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LICENSING EXECUTIVES SOCIETY
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The LES B&I Annual Lunch is one of the highlights of the LES year.This year LES members are delighted to welcome, as our guest speaker, the Honourable Mr Justice Laddie. With his extensive knowledge of intellectual property and patent law there can be few people better qualified to address LES members
Pre-lunch meeting: "European patent law - All change?" Following last year's very successful pre-lunch meeting, LES B&I are pleased to offer its members and guests the opportunity to discuss the proposed changes to European patent law. Many of the changes will, if implemented, have profound effects on businesses operating in Europe and their advisers. They include fundamental reforms of the way in which patents are obtained and enforced here. By February 2001 the proposed changes will have been the subject of no less than three high-level diplomatic conferences - all in the last few months of 2000. A discussion of these changes on the morning of our Annual Lunch will provide a timely opportunity to bring yourself fully up to date and to contribute to the debate on their merits. The speakers will:
The Annual Lunch is an ideal opportunity for networking and meeting other LES members. Guests are welcome but please remember that places are limited, so register your attendance as soon as possible by contacting Renate Siebrasse (siebrasse@medtap.co.uk). Top President's DiaryThe LES Presidential year runs from July to June and this is the time of year when plans are formulated for the Society's major events in the Spring and Summer. The Annual Lunch, in February, will take place at The Savoy and we are very pleased to welcome Hugh Laddie as speaker. I also look forward to attending the Burns Evening in Scotland and LES Ireland's Annual Dinner in March. All three events are very popular and are ideal opportunities for meeting new members and old friends. Preparations for the AGM and Annual Conference are going well. We have an outline programme and details of speakers and workshops are now being finalised. Thus, this is probably the busiest time for me and, if preparations proceed at a reasonable rate, I should be able to relax a little and play some golf in the early New Year - weather permitting! As President, I have attended the council meetings and the evening meetings in London, and also the Midlands meetings. Unfortunately, as did many others, I fell victim to the rail problems with many trains from Nottingham being cancelled, and those that did run taking 4 hours which resulted in my missing the November council and evening meeting. Let us hope that things improve quickly! Finally may I wish you all a very Happy Christmas and a peaceful New Year. I look forward to seeing you at the Annual Lunch at The Savoy and at the Annual Conference at St Catherine's College, Oxford, in June. Chris Goodman
Opportunities for LES members in the NHSMembers are probably aware that all NHS Trusts and Primary Care Practices doing R&D are required to manage their intellectual property. A huge amount of training is needed to help with the understanding of intellectual property. There may well be opportunities for members to become training providers. A list of NHS organisations receiving funding can be found on the Department of Health home page on: www.doh.gov.uk/. Click on Research and Development and then, under the heading NHS R&D, on Organisation and Delivery. Finally, R&D Support for NHS providers will lead you directly to the organisations and their funding. Why not contact the R&D manager (or equivalent) in the organisation? Dr Tony Bates, NHS Intellectual Property Adviser |
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Will Noah open the floodgates?Can we expect to see the reintroduction of extinct species? The future may be brighter than expected for one of the world's many endangered animal species, thanks to cloning research being carried out by a team of US bioscientists. Researchers at Massachusetts-based biotechnology firm, Advanced Cell Technology (ACT), have announced that they are attempting to clone the gaur, or Indian bison. The existence of this huge, ox-like creature has come under threat in recent years, says ACT. A number of biotechnology companies are currently looking at ways to exploit the new field of animal cloning technology, which grabbed the headlines three years ago following the birth of Dolly the (cloned) sheep. ACT has obtained an exclusive license to use a cloning procedure patented in the US by the University of Massachusetts, which also has related patent applications proceeding elsewhere around the world. It is this cloning technique that gave us Charlie and George, the first cloned transgenic cows, produced from genetically altered body cells in 1998. In ACT's latest experiment, cells derived from the skin of a bull gaur were each fused with a domestic cow egg cell from which the DNA-containing nucleus had first been removed. Resultant embryos were implanted into the wombs of cows, the majority of which, as is common in such animal cloning experiments, miscarried. However, one of these cows is due to give birth this month, to what ACT believes will be a normal gaur calf. Although the calf will not be 100% gaur, due to a small amount of the donor cow's DNA remaining in the egg cell during the cloning process, he will be the first cloned animal conceived using an egg and surrogate mother of an entirely different species. The scientists behind this remarkable research have apparently already named the calf Noah, after the Biblical character who rescued the world's animals from destruction. Not everyone is convinced that cloning is the best strategy for animal conservation however, and in fact the 'endangered' status of the gaur has been questioned. In addition, the inherent difficulties known to be associated with animal cloning techniques, including high rates of miscarriage and physiological abnormalities, are proving difficult to overcome in many cases. Undeterred, ACT has apparently now set its sights on the recreation of an animal species that has already become extinct. The last known bucardo, a species of Pyrenean mountain goat, died earlier this year, and Spanish scientists took tissue samples from its body for cryogenic storage. It is thought that the close genetic relationship between domestic and mountain goat species may allow the extinct bucardo to be resurrected through cloning using DNA from these frozen cells and egg cells from domestic goats. Should ACT's cloning research prove successful, it may herald a new era in animal conservation. Indeed, a number of other research groups are already investigating the possibility of cloning the endangered giant panda, and a major publicly funded project is underway in Australia to resurrect the long-extinct Tasmanian tiger through cloning. Dr Michael Douglas
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'THE EFFECT OF THE DISTANCE SELLING REGULATIONS'LES SPECIAL MEETING 8 SEPTEMBER 2000 Just a couple of days before the LES special meeting on the distance selling regulations, the DTI dropped a bombshell - substantially revising the regulations and addressing all the controversial points that were to be discussed! To suppliers the changes are a godsend, but to the speakers, geared up to debate the drafting problems of the original regulations, the changes were a slight inconvenience! However, Ben Goodger, chairing the meeting, decided to turn it into an impromptu, seminar-style gathering, and it was a great success. Dai Davis guided the assembled members through the altered regulations, which came into force on 31 October 2000. The changes include:
In fact, many of the major business concerns have been addressed, leaving less controversial and better balanced regulations between the supplier and the consumer. This is, of course, in comparison with the rather unbalanced nature of the directive to which the DTI was previously working! Fortuitously, Mr Graham Willmington from the DTI, who has been closely involved in the formulation of the regulations, was present. He gave an invaluable insight into the thought processes and reasoning behind the changes. Apparently, the DTI had become aware that the original regulations were substantially and unacceptably biased towards the consumer and had aimed to redress the balance, as much as it was able within the constraints of the directive, through the alterations. Indeed, Ellen McLaughlin's (Redcats (UK) Ltd) presentation highlighted how, in practice, the old regulations were likely to be very burdensome on reputable distance selling companies. She commented that had the regulations remained unchanged, they would have resulted in severely increased costs for companies and made fraud and debt avoidance by the customer easier. Dai Davis raised the interesting question of which business models fall into the category of 'distance selling'. He outlined scenarios in which a consumer may buy a product in a shop but conclude the contract at home by filling out information on the Internet, or order goods on the Internet but pick them up in-store. This sparked off a lively debate on the intricacies of contract law - when does a contract begin and end and when has it truly been completed at a distance? Dai Davis also pointed out that he found much of the regulations' wording to be ambiguous. In particular he noted that 'the main characteristics of the goods', required as prior information, was somewhat subjective. He cited the difference in opinion between one person and another as to whether the colour of a microwave was a 'main characteristic'! In addition, the problem of what exactly the phrase 'durable medium' refers to was discussed; does it include email, fax or SMS? Graham Willmington from the DTI commented that it had been impossible for the draftsmen to be more specific in an age of evolving technology. However, the conclusions reached by the group were that email is a durable medium, especially as the e-commerce directive defines it as a category of writing. However, it was generally felt that SMS was too temporary to be 'durable' and at present it is in practice too limited by character restriction to be a problem. A further point of debate was the jurisdiction of the regulations. Dai Davis raised the possibility of getting round the fact that sites outside the EU do not have to comply, by enforcing the regulations against the credit arrangers that the consumer uses to purchase the products. Ben Goodger also argued that the regulations themselves provide a solution as they apply wherever the contract has a 'close connection with the territory of a member state'. He argued that delivery to the member state must surely be seen as having a 'close connection' with the state. In summary, and despite some last-minute rejigging just before it started, the meeting was a great success - stimulating and practical. The new regulations are to be welcomed as redressing an unfair balance in favour of the consumer. Although some of the phrases in the regulations still appear ambiguous, it was hoped that in practice this will make very little difference. Emma Mervick, Willoughby & Partners For further information on the activity of the LES IT and e-commerce special interest group, contact Ben Goodger of Willoughby & Partners: ben@iprights.com; 01865 791990 Top CLICK-USE-PAY - HEWITTAn update of the Government's plans to boost the knowledge economy following the Spending Review 2000. In September E-Minister, Patricia Hewitt, announced new plans to boost the knowledge economy by overhauling the way Government information can be acquired and reused by publishing and Internet businesses. This follows the Government's review of the knowledge driven economy as part of the Spending Review 2000. Under new plans businesses will be able to repackage and re-present Government information, providing new and exciting products for their customers. Such information includes data about health, house prices, schools performance tables, crime, census results, navigational charts for shipping, maps and meteorological data. Speaking at the 'Start-Up $1 Billion' conference Ms Hewitt said: "Government information is the largest information resource available to the UK. It must be widely available to businesses so they can develop it for the full benefit of the UK economy. "We want commercial organisations to be able to access Government information more easily and at a fair price. That will allow them to repackage and reuse it to develop innovative products and services which boost the knowledge economy." The new plans include:
Government departments and agencies will continue to be free to develop value-added services charging market prices, provided this can be achieved openly with a level playing field among all participants. The report on the review of Government information also recommends that public sector copyright owners other than the Crown, such as local authorities and non-departmental public bodies, review their charging and licensing strategies. E-Government Minister Ian McCartney said: "I strongly support these changes which are designed to deliver streamlined and simplified access to Government's most important asset - its information. The repositioned HMSO with enhanced and strengthened responsibilities will continue its key role in encouraging the widest use of official information." Summary of key reforms
For further information, please see the HMSO and DTI websites: www.dti.gov.uk and www.hmso.gov.uk. Information provided by Carol Tullo, Controller of HMSO and Queen's Printer. Carol was a keynote speaker at LES Harrogate Conference in July. Top News and Meeting Reports from the RegionsIncluding LES Ireland, LES NE Region - meeting report, LES North West - meeting report and LES London Region - meeting report LES IRELANDLES Ireland Annual Dinner will be held on Friday March 2nd at the Conrad International Hotel in Dublin. This is a very popular event and members are encouraged to bring guests and partners. LES B&I will hold the March council meeting in Dublin so that council members may share the occasion and meet some of LES Ireland members. If you are thinking of spending a weekend in Dublin in the Spring why not join us on 2nd March? This event is an excellent networking opportunity and we look forward to meeting many of you there. For more information please contact: mswords@arthurcox.ie. LES NW REGION -Meeting Report Nicola Amsel reports that the meeting held on 7th November at the 39 Steps restaurant in central Manchester was very well attended. Mr Tom de la Mare, Barister at Law, Blackstone Chambers, London gave a detailed and informative talk entitled " The Impact of the Human Rights Act on Intellectual Property". This talk certainly gave those who attended pause for thought on such matters as Anton Piller orders, the standing of the courts and the officers of the courts. A very lively debate followed the talk. The next LES NW meeting will be on 4th December at Yang Sing restaurant on Princess Street, Manchester, when Neales de Voss will address the group concerning the exploitation of IP in the Commonwealth Games project. For details please contact:
LES NE REGION - Meeting Report"THE LEGALITIES OF E-COMMERCE" Castle Donington is more commonly known for its racing motorbikes and fast cars. It has now, however, been put on the map for something even more racy, a talk by Daryl Jones on the legalities of e-commerce, at a meeting hosted by the East Midlands group on 19th October 2000. Daryl, an assistant solicitor with Browne Jacobson's IT/IP team, provided an A to Z (despite everything starting with an "e") guide to the Internet, looking at the impact of intellectual property issues on the Internet and the latest legislative and case law developments. He highlighted the challenge faced by the legal profession, both in applying existing laws to the new communications phenomenon and in trying to predict the impact of future legislation when looking to provide practical solutions to the issues clients are exposed to by the world wide web. Looking first at the latest issues relating to intellectual property and the Internet, Daryl provided an update in respect of cyber squatting, metatags, word stuffing and hyperlinking and a review of the copyright issues in Napster. He also commented on the topical issues of the patentability of software and business methods in relation to e-commerce. Moving then on to more hard-core legal issues, Daryl provided an update on European and domestic legislation, namely, the 'E-commerce Directive', Electronic Communications Act, 'Distance Selling Regulations', 'Electronic Signature Directive' and the Regulation of Investigatory Powers Act. A look at the impact of recent case law resulted in an enthusiastic debate led by Chris Goodman, LES B&I President, surrounding the dilemma faced by Argos and the mis-pricing of televisions on their web site. You heard it here first, but it is quite possible that Chris's last television cost him more than the £2.99 he was hoping it would! Report by Mark Snelgrove.
LES LONDON REGION - Meeting Report"MEETING THE CHALLENGE OF BUSINESS METHOD PATENTS" Jeffrey Mills, the London-based partner of US law firm Kirkland & Ellis, discussed business method patents with an audience of almost seventy people at LES London region meeting on November 15. Business method patents are the most hotly debated issue in US IP law at the moment, with over 30,000 applications pending. Broad patents are being granted ranging from '1-click ordering' from Amazon.com to 'Wireless Application Protocol' from Geoworks. Even our own BT has not been left behind with their patenting of 'hyperlinking'. The audience was not surprised to learn of the proliferation of business method patent litigation in the US such as Amazon.com v. BarnesandNoble (1-click) and Sightsound v CDNow (music downloads). However, the crucial message is that published decisions indicate that business method patents are being treated like any other patent and need to be taken seriously. The US Patent Office has responded by increasing the review of business method patent applications; 'prior art' software depositories are being created (e.g. www.spi.org), and a new First Inventor Defence has been created. Jeffrey suggested a number of steps to meet the challenge, including auditing the business, making patent applications, keeping records, reviewing agreements with staff and consultants, having adequate indemnities and warranties, reviewing insurance policies, limiting liability via web site terms and conditions, archiving, and adopting a proactive strategy for investigating patent risks. The implications for licensing were the need to be able to identify a royalty paying event and its location, followed by tracking and reporting, ensuring adequate rights and definition and ownership of improvements. Nigel Jones responded on behalf of LES by thanking Jeffrey for his presentation and said that business method patents were difficult but not impossible in Europe. Jeffrey left the audience with the thought that if George Bush had patented the manual counting of punched ballot papers his passage to the White House would have been a lot smoother! Report by John Roe, Secretary LES B&I Top LES B&I Council Members -Renate Siebrasse - A Profile Long-time members of LES B&I and LESI worldwide will certainly recognise Renate Siebrasse but, for recent members of the Society, Renate's name will be mainly associated with "paying your subscription" and "registering attendance at meetings and conferences". Born in Herford, West Germany, Renate moved to Frankfurt in 1960 to join Battelle, an international research organisation. Two years later, taking full advantage of her bi-lingual skills and her Diploma in Business Administration, the company sent her to London, where she has remained ever since. Renate and Ernie, who have been married since 1963 and have two grown-up sons, now spend an increasing amount of time in their newly acquired flat in Paris. Since Renate joined LES B&I in 1982 she has been very generous with her time and commitment, holding many positions within the Society where she is currently:
It is difficult to see how Renate has time left for her many other interests but as she says,
Watch this space!" Top Parliamentary ReceptionMichael Connor and Stephen Powell attended a reception at the House of Commons terrace on 26 October 2000. Dr Kim Howells, Minister for Competition and Consumer Affairs, spoke about the growing importance of intellectual property in a number of diverse areas. Ian Harvey of BTG also spoke briefly. The number of parliamentarians attending was disappointing but the Intellectual Property Awareness Group, the body organising the reception, has already identified several useful avenues to follow. One clear message is that any initiatives need to be focused on specific aspects of intellectual property. For example, Ian Taylor MP has suggested contact with an existing parliamentary interest group considering e-commerce issues. An advantage of the IPAG is that any approaches would be seen as less partisan than those of its individual constituent organisations. Stephen Powell
Top Facilitating data transfers to the US - a 'safe harbor' agreement at lastTransferring personal data from Europe to the United States even within a group of companies can breach data protection laws. The 'safe harbor' agreement between the US Department of Commerce and the European Commission, which came into effect earlier this month, establishes a framework within which data will be able to be safely transferred to the US. The 'safe harbor' agreement enables US organisations to sign up to a set of data protection principles which the EU regards as adequate and permits data to be transferred to those organisations as freely as it can be transferred within Europe. The principles include the following:
Should you wish to send personal data to the US you should check the Safe Harbor List at http://www.export.gov/safeharbor. If the body you are sending to is not on the list, you will need to find an alternative way of establishing 'adequacy'. This can be done by way of an appropriate contract with the proposed recipient. Rouse & Co. International Limited 2000 Top New MembersCouncil has been pleased to welcome the following new members to the Society:
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