Australia

Compulsory licences for patented medicines

The Australian government has announced its intention to amend the Patents Act by the end of 2011 to empower the Federal Court to grant “to manufacture and export patented pharmaceuticals to countries trying to deal with epidemics and other types of health crises.”

This announcement appears to implement the DOHA declaration (in 2001) on the compatability of TRIPS and public health issues particularly in developing countries.

Press announcement here. WHO on DOHA here and here (pdf). DOHA itself, Chairman’s statement and notifications (only Canada has made it on to the list as an exporting country, so far) and the 2005 amendment Protocol (of which, so far, only 34 members have notified acceptance (68 to go)).

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Roadshow v iiNet 2

Last month, iiNet (by the skin of its teeth) avoided being found liable for authorising the P2P infringing activities of users of its internet access services.

Kim Weatherall and Ass. Pro. David Brennan provide their respective initial takes here and here.

Perhaps in recognition that iiNet (and pretty much any other ISP) will be in big trouble if they sit on their hands when the next letter of demand comes in from AFACT notice comes in, Meanwhile on 11 March, the Internet Industries Association has announced that it is “fastracking” development of an industry code to deal with copyright infringement.

Roadshow v iiNet 2 Read More »

Draft Intellectual Property Laws Amendment (Raising the Bar) Bill 2011

A few weeks back now, IP Australia released a draft Intellectual Property Laws Amendment (Raising the Bar) Bill 2011 (pdf) and draft Explanatory Memorandum (pdf).

You can probably guess its overall objective from the exposure draft bill’s longer short title. The range of matters covered extends across 6 schedules:

  • Schedule 1- Raising the quality of granted patents
  • Schedule 2– Free access to patented inventions for research and regulatory activities
  • Schedule 3– Reducing delays in resolving patent and trade mark applications
  • Schedule 4- Assisting the operations of the IP profession
  • Schedule 5- Improving mechanisms for trade mark and copyright enforcement
  • Schedule 6 – Simplifying the IP system

Of the many things that struck my eye, the proposals:

  • seek to introduce the diligent searcher standard for testing the obviousness of patents;
  • seek to have patent applications and oppositions (but not, so far, trade mark oppositions) tested on the balance of probabilities instead of being practically certain not to be valid
  • introduce the new statutory experimental use defence;
  • seek to introduce a presumption of registrability for trade mark applications;
  • introduce the patent opposition “pleading” system to trade mark oppositions; and
  • confer original jurisdiction in trade mark and registered design mattters on the Federal Magistrates Court.

As IP Australia’s announcement says:

Bill does not deal with gene specific issues, rather it seeks to raise patentability standards across all technologies. Gene specific issues are being considered separately by the Senate Legal and Constitutional Affairs Legislation Committee, and by the Government in its response to the Senate Community Affairs Committee’s Gene Patents report.

Over at Patentology Dr Mark Summerfield gives very detailed consideration to the pros and shortcomings of the obviousness reform, the changes to the requirement that patents be useful,  the attempt to fix the law of fair basis (at least insofar as provisional specs are concerned), the new enablement requirement. Dr Summerfield seems to be on a roll, so there may well be more to come.

Comments and submissions should be provided by 4 April 2011.

Draft Intellectual Property Laws Amendment (Raising the Bar) Bill 2011 Read More »

Convergence Review: Let the bun fight(s) begin

Over at Lawfont, Sarah reports that the terms of the Convergence Review have been announced.

This is not just about ‘regulatory’ matters. From the preamble:

…. At the same time, the globalising effect of the internet is profound and rapid, and has challenged regulatory boundaries.

New content services channelled through internet service providers and across jurisdictional borders are challenging traditional media business models and forcing governments all over the world to reconsider the assumptions behind existing legislation and regulatory frameworks.

….

The government wants to make sure that the policy framework upon which Australia’s industry structures and regulation are built is adequately designed for the convergent age and does not impede continued technological change and innovation. At the same time, the framework must ensure the ongoing protection of Australian content and cultural values, the adequate reflection of community standards and expectations and the safeguarding of privacy and other citizens’ rights.

The government recognises that any discussion of the production and distribution of Australian content raises issues of copyright in the digital age. The Review Committee may offer views on copyright and the ongoing protection of content in a converged environment, noting that the Attorney-General will ultimately determine these matters.

(my emphasis)

and point 2 of the terms of reference:

the Committee shall have regard to all legislation and regulatory frameworks relevant to these terms of reference and, where necessary, advise the government on issues outside the purview of the Minister’s portfolio responsibilities.

(my emphasis again)

[remembering, as the preamble noted, that copyright is within the Attorney General’s portfolio, not the Minister for Communications etc.]

The review is specifically directed to  take into account amongst other things by point 5(b), (c) and (d):

  • b) ensuring the ongoing production and distribution of local and Australian content that reflects and contributes to the development of national and cultural identity;
  • c) the impact of policy settings on industry and government revenue;
  • d) appropriate ways to treat content, and the services and applications used to deliver content, which are cross-border in nature;

We also heard (or read) last week that the ALRC will be told to keep its hands off the issues covered by the Convergence Review.

The Review is to deliver their final report to Government by the first quarter of 2012.

The terms of reference.

The Minister’s speech (not to Parliament) announcing the release of the terms of reference.

A Mr Boreham, from IBM, will chair the review; a Mr Long, with a background from the regulatory agencies, will be the second member and a third member is to be announced.

An earlier time, when “convergence” seemed new (and iTunes and P2P) were not even twinkles in our computer monitors (pdf).

Convergence Review: Let the bun fight(s) begin Read More »

Copyright reform agenda

The Commonwealth Attorney General’s opening address to the Blue Skies conference is here.

Some excerpts:

International reforms:

While recognising that the challenges of the digital era are a global, not just national, issue, the Attorney General identified access to cultural works by the visually impaired as an area for early action:

An example of one area in which I am particularly keen to see a result this year in the international arena is overcoming copyright barriers for visually impaired people in accessing copyright works in suitable formats. I understand that internationally, only five per cent of all works are available in accessible formats for the visually impaired.  This is an unacceptable statistic and an acute problem for developing countries.

If there were hisses and boos from the audience, let’s hope it was for the right reasons!

On the domestic front:

  • a straight bat played to yesterday’s iiNet decision
  • a consultation paper will be released soon on who should be the beneficiaries of the ‘safe harbour‘ regimes, currently limited to the indecipherable “carriage service providers

For example, the definition excludes entities that do not provide network access but provide online services – Google and Yahoo are obvious examples of this category.

(That is the Attorney General’s example, not mine.)

  • possible introduction of a new “ad hoc” exemption to the technological protection measures (see e.g. s 116AN(9))

The Copyright Advisory Group has approached me for an additional exception to allow circumvention of technological protection measures for certain education purposes.

In particular they have sought an exception that would allow schools to change the format of films from DVD to MP4 for teaching purposes.

It would seem that what is to be referred still involves considerable clarification. One area flagged:

I believe there would be merit in examining some exceptions under our law in the context of the online environment and whether the correct balance exists.

Another which the ALRC will not be allowed to cut across:

It will be important to not duplicate work undertaken by Government on various policy issues, or in the course of related reviews -for example the Government’s Convergence Review.

So, it seems the Convergence Review will not just be “regulatory”.

Lid dip: Jane Treleaven

Copyright reform agenda Read More »

iiNet still wins

Appeal dismissed:

Roadshow Films Pty Limited v iiNet Limited [2011] FCAFC 23

SMH report

However, Jagot J dissented and Emmett J warned:

Even though the Copyright Owners are not entitled to the relief claimed in this proceeding, it does not follow that that is an end of the matter.  It is clear that the questions raised in the proceeding are ongoing.  It does not necessarily follow that there would never be authorisation within the meaning of s 101 of the Copyright Act by a carriage service provider, where a user of the services provided by the carriage service provider engages in acts of infringement such as those about which complaint is made in this proceeding.  It does not necessarily follow from the failure of the present proceeding that circumstances could not exist whereby iiNet might in the future be held to have authorised primary acts of infringement on the part of users of the services provided to its customers under its customer service agreements.

Lid dip: Sarah Matheson

iiNet still wins Read More »

Trans Tasman IP harmonising – patents

Prime Ministers Gillard (Australia) and Key (EnZed) have reaffirmed their countries’ respective commitment to closer co-operation in (industrial) IP matters between the two countries as part of the Trans Tasman Single Economic Market.

Apparently, over the next 5 years our countries will work towards:

  1. one regulatory framework for patent attorneys;
  2. one trade mark regime;
  3. one application process for patents in both jurisdictions; and
  4. one plant variety right regime.

According to the Statement issued on 16 February, the single application process for patents in both jurisdications will involve 2 stages. In the first stage, “both countries will rely on each other’s work, where possible, to build confidence and simplify processes”. In the second stage, there will be a “single examination process”.

Apparently, this will not involve changing either country’s patent laws as the Statement explains:

Examiners will grant or refuse applications under each country’s law. It will not be necessary for our laws to be identical.

and

Australia and New Zealand will operate as one integrated patent examination entity in practice – not in law. Both countries will retain flexibility to implement legislation and policies.

All this is forecast to take 3 years.

In contrast, streams 2 and 4 envisage one (trade mark or plant breeder’s) regime. That seems to indicate than one or other of our respective trade mark or plant breeder’s laws will need to change because (so far as I understand it – not very far at all, really) EnZed trade mark law is much closer to “modern” (ie. 1994) UK legislation and hence EU rules. Is it too soon to start boning up on ECJ rulings?

See also here and here.

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The fee for using music in gyms

Back in May, the Copyright Tribunal bumped up the fee payable for using recorded music in gym classes to $15 a class or $1 per attendee.

The Full Court has an allowed an “appeal” from that decision on the grounds of denial of natural justice. In setting the rate, the Tribunal had rejected the market survey relied on by the applicants, but had used the ‘rough and ready’ “pilot”. When the applicants opened the case, however, they expressly disavowed reliance on that first “pilot”. The subsequent evidence of the gym clubs referring to the survey was not sufficient to make it part of the case.

In short, the Full Court’s ruling does not affect principle (at least in terms of how much to pay); it is “procedural”, requiring the Tribunal to set the rate based on the material before it.

Fitness Australia Ltd v Copyright Tribunal [2010] FCAFC 148

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Gene patents

The Commonwealth Senate’s Community Affairs committee tabled its report into the patenting of genes towards the end of last month.

After commenting on the still continuing cases (in both the USA and here), the Committee noted:

The Committee will continue to monitor these important international and national legal developments, and notes that these cases may bring greater clarity to the application of the invention-discovery distinction to isolated genetic materials. As part of its watching brief on this area, the Committee may wish to revisit this issue if the area remains problematic following the outcomes of these cases.

The, after referring to the private members bill (see below), the Committee recommended:

The Committee believes that the introduction of the Bill to the Senate will provide a further, and much-needed, opportunity for the arguments and questions around the impacts and effectiveness of an express prohibition on gene patents to be considered. The Committee is of the view that a Senate inquiry into the Bill should be undertaken, with a focus on the specific terms of the proposed amendments and the implications of their implementation for human health and other potentially affected fields of innovation. The Committee notes that its inquiry into gene patents has served a valuable purpose in bringing the issue of gene patenting to the light of public interest and attention, and provides a sound basis on which a targeted inquiry into the Bill can build. Accordingly, Recommendation 3 of the report requests that the Senate refer the Bill to a relevant Senate Committee for inquiry and report.

Then, there are a bundle of recommendations:

  • increase the threshold requirements of patentability (improve patent quality);
  • reduce the scope of patent claims;
  • reinforce mechanisms and policies by which governments can and should intervene with the rights of patent holders; and
  • assist judicial interpretation of the Act and establish an external accountability and quality control mechanism for the patent system.

Recommendation 9 appears directed at the Lockwood No 1 ruling:

5.175    The Committee recommends that the Patents Act 1990 be amended to introduce descriptive support requirements, including that the whole scope of the claimed invention be enabled and that the description provide sufficient information to allow the skilled addressee to perform the invention without undue experimentation.

Recommendation 16 called for the establishment of a patent audit committee.

Patentology commented here.

In the same week, Senators Heffernan, Coonan, Stewart and Xenophon and introduced their private members’ bill, Patent Amendment (Human Genes and Biological Materials) Bill 2010, which (according to the Parliamentary bills summary) is intended prevent the patenting of biological materials which are identical or substantially identical to materials as they exist in nature.

As Patentology reports here, it has been referred to the Senate’s Legal and Constitutional Affairs Committee for inquiry. Your comments are requested by 25 February 2011 and the Committee is scheduled to report by 16 June 2011.

In a different environment, the US Justice Department, perhaps surprisingly, filed an amicus brief in the Myriad appeal supporting the District Court’s conclusion that the patent was invalid.

Gene patents Read More »

Still no copyright in (telephone) directories DownUnder

The Full Court (Keane CJ, Perram and Yates JJ) have dismissed Telstra’s appeal in the Phone Directories case.

First impressions.

Given the (arguably) disparate reasoning in the 2 judgments in IceTV, the Chief Judge has to weave a rather tricky path. His Honour nonetheless clearly recognised:

[79] The reasoning of all the judges of the High Court in IceTV requires a revision of the relevance of skill and labour to the subsistence of copyright. ….

[82] The dicta in IceTV shift the focus of inquiry away from a concern with the protection of the interests of a party who has contributed labour and expense to the production of a work, to the “particular form of expression” which is said to constitute an original literary work, and to the requirement of the Act “that the work originates with an author or joint authors from some independent intellectual effort”.

Keane CJ then distinguished Desktop Marketing:

[86] On behalf of the appellants, it is argued that this case can be decided in favour of the respondents only if all the cases which have upheld claims to copyright in compilations (which are collected in Desktop Marketing) can be said to have been wrongly decided. But that is not so. None of those cases, nor Desktop Marketing itself, involved automated compilation as opposed to compilation by individuals. The decision of this Court in Desktop Marketing (and the older cases to which it referred) did not advert at all to the effect of an automated process in the making of the compilation in respect of which copyright was said to subsist.

(See also per Yates J at [177].) Accordingly, Keane CJ advanced as the principal reason for dismissing the appeal:

[89] The compilation of the directories was overwhelmingly the work of the Genesis Computer System or its predecessors. The selection of data and its arrangement in the form presented in each directory occurred only at “the book extract” or “book production” process. The compilations which emerged from the operation of the computer system do not originate from an individual or group of individuals. Indeed, none of the individuals who contributed to the production of the directories had any conception of the actual form in which they were finally expressed.
[90] In my respectful opinion, the decision of the trial judge must be upheld on the basis that the findings of primary fact made by her Honour establish that the WPDs and YPDs are not compiled by individuals but by the automated processes of the Genesis Computer System or its predecessors. That being so, it is neither necessary nor relevant to seek to come to a conclusion as to the sufficiency of the intellectual effort deployed by those individuals who provide data input to the computerised database. Their activities are not part of the activity of compilation: they do not select, arrange and present that data in the form in which it is published.

Similarly, Yates J said:

[130] In my view the primary judge was correct in concluding that the relevant compilations in the White Pages Directories (WPDs) and the Yellow Pages Directories (YPDs) for particular regions, as published by the appellants, were not original literary works for copyright purposes. The primary judge advanced a number of reasons for coming to that conclusion, including that much of the contribution to each work was not the result of human authorship but was computer-generated: at [5(2.3)]. In my view that finding alone justified the conclusion to which her Honour came on the question of copyright subsistence and is determinative of this appeal.

See also [165] and [167].

Perram J appears to have reached the same point albeit by what may rather be a somewhat different route. First, his Honour was willing to accept that the labour and effort spent in collecting, verifying and correcting the information may have assisted in establishing that the directories were original in the limited sense of not being copied from some other source. However, it did not qualify as “independent intellectual effort” (IceTV at [33]) or “sufficient effort of a literary nature” (IceTV at [99]” since it was not directed to the reduction of the collected data into the material form comprised of the directories. (See [104] and [112].)

Ultimately

[118] The Act does not presently deal explicitly with the impact of software on authorship (although this is not so in the United Kingdom: s 9(3) Copyright, Designs and Patents Act 1988 (UK)). But a computer program is a tool and it is natural to think that the author of a work generated by a computer program will ordinarily be the person in control of that program. However, care must taken to ensure that the efforts of that person can be seen as being directed to the reduction of a work into a material form. Software comes in a variety of forms and the tasks performed by it range from the trivial to the substantial. So long as the person controlling the program can be seen as directing or fashioning the material form of the work there is no particular danger in viewing that person as the work’s author. But there will be cases where the person operating a program is not controlling the nature of the material form produced by it and in those cases that person will not contribute sufficient independent intellectual effort or sufficient effort of a literary nature to the creation of that form to constitute that person as its author: a plane with its autopilot engaged is flying itself. In such cases, the performance by a computer of functions ordinarily performed by human authors will mean that copyright does not subsist in the work thus created. Those observations are important to this case because they deny the possibility that Mr Vormwald or Mr Cooper were the authors of the directories. They did not guide the creation of the material form of the directories using the programs and their efforts were not, therefore, sufficient for the purposes of originality.

Accordingly, as there were no human authors of the directories, they were not original works.

In taking this approach, it seems likely that it will prove very difficult for those using computer systems to store and manipulate data and to produce complicated “print outs” to claim copyright in those products.

On a more cheerful note, Keane CJ and Perram J both recognised the impracticality of a requirement that a copyright claimant must identify all the human authors by name.

Telstra Corporation Limited v Phone Directories Company Pty Ltd [2010] FCAFC 149

Lid dip “Rounders1990” (who presumably must update himself to “Rounders2010”).

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