ELZABURU Blog - Industrial and Intellectual Property

Tag Archives: Internet

OECD Alert to Governments in report entitled “Governance Frameworks to Counter Illicit Trade”

On March 1, 2018, the OECD published the report “Governance Frameworks to Counter Illicit Trade”.

In this report, the OECD has introduced a new phase in its efforts to help countries fight against piracy and to protect the market, consumers and businesses. The reasons for these increased efforts are, among others, inconsistent penalties, lack of control over small shipments and a lack of information and coordination across borders and in free trade areas.

This means that criminal networks traffic billions of dollars’ worth of fake goods each year. The OECD report shows that, on average, 2.5% of internationally trade goods are counterfeit, rising to almost 7% for IT and communications products.

The victims of these fraudulent practices are not just trademark or patent holders, but also consumers and governments themselves. In the words of Marcos Bonturi, Director of Public Governance at the OECD: “trade in fake and prohibited products can be dangerous for consumers and costly for companies and governments. This affects industries in all OECD countries and increasingly from emerging markets as well. Tackling policy gaps can start to increase the risks and lower rewards of illicit trade for criminals.”

The OECD study shows how criminal networks avoid detention and enforcement “thanks to” miscommunication and a lack of cross-border coordination.

The report also explores how the use of postal and courier services and online sales is increasing, making it easier to trade in illicit small shipments.

This is a major warning to Governments on the need to cooperate with one another in the fight against the international trade in counterfeit goods.

  Author: Juan J. Caselles and Alberto Gallo

Visit our website: http://www.elzaburu.es/en

European Commission recommends new measures against illegal content online

The dissemination of illegal content online damages citizens’ confidence in the Internet and could pose security threats. Although progress has been made in Europe as regards citizens’ protection online, platforms need to double their efforts to remove illegal content from the Internet more swiftly and effectively. Voluntary measures taken by the sector, as encouraged by the Commission, have already paid off: the EU Internet Forum to eliminate terrorist content from the Internet; the Code of Conduct on countering illegal online hate speech; and the Memoranda of Understanding on the sale of counterfeit goods. Nevertheless, there is still room for more effective action.

Background:

In its Communication of September 2017 on tackling illegal content online, the European Commission promised to monitor progress and assess whether additional measures were needed in order to ensure the swift and proactive detection and removal of illegal content online, including possible legislative measures to complement the existing regulatory framework.

Development: The Commission Recommendation of 1 March 2018

Before determining whether it will be necessary to take legislative action, the Commission has just published its Recommendation of 1 March 2018 on measures  to effectively tackle illegal content online. It consists of a set of operational measures, accompanied by the necessary safeguards, to be taken by companies and Member States. The recommended measures apply to all forms of illegal content, i.e., terrorist content, incitement to hatred and violence, child sexual abuse material, counterfeit products and copyright infringement.

Basically, procedures have been reinforced in order to more effectively remove illegal content by means of the following operational measures:

  1. Clearer “notice and action” procedures. Companies must establish simple, transparent rules for reporting illegal content, including fast-track procedures for “trusted flaggers”. In order to prevent lawful content from accidentally being removed, content providers will be notified of removal decisions and will be able to challenge decisions.
  2. More effective tools and proactive technology. Companies will have to design clear notification systems for users. They will need to have proactive tools to detect and take down illegal content, particularly in the case of terrorist content and content that requires no assessment of the relevant context in order for it to be deemed illegal, such as child sexual abuse material or counterfeit goods.
  3. More solid safeguards to guarantee fundamental rights. In order to ensure that there are solid grounds for removing content, companies must put in place effective and appropriate safeguards, including a human review step, at all times respecting fundamental rights, freedom of expression and data protection laws.
  4. Paying special attention to small businesses. The sector must, by means of voluntary agreements, cooperate and share experiences, best practices and technological solutions, particularly regarding automated detection tools. This shared responsibility will be particularly beneficial to small platforms, which have fewer resources and less technical know-how.
  5. Closer cooperation with the authorities. Where there is evidence which points to a serious offence or suspicions that there is illegal content which poses a threat to human life or security, companies must immediately notify the Security Forces. The Member States are invited to establish the pertinent legal obligations.

Next Steps:

The Commission will follow up on the measures that are adopted in compliance with this Recommendation, determining whether supplementary measures, including legislative action, are required.

In close cooperation with the interested parties, the Commission will continue its analysis with the launch of a public consultation (feedback period ends on 30 March 2018). It will also ask the Member States and companies to provide the pertinent information on terrorist content (within a period of 3 months) and on other illegal content (within 6 months).

We will therefore have to be prepared to cooperate with the Commission in relation to illegal content in the field of copyright and industrial property.

Author: Juan J. Caselles

Visit our website: http://www.elzaburu.es/en

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