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Brazil Charged with Leading a World Gang of Intellectual Property Predators

Pirated goods are a serious problem in Brazil

Pirated goods are a serious problem in Brazil American trade and regulatory expert Lawrence Kogan, in a new University of Miami Inter-American Law Review article entitled, "Brazil's IP Opportunism Threatens US Private Property Rights,"  tracks how Brazil is navigating internationally to 'railroad' the great American engine of intellectual property-based innovation and economic growth.

According to Mr. Kogan, "During the past decade, Brazil has quietly assembled a gang of masked IP marauders including socialist-minded foreign governments, United Nations bureaucrats, health and 'open source' extremists and American multilateralists, each brandishing six-shooters replete with negative sustainable development bullets.

"Like the desperadoes of the old American West, they plan to hold up the locomotive, loot its treasures (research & development) and ransack its passengers' commercially valuable possessions (IP-rich assets). 

"They will then send the leading innovators off into the sunset toward a new international economic horizon (order) where proprietary technological know-how & testing data will be treated as 'universally accessible,' 'open source,' and essentially free of charge to developing country riders."

"Should this marked train ever leave the depot and such robbery take place," warns Kogan, "The constitutionally protected private IP rights of U.S. citizens will effectively be converted into 'public international goods' without payment of 'just compensation'."

"The Brazilian government has not only sought, through regulation of information and healthcare technologies and non-enforcement of IP law, to lay new global rails that facilitate below-cost national procurement of computer software, pharmaceutical products, medical devices, and health services," says Kogan, "but it has also led or actively joined other outlaws (e.g., Thailand, Kenya, Argentina, South Africa) stalking at least seven different Geneva-based UN stations."

"Most alarming of all," Kogan emphasizes, "the train's restyled caboose has been commandeered by France, Norway and Sweden, OECD nations that offer weaker private property right protections than does America, and by liberal U.S. politicians campaigning to redeem America's image abroad."

Mr. Kogan questions whether "these same bandits will strike during the upcoming April 2007 EU-US summit, a primary goal of which is to bridge transatlantic chasms in IP regulatory law."

The Institute for Trade, Standards and Sustainable Development (ITSSD) is a non-partisan non-profit international legal research and educational organization that examines international law relating to trade, industry and positive sustainable development around the world. This study is accessible at: www.itssd.org/Publications/IAL105-II(frompublisher)%5B2%5D.pdf.

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  • Lawrence Kogan

    Read the Law Review Article
    Thank you all for your comments concerning the above noted article, which accompanies the Univ. of Miami Inter-American Law Review study. This article was intended to evoke images of people taking what does not rightfully belong to them. Generally speaking, a ‘property right’ is an individual right of ‘exclusion’.

    To the extent that Brazilian ‘tropicalizing’ intrudes upon the defined exclusive property rights of others (e.g., Brazilian as well as non-Brazilian creators, inventors, rightsholders, etc.), we argue that it violates current international law. Individuals or groups may make the independent choice to ‘share’ and open up their property rights to whomever they wish. But, to base national and/or international industrial/technology innovation policy on this notion presents grave concerns which we have outlined.

    The study emphasizes the private property basis for IP enshrined in the US Constitution which also happens to be the model for the current post-WWII international legal paradigm. Brazil’s unrealized potential is largely due to the inability of Brazilian companies to have their private property adequately recognized and protected under Brazilian law. They lack the confidence to invest in Brazil because they may not own at the end of the day what should rightfully belong to them – their labors and investments.

    Please read the accompanying law review article, as well as, the prior study we prepared last fall 2006 for the International Journal of Economic Development. It is entitled,
    “Rediscovering the Value of Intellectual Property Rights: How Brazil’s Recognition and Protection of Foreign IPRs Can Stimulate Domestic Innovation and Generate Economic Growth”. This study has been referenced by the INFOTERM division of UNESCO. Collectively, the studies on the ITSSD website (some of which some have debated) have resulted in the UNESCAP designating the ITSSD website as a “SELECTED WORLDWIDE WEBSITE” and the ITSSD as an “INFORMATION SOURCE FOR TRADE AND ENVIRONMENT”.

    We would be pleased to anwer any questions and to respond to your comments once you have read the study which you have criticized in this blog.

  • Rohit kapur

    cool
    A typical example is the car industry ! Of all the R&D in the EU, 20 % goes to R&D in cars. You obliged foreign manufacturers to build plants locally so that they would have a lower import tax. this created millions of direct and indirect jobs mostly well paid based on Brazilian standards. But you keep the import tax rate of foreign made cars at….100 %. to protect your workers.
    Finally you expect your car manufacturers, ALL foreigners…to export their cars…in fact…to their own countries.
    Please read the accompanying law review article, as well as, the prior study we prepared last fall 2006 for the International Journal of Economic Development. It is entitled,
    Now, let’s just let “other” countries spend billions in research and development, let them charge the first world countries astronomical prices, so they people in “poor” countries can get prices of around 10-15% of the prices in first world countries, and then, if it’s more expensive than we like, let’s just STEAL the f**king recipes!!

    “Rediscovering the Value of Intellectual Property Rights: How Brazil’s Recognition and Protection of Foreign IPRs Can Stimulate Domestic Innovation and Generate Economic Growth”. This study has been referenced by the INFOTERM division of UNESCO. Collectively, the studies on the ITSSD website (some of which some have debated) have resulted in the UNESCAP designating the ITSSD website as a “SELECTED WORLDWIDE WEBSITE” and the ITSSD as an “INFORMATION SOURCE FOR TRADE AND ENVIRONMENT”.

  • bo

    [quote]Brazil’s unrealized potential is largely due to the inability of Brazilian companies to have their private property adequately recognized and protected under Brazilian law. They lack the confidence to invest in Brazil because they may not own at the end of the day what should rightfully belong to them – their labors and investments.[/quote]

    Brazil is ass-backwards in case you haven’t noticed. They talk out of the sides of their mouths. They say they want to attract all types of investment, domestic as well as foreign, but the regulations and laws in place certainly don’t advocate it.

  • bo

    [quote]The United States has dropped its complaint at the World Trade Organization against Brazil over its patent law, and is notifying the Dispute Settlement Body (DSB) to this effect, in what is being presented as a ?mutually satisfactory solution,? that leaves Brazil to pursue its successful health policy to combat AIDS, and enables the Bush administration to salvage itself from a public relations disaster for backing its pharmaceutical lobby against a developing country and the poor, on the emotive issue of the HIV/AIDS pandemic, with political and economic overtones.”[/quote]

    That’s all fine and dandy Snowbat, once again, U.S. citizens and american/european drug companies are left to pick up the tab! It wouldn’t be so bad if brazil didn’t lose [b]BILLIONS[/b] every year to CORRUPTION! Kind of hard to feel compassion for a country whose people allow their politicians steal billions and go unpunished!

    Now, let’s just let “other” countries spend billions in research and development, let them charge the first world countries astronomical prices, so they people in “poor” countries can get prices of around 10-15% of the prices in first world countries, and then, if it’s more expensive than we like, let’s just STEAL the fucking recipes!!

    At least before you STEAL something it would be nice if you could ASK if you could “borrow” it first, don’t ya think? How would ya like it if the drug manufacturers just decided to stop selling to countries in which their gov’ts. stole the formulas??? Then you’d be left to brazilian pharm’s??? LOL!!! Good luck with the macumba in Bahia!

  • Snowbat

    What a crock…
    > Brazil has quietly assembled a gang of masked IP marauders including socialist-minded foreign governments
    Foreign as in non-USA? No GOP candidates? Wearing Zorro masks? Those crazy Brazilians – what were they thinking electing Brazilians, and a flavor that doesn’t exactly match your taste too, eh?

    > United Nations bureaucrats
    http://www.vexen.co.uk/USA/un.html
    “The USA abuses the UN more than any other country, constantly trying to bribe and buy influence, yet is notorious for owing most to the UN, despite the USA’s heavy use of it, and wealth. This intolerable attitude towards world consensus causes hatred of the USA at the highest levels in all countries in the world, except Israel, which is perhaps the USA’s sole benefactor.”

    > health
    http://www.twnside.org.sg/title/tactical.htm
    “Geneva, 25 June 2001 – The United States has dropped its complaint at the World Trade Organization against Brazil over its patent law, and is notifying the Dispute Settlement Body (DSB) to this effect, in what is being presented as a ?mutually satisfactory solution,? that leaves Brazil to pursue its successful health policy to combat AIDS, and enables the Bush administration to salvage itself from a public relations disaster for backing its pharmaceutical lobby against a developing country and the poor, on the emotive issue of the HIV/AIDS pandemic, with political and economic overtones.”

    > and ‘open source’ extremists
    http://uptime.netcraft.com/up/graph?site=itssd.org
    Kogan’s own site runs Apache on Linux – he must be one of those ‘open source extremists’! Shame on him for not paying the Microsoft tax.

    > and American multilateralists
    I have no clue what this refers to but hey, what a soundbite – and that’s what matters, riiiight?

    > the upcoming April 2007 EU-US summit, a primary goal of which is to bridge transatlantic chasms in IP regulatory law.
    ‘s/transatlantic chasms/the IP regime brought to you by Hollywood, the RIAA, and the finest government big business can buy/’

    http://news.bbc.co.uk/2/hi/technology/6379309.stm
    “Internet law professor Michael Geist takes a look at intellectual property protection in the US and finds it somewhat out of step with the rest of the world.”

  • ch.c.

    Dead right !
    That is what I have said time and time again !
    Brazil is alwayss begging for favors in trades, but unwilling to reciprocate.
    You want to get everything for free at whatever cheating, lies and trick is necessary.
    You dont invest in R&D, expecting others to do it, but then want to produce the goods at a cheapear price since you did not have
    the R&D costs.
    A typical example is the car industry ! Of all the R&D in the EU, 20 % goes to R&D in cars. You obliged foreign manufacturers to build plants locally so that they would have a lower import tax. this created millions of direct and indirect jobs mostly well paid based on Brazilian standards. But you keep the import tax rate of foreign made cars at….100 %. to protect your workers.
    Finally you expect your car manufacturers, ALL foreigners…to export their cars…in fact…to their own countries.

    Lets face it quite simply, despite you should have a lower cost base, that is not the case. It happens that some cars made in Brazil are sold
    locally at a higher price than in the UK for a similar model !!!!! And this due top your high cost base, low productivity and high tax rates !!!!

    More dirty tricks….there is not !!!!!

    You have gangs of criminals.
    You have gangs of corrupted politicians.
    You have gangs of cheaters and liars in your government.

    More tricky than Brazilians, there is not !!! And wether you like it or not, I am not the only one saying it. Just re-read the above article

  • forrest allen brown

    WELL BRAZILIAN WHAT DID I TELL YOU
    we think they take culture brazil

    cant place the blame on brazil total as the US goverment has not enforced the laws in so long now it is trying to stop it like the immigration

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