This site tracks the value of some "black market" goods from pirated movies to body parts and human trafficking. Missing: Murder for Hire, though Kidnapping is represented.

One ought to distinguish at least two types of markets represented here; a) those in which the goods being sold do indeed "belong" to the seller who wishes them to "belong" to the buyer. Markets for illegal drugs for example. "Belong" is in quotes because from a legal standpoint there are no "property rights," rather, the rights are those that would exist at law just as with any other planted produce or chemical stew if it were not for regulatory bans. Then there is b) the rights in question have been wrested away unlawfully from a third person and appropriated by the seller, who then transfers them to the buyer. Human trafficking, for example, and piracy.

Continue reading Site Tracks Black Markets . . .

posted by Solveig Singleton @ 7:44 AM | Accounting , Counterfeit , Economics, Game Theory & Public Choice , International , Liberty and IP , Markets: Business, Investment & Innovation

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A Russian headmaster has been asked to pay a hefty fine for allowing students to use 12 computers with counterfeit copies of Windows installed. Details can be found here.

It seems Putin, Gorbachev, Russian TV and even Bill Gates have expressed concern over the high-profile case and, as a result, Alexander Ponosov has gained notiriety as "a hero in a David-and-Goliath battle against the legal system and international corporations."

This was not exactly the best PR move by those responsible for IP enforcement in Russia but I'm wondering why the school system itself was not fined. Is anyone familiar with Russian copyright law?

posted by Amy Smorodin @ 9:26 AM | Counterfeit , Enforcement & Remedies , International

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A copying tool for Second Life is developed for legitimate purposes via open source.
Second Life users with ill intent use the tool to copy anything in the virtual world, from clothing to cars.
Virtual retailers are angered, but there's no recourse in the virtual world.
Their only recourse, they're told by Linden Labs, is to file a DMCA complaint in the real world.
The victims of unauthorized copying complain DMCA isn't responsive enough.
Someone unconcerned with all the copying says those upset twith their stuff being ripped off are "RIAA-ish."
A news publication generally not sympathetic to copyright infringement seems to feel differently about virtual copying, with a headline "'Second Life' faces threat to its virtual economy." What, it's not an opportunity to further the public domain of Second Life?

You just cannot make this stuff up.

posted by Patrick Ross @ 10:21 AM | Access: Commons, Fair Use, Orphan Works, Public Domain , Counterfeit , DMCA , Free Culture Movement

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I've written before about how many of the current problems in copyright boil down to enforcement issues--specifically, the complete unsuitability of traditional enforcement institutions for handling copyright problems (or fraud, or lots of other things) online or internationally, for that matter.

The Wall Street Journal wrote 11/13/2006 in 11/13/06 "Chinese Start-Up Takes On Music Pirates" yesterday about a for-profit company in China who is stepping into the gap (the abyss? the void?) by offering IP enforcement services. And Fox will try to compete with counterfeiters by offering low-cost DVD's.

posted by Solveig Singleton @ 10:46 AM | Counterfeit , Enforcement & Remedies , International

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The European Commission has released a survey of EU businesses in an attempt to identify which nations were the most problematic with IP enforcement. The results are pretty similar to what the USTR has highlighted, and what BSA surveys have shown. China was viewed as the main priority for the EU. Nations described as having taken IP enforcement steps but needing more progress were Russia, Ukraine, Chile and Turkey. The survey also noted some countries and trade regions that the EU is considering closer ties with, and in which IP enforcement will play a role: ASEAN, with a particular focus on Thailand, Malaysia, Indonesia, the Philippines and Vietnam; Mercosur, with a particular focus on Brazil, Argentina and Paraguay; Korea.

Here's a highlight from the EC press release:

While the EU does not exclude the possibility of action in the WTO against IPR infringement, the EU is not creating a ‘black list’, but looking to focus technical assistance and cooperation in the joint fight against piracy. Today’s survey results send a message of concern and signal the EU’s firm resolve to tackle it. The European Union is ready to help key third countries in improving their act; but will not accept systematic and large scale infringements of the rights of EU industry.

I welcome the opportunity to support the EU; it's such a rare opportunity for me.

posted by Patrick Ross @ 1:34 PM | Counterfeit

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I know a little bit about IP policy, I know next to nothing about the fashion industry. But I know the effort to protect original fashion designs from copying has emerged as a hot-button IP issue. At 9 a.m. Thursday the House Judiciary Courts and Intellectual Property subcommittee is holding a hearing on providing protection for fashion designers. Witnesses include Jeffrey Banks, fashion designer, on behalf of the Council of Fashion Designers of America; David Wolfe, Creative Director, The Doneger Group; Susan Scafidi, Visiting Professor, Fordham Law School and Associate Professor, Southern Methodist University; and Christopher Sprigman, Associate Professor, University of Virginia School of Law. Location: Room 2141 Rayburn House Office Building.

posted by Patrick Ross @ 3:29 PM | Counterfeit

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Attorney General Albert Gonzales writes an Op-Ed in InformationWeek about the US Govt’s efforts in curbing IP piracy. Gonzales states that IP is important to the “nation's economic security,” by fueling the national economy. IP gives “gives creators and innovators the incentive to invest their time and creativity into developing new products and services.” Particular, “the creative community - those who devote their energy and imagination to creating products that enrich our society – (are) besieged by IP theft. “ Piracy harms not only innovators, but also consumers and society, by affecting products available to them. Gonzales details the US Govt’s plans:

Continue reading Gonzales Curbs Piracy . . .

posted by Noel Le @ 12:30 PM | Counterfeit , Patents

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Last year I bought a top for breastfeeding at a Mimi Maternity store, a black tank top with the "got milk!" logo. Mimi Maternity is still selling the tank tops, at a hefty $30 a pop. There is a thriving market for used nursing tops on eBay. My stint as a practicing mammal being over, I posted my top on eBay to resell it. It attracted a lot of bidders.

Today the auction was pulled as a trademark violation along with all the others. "Got Milk" tank tops have vanished from eBay as if they never were. I am curious, surely Mimi Maternity is producing the tops under a license from the Milk Board? Otherwise one thinks they would have gotten themselves sued by now. In which case does the license prohibit resale? If so, it is supposed to bind me? Privity! Privity! The top then would surely need a special label... : ) Does anyone have any experience with this? Drop me a note... I'm interested in pursuing this dispute, to see what knowledge may be gleaned from the experience.

An update: Apparently Mimi Maternity does NOT have a license. Interesting. I must look up to see if there has been litigation.

posted by Solveig Singleton @ 9:19 AM | Counterfeit , Internet: P2P, Search Engines...

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Yesterday's WSJ had a sober article about a recent study that concluded that the movie business's losses from piracy are much greater than heretofore thought, approaching $6.1 billion per year. The survey included losses from Internet downloading as well as from counterfeit DVDs. It also addressed the common criticism that not every pirated copy represents a lost sale by specifically asking survey respondents about the issue. Additonal bad news:

The study also shows that home video, not theatrical distribution, is the market that piracy hits hardest, accounting for two-thirds of the studio's lost revenue. That is a big blow to the studios, which had been counting on the lucrative DVD market to increase their bottom lines, but in recent months have found DVD sales are slowing considerably.

The survey also bucks the assumption that piracy is a kids' activity. In Japan, one of Hollywood's biggest foreign markets, 50% of the overall industry's losses are the result of piracy by people ages 25 to 39.

As movies go, so go all other content industries. For example, as computer displays get perfected for easy reading, the marvelous possibilities of carrying thousands of books around on a portable computer will become a reality, and the publishing industry will no longer be protected by the fact that it costs more to print out a book on one's home printer than to buy it. At that point, the book publishers will be looking down that same gun-barrel that is now pointed at the movies.

It is inconceivable that the American public will sit passively while all content industries collapse in an orgy of free riding and piracy, so this latest news is gloomy for everyone, not just for the MPAA. It makes "tech mandates," "ISP filtering," "secondary liability," and other potential responses more likely, and all of these raise difficult problems. They are also much feared by the tech industry, and with reason.

So the study is bad news in circles considerably beyond the MPAA -- such as, the whole tech industry and all honest consumers who want access to lots of content and are willing to pay their fair share to get it. Houston, we have a problem -- and it is a collective one.

posted by James DeLong @ 7:10 AM | Counterfeit

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The Stop Counterfeiting in Manufactured Goods Act (H.R. 32) was signed by the President on March 16.

The White House Fact Sheet summarizes:

# Strengthens Our Laws Against Trading Counterfeit Labels And Packaging. While it was already illegal to manufacture, ship, or sell counterfeit products, this legislation closes a loophole allowing the shipment of falsified labels or packaging, which counterfeiters could then attach to fake products in order to cheat consumers by passing off poorly made items as brand-name goods. By closing the loophole, we will help keep honest Americans from losing business to scam artists - and protect consumers from being cheated out of their hard-earned dollars.

# Strengthens Penalties For Counterfeiters And Gives Prosecutors New Tools. This bill requires courts to order the destruction of all counterfeit products seized as part of a criminal investigation and requires convicted counterfeiters to turn over their profits and any equipment used in their operations. This bill requires those convicted of counterfeiting to reimburse the legitimate businesses they exploited.

The bill also it expands the protection given to recordings, videos, and software. The Thomas summary says that the law:

Continue reading Counterfeit Goods . . .

posted by James DeLong @ 10:11 AM | Counterfeit

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posted by Solveig Singleton @ 12:17 PM | Counterfeit , Patents

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