Coalition for Intellectual Property Rights, Consumers, MVD & Rospatent
Applaud State Duma Vote on IP Laws

DUMA APPROVAL OF TRADEMARK LAW "SIGNALS BREAKTHROUGH FOR INTELLECTUAL PROPERTY RIGHTS IN RUSSIA," SAY MAJOR TRADEMARK OWNERS

Moscow — The Coalition for Intellectual Property Rights (CIPR), the leading advocate for better IP protection and enforcement in Russia and the CIS, called today's second reading approval of landmark amendments to the Law on Trademarks, Service Marks and Appellations of Origin, "a true victory for consumers, Russian and international trademark owners, the economy and the state."

"This is a critical milepost in a nearly three-year effort by Rospatent, CIPR, and their allies in the State Duma, MVD, State Customs and the business, consumer and legal communities to create an effective system of IP protection and enforcement consistent with international standards," said CIPR President Peter B. Necarsulmer. "It signals a breakthrough for intellectual property rights in Russia."

"Rapid approval on Third Reading is anticipated," said Peter Shelisch, lead Duma sponsor of the legislative package authored by the Russian Agency for Patents and Trademarks (Rospatent) and introduced by the Government last year. "Our success illustrates the results that can be achieved for Russia when consumers, international IP organizations such as CIPR, and the country's business community work together in the public interest," said Shelisch, who is also chairman of the Consumer Union of Russia.

"These amendments create better mechanisms to fine-tune the IP enforcement system by including a strong definition of counterfeit goods and providing for physical destruction of seized counterfeit by court order," said Andrey Starostin, Deputy Chief of the Ministry of Internal Affairs' IP Crimes Department.

"Physical destruction of counterfeits and the first broad-based definition of counterfeit goods, labels and packaging were primary lobbying goals for CIPR members," said Alexander Shelemekh, a member of the Duma Working Group on IP and CIPR Senior Vice President.

"The reforms also include new protections for owners of famous trademarks and new provisions sponsored by Rospatent to reduce bad faith trademark registrations and unfair competition," Shelemekh continued. "Once these laws come into force, we will see a definite reduction in trademark high-jacking and extortion crimes," Shelemekh said.

Dr. Alexander Korchagin, Rospatent General Director, called on all Russian and international trademark owners to actively support third and final reading of the Government's amendments, "so that we can be sure Russia's IP regime will assist, not slow down, our country's WTO accession." Korchagin's agency was the lead drafter and advocate within the RF Government for the new IP protections approved by the Duma today.

Dr. Korchagin also urged copyright and trademark owners "to work in unison" to enact a separate package of pending amendments to the RF Copyright Law. "Rospatent salutes CIPR's leadership in working to unify Russian and foreign IP owners, from drug manufacturers and soft drink makers to software developers and CD recording companies, to set a common agenda and focus on the best interests of all IP rights holders," he said.

"Achieving real IP protection and enforcement in Russia requires that a coalition of government, brand owners, copyright owners and consumers organize to fight for the mutual best interests of all parties," Korchagin concluded.

The Coalition for Intellectual Property Rights (CIPR) is a private-public partnership dedicated solely to protecting and enforcing intellectual property rights in the CIS countries and the Baltic States. Through legislative initiatives and lobbying, coalition building, enforcement actions, public awareness, and opinion and economic research, CIPR assists governments and IP owners establish transparent IPR regimes that adhere to international standards.

CIPR's Corporate Members include a number of the world's most famous trademark owners in the food, beverage, pharmaceutical, fashion, computer, tobacco and luxury goods industries. CIPR's Associate Members include more than 25 international and regional business and trade organizations and anti-counterfeiting groups, which, combined, represent thousands of IP rights holders.

NOTE TO EDITORS: Some of CIPR's Associate Members from Russia include: American Chamber of Commerce in Russia; Association of International Pharmaceutical Manufacturers; Association of Russian Patent Attorneys; European Business Club; Russian Chamber of Commerce and Industry; Russo-British Chamber of Commerce; and, US-Russia Business Council. Corporate Members of the Coalition include Anheuser-Busch Companies, Baker & McKenzie, BAT, Becton Dickinson Dell Computer, Diageo, Four Seasons Hotels Limited, Fross Zelnick Lehrman & Zissu, Gallaher, Guinness UDV, ICN Pharmaceuticals, JTI, Kraft Foods, Philip Morris International, SICPA, and Tiffany and Company.