be granted a license only if it was established for a period not less than 10 years.

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BAHRAIN:COMMISSION DUE FOR AGENTS

The Ministry of Trade has issued a decision organizing the commission due for agents as a result of goods imported through a party other than the principal.

According to this decision, a local agent is entitled to commission from goods imported for commercial purposes through other than the principal. This is conditioned however, that the importer be a merchant and permitted to import as per the Commercial Register. It is also naturally stipulated that the imported goods be listed as part of the registered commercial agencies at the Ministry of Trade.

The Ministerial decision grants a 5% commission to agents from the price of goods including spare parts imported by third parties from other principal. Whereas, the commission is 3% for imports of foodstuffs.

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