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CCCA61_020-024,026,052.qxd:CCCA_V1No2_Recruiting-V1.qxd 02/07/2008 05:56 PM Page 22 Cover Story they’re not paying taxes for their ill-gotten revenues. In fact, they’re hurting the industry;not only the international indus- try, but oftentimes the local industry.” The IACC agrees, describing counterfeiters as “hardened criminals,exploiting consumers,businesses both large and small, inventors and artists, and children labouring in sweatshops in ThirdWorld countries.” Given the damage that can be done to a company’s repu- tation when fake products using its trade name are sold that can put consumers’ lives at risk, the stakes are high in com- bating the theft of intellectual property. Companies’ legal departments are often on the front lines of the struggle to fight this illegal trade and protect IP rights. Keeping tabs on a company’s IP and combating its misuse in foreign countries can be a mammoth undertaking — some companies’ lawyers work full-time on IP issues,while others have entire departments devoted to protecting it. “People have a perception that it’s more prevalent in Asia than in North America or Europe,” says Chang, but “it’s a problem all over the world.” Indeed, the United States Trade Representative (USTR) report named China and Russia to its 2007 priority watch list as the countries of greatest concern when it comes to denying adequate and effective protection of intellectual property rights. But ten other countries were also named as prominent offenders:Argentina, Chile, Egypt, India, Israel, Lebanon, Thailand, Turkey, Ukraine and Venezuela. Even Canada was retained on the USTR watch list, in part because “ In some developing countries, it’s eral enforcement raise concerns “Canada’s border measures and gen- about Canada’s implementation of difficult to convince individuals, or even the authorities, that piracy of the requirements of the WTO TRIPS Agreement.” intellectual property is a serious issue.They argue that the owners Protect your assets of intellectual property are big Corporate counsel should take inventory of the company’s intel- multinational companies that are lectual property before considering rich already, and that using such IP which countries it will be used in. Francis Chang, Partner ” registered in each country sepa- is a redistribution of wealth. Trademarks and patents must be rately, and, since it would be pro- all jurisdictions, the company must Blake, Cassels & Graydon LLP,Vancouver hibitively expensive to register in ROBER KARPA 22 CCCA Canadian Corporate Counsel Association SPRING 2008