BREAKING NEWS ABOUT WTO: ANTIGUA VS. US

[The Judge]

Re: BREAKING NEWS ABOUT WTO: ANTIGUA VS. US

No Judger, you are misinformed. The question of copyright or trademark arises in the country in which the material or mark is being used.

I stand corrected. This ruling has far fewer teeth than I had originally believed.

A World Trade Organization (WTO) arbitration panel granted Antigua's request to levy trade sanctions on U.S. intellectual property, for instance by lifting copyright on films and music to sell it themselves, prompting concern from Washington.

 

[Amsterdam]

Re: BREAKING NEWS ABOUT WTO: ANTIGUA VS. US

In Trade Ruling, Antigua Wins a Right to Piracy

By JAMES KANTER and GARY RIVLIN


PARIS — In an unusual ruling on Friday at the World Trade Organization, the Caribbean nation of Antigua won the right to violate copyright protections on goods like films and music from the United States — an award worth up to $21 million — as part of a dispute between the countries over online gambling.

The award follows a W.T.O. ruling that Washington had wrongly blocked online gambling operators on the island from the American market at the same time it allowed online wagering on horse racing.

Antigua and Barbuda had claimed damages of $3.44 billion a year. That makes the relatively small amount awarded Friday, $21 million, something of a setback for Antigua, which had been struggling to preserve its gambling industry.

The United States argued that its behavior had caused $500,000 damage.
Yet the ruling is significant in that it grants a rare form of compensation: the right of one country, in this case Antigua, to violate intellectual property laws of another — the United States — by allowing it to distribute copies of American music, movie and software products.

“That has only been done once before and is, I believe, a very potent weapon,” said Mark Mendel, a lawyer representing Antigua, after the ruling. “I hope that the United States government will now see the wisdom in reaching some accommodation with Antigua over this dispute.”

Though Antigua is best known for its pristine beaches and tourist attractions, the dozens of online casinos based there are important to the island’s economy as its second-largest employer.

By pressing its claim, trade lawyers said, Antigua could set a precedent for other countries to sue the United States for unfair trade practices, potentially opening the door to electronic piracy and other dubious practices around the world.

Still, carrying out the ruling will prove difficult, the lawyers say.
“Even if Antigua goes ahead with an act of piracy or the refusal to allow the registration of a trademark, the question still remains of how much that act is worth,” said Brendan McGivern, a trade lawyer with White & Case in Geneva.

“The Antiguans could say that’s worth $50,000, and then the U.S. might say that’s worth $5 million.” He predicted that “the U.S. is going to dog them on every step of the way.”

The United States has aggressively fought Antigua’s claims.
A W.T.O. panel first ruled against the United States in 2004, and its appellate body upheld that decision a year later. In April 2005, the trade body gave the United States a year to comply with its ruling.

That deadline passed with little more than a statement from Washington that it had decided it was in compliance.

From the start, the United States asserted that it had never intended to allow free cross-border gambling or betting. Those activities are restricted in the United States, though some form of gambling is legal in 48 states.
In May, the United States said it was rewriting its trade rules to remove gambling from the jurisdiction of the W.T.O.

Washington has agreed on deals with the European Union, Canada and Japan to change the treaty but not with several other nations, including Antigua.

On Friday, the United States trade representative issued a stern warning to Antigua to avoid acts of piracy, counterfeiting or violations of intellectual property rights while talks continue.

The trade office said such behavior would “undermine Antigua’s claimed intentions of becoming a leader in legitimate electronic commerce, and would severely discourage foreign investment” in the country.
<nyt_author_id></nyt_author_id>James Kanter reported from Paris, and Gary Rivlin from New York.

<nyt_update_bottom></nyt_update_bottom>
retrieved 12/22/07 from: NY Times

So the US has not "requested" Antigua wait to enact their retaliation but instead has "sternly warned" Antigua to wait.

The US trade office quote in the last paragraph seems to have rather ominous tone.

And the "talks" that are supposedly "continuing" are what? The US is talking to the US, buying time and planning strategy.

 

[Mr. Clean]

Re: BREAKING NEWS ABOUT WTO: ANTIGUA VS. US

I don't want to be misunderstood on any of this. In theory, it was a noble and worthwhile effort by Antigua to stand up to the United States. But it had two flaws. It is true that in the US, the only online gaming relates to horseracing. Antigua's claim that it could expand the types of online gaming far beyond that was drawing a very long bow. I think that damaged Antigua's chances, but of course it was an argument that it had to make. Ultimately, the $21 million award was linked to horseracing alone. Secondly, Antigua obviously has no serious standards of licensing, very similarly to the Kahnawake. It offered a base for massive fraud against American citizens, and still does. Kay MacDonald and Bernard Cort are not going to do anything about that very obvious flaw in the Antigua position. It's all going to be moot now anyways, when the US redefines their committment to the WTO agreement to eliminate online gaming.

 

[O'Royken]

Re: BREAKING NEWS ABOUT WTO: ANTIGUA VS. US

6 Month later.....

Perception by Antiguan citizens: We have the right to pirate and distribute.

Reaction by Antiguan Government: Our government is in compliance. These aren't our citizens who are pirating these are foreignors who are setting up shop in our country and we dont have the finances to police.

The worms are on the loose and are out of the can.

In the end it will cost the US billions to enforce and the tiny nation of Antigua will be too poor to help so they say.

News travels fast in our world and so will the pirates from all over the world who will soon set up shop in Antigua.

Antigua has no reason to police this.

 

[Mr. Clean]

Re: BREAKING NEWS ABOUT WTO: ANTIGUA VS. US

6 Month later.....

Perception by Antiguan citizens: We have the right to pirate and distribute.

Reaction by Antiguan Government: Our government is in compliance. These aren't our citizens who are pirating these are foreignors who are setting up shop in our country and we dont have the finances to police.

The worms are on the loose and are out of the can.

In the end it will cost the US billions to enforce and the tiny nation of Antigua will be too poor to help so they say.

News travels fast in our world and so will the pirates from all over the world who will soon set up shop in Antigua.

Antigua has no reason to police this.

Antigua has 60,000 citizens. A lot of them don't have much money. Nobody is going to set up shop to serve a market of 60,000 people with marginal incomes.

You can make knockoff Microsoft Office CD's in Antigua until you're blue in the face. Once they leave Antigua, they are still illegal CD's wherever else they end up. That being the case, you might as well have saved yourself the shipping costs and set up shop where your market really is. It's all illegal. Why bother going to Antigua?

I think there's this loopy idea going around that massive factories are going to be set up in Antigua to make Office copies, (as an example) and that these are going to be legal everywhere else in the world with some sticker that says Made in Antigua So It's Not Piracy in Your Country.

The maximum annual allowable piracy is up to a value of 21 million, IF THE US simply doesn't write a cheque once a year. Nobody's going to set up a factory for a 21 million market, assuming they got every bit of it, when the US could just write a cheque and no more piracy.

 

[JC]

Re: BREAKING NEWS ABOUT WTO: ANTIGUA VS. US

If Antigua does anything with software, music, or movies, it's going to be point click and download. The point of sale will be in Antigua.

If Antigua exports anything it will be high proced cancer drugs at cheap prices. It's a win win since even everyone in Congress hates big pharma. How can you argue with helping people get cheaper medicine?

 

[wrigley]

Re: BREAKING NEWS ABOUT WTO: ANTIGUA VS. US

If Antigua does anything with software, music, or movies, it's going to be point click and download. The point of sale will be in Antigua.

If Antigua exports anything it will be high proced cancer drugs at cheap prices. It's a win win since even everyone in Congress hates big pharma. How can you argue with helping people get cheaper medicine?

:cheers
I think most americans would give up offshore gambling for cheaper RX drugs this could be a blessing in disguise.

 

[sean1]

Re: BREAKING NEWS ABOUT WTO: ANTIGUA VS. US

If Antigua opens up to piracy, the reason people will set up shop there is the US gov does not have the time or manpower to arrest millions of citizens. The US goes after the big fish (The book, the pirate, the coke dealer, etc). If the pirate is in Antigua, they will be safe...

Sean

 

[Amsterdam]

Re: BREAKING NEWS ABOUT WTO: ANTIGUA VS. US

If Antigua does anything with software, music, or movies, it's going to be point click and download. The point of sale will be in Antigua.

This reminds me of the Russian .mp3 sites.

A .mp3 site served out of Antigua (and owned by Antiguans, to make it legal) would have free reign to rake in the cash. I don't know how much AllOfMp3 took in when it was in business, but probably easily in the millions.

And the fun part was that a lot (or most) of its business was to Americans. Downloading ultra cheap music from questionable sources has proven to be something Americans are happy to do. Very convenient and very low cost, not to mention low risk.

I'll bet at this very moment there are at least a few enterprising Antiguans ready to move on this. They'll enjoy the luxury of being untouchable by US influence, in theory.

And why stop at .mp3s?

Movies and software are wonderful to download too and Americans point and click like crazy for it. Low risk, ease of use, and low cost have made a handful of millionaires for sites like this in the past few years.

Throw in actual full-fledged armor-plated legal status and, wow, the place could become a pirate's haven of megalithic proportions!

If Antigua exports anything it will be high proced cancer drugs at cheap prices. It's a win win since even everyone in Congress hates big pharma. How can you argue with helping people get cheaper medicine?

Can't argue with that. :cheers