Asean Innovations

IP Bali

Weak protection to intellectual property rights in Indonesia has resulted in violation and piracy to intellectual property right in the country. Among the reasons is reluctance of the original inventors to register their invention to the Directorate General of Intellectual Property Rights. Ironically there have been many cases that the invention then registered by someone else who then hold legal ownership of the invention. In respond to complicated problem related to intellectual property rights implementation in Bali, Udayana University through its Center for Intellectual Property Rights in cooperation with the Provincial Government of Bali has elaborated a plan on efforts to protect intellectual property rights on Balinese traditional inventions. The team has started its work by recording and documenting Balinese traditional intellectual properties.

“Legal paperwork on the formation of intellectual property rights in Bali will soon be issued,” said the Chairman of Udayana University’s Center for Intellectual Property Rights, Ir. I Nyoman Aeya Thanaya, M.E., Ph.D. in an interview during the event of socialization on intellectual property rights to universities on Saturday (December 6th) at Widya Sabya Usadha hall of Udayana University.

The socialization of intellectual property rights was officially opened by 4th Deputy of the Rector of Udayana University Prof. De. Ir. I Gede Putu Wiraman, M.Sc. and presented two panelists, Arya Thanaya and Ngakan Ketut Dunia, S.H. M.Hum. Arya Thanaya presented a session on importance of understanding and law protection to intellectual property rights. Ketut dunia presented a paper titled “Protection System of Intellectual Property Rights in Indonesia”.

Arya Thanaya said that a number of cases on intellectual property rights in Bali including the recent case involving traditional silversmiths have proven the importance of understanding and protection on intellectual property rights of tradition owned by Balinese community. Registration of intellectual property rights of Balinese traditional design by foreigner will negatively affect Bali export, but also became threat to intellectual property right of Balinese traditional artistic treasure.

Learning from the case, Arya Thanaya exposed the importance to give sufficient information about intellectual property rights in integral and easy-to-access way. He expected that the event will accelerate socialization to Balinese people.

4th Deputy of the Rector of Udayana University admitted that to obtained patent certificate from the Directorate General of Intellectual Property Rights takes quite a long time. Furthermore high cost to register intellectual property rights has also prevented inventors to register their inventions.

Business & Economy, Law & Regulation

www.villarentalbali.com/balinews/2008/12/07/intellectual-property-rights-in-bali/

More innovations for the Philippines

Luzon, Philippines -- The Department of Science and Technology (DOST) under “Filipinnovation,” a brand name for a multi-sectoral Philippine national innovation program is partnering with private firms, academic institutions and government offices namely the University of the Philippines, Mindanao State University, Department of Agriculture, Board of Investments, Intellectual Property Office Philippines, Asian Institute of Management, IBM Philippines, Ateneo De Manila University, Mapua Institute of Technology, among others. The program intends to build the country's human resource capital; support business incubation; revive environment for innovation policies and upgrade Filipino mindset on innovation.

Intellectual property as loan collateral

MANILA, Philippines - Companies should start securing patents for their trademarks, products, manufacturing processes, and designs because these intangibles are assets which can later on be used as collateral for bank loans, intellectual property authorities Wednesday said.

The trend is gaining acceptance worldwide, the Intellectual Property Office of the Philippines (IP Philippines) said, and once allowed in the country, even small- and medium-sized firms can benefit.

The government is working with different agencies including the state-owned Development Bank of the Philippines (DBP) to create a scheme that will allow firms to secure loans by pledging their intellectual property, said Eugeniano E. Perez III, National IP Policy Strategy director, at the sidelines of a forum on protecting IP rights.

Government banks in Thailand already process loan applications with IP assets as collateral. Banks first verify with the IP office that such an asset is registered. They then assign a value to the asset and lend a corresponding amount, guidelines from the Thai intellectual property department website state.

The Philippines also allows the practice although banks still prefer tangible assets like real estate as collateral for loans. The General Banking Act of 2000 states that "loans and other credit accommodations on security of chattels and intangible properties such as, but not limited to, patents, trademarks, trade names, and copyrights shall not exceed seventy-five percent (75%) of the appraised value of the security."

DBP President Reynaldo G. David said his bank had extended loans to promising inventors before.

"It depends on the project or copyright. What we do is we study the project," he told BusinessWorld.

IP Philippines Director-General Adrian J. Cristobal, Jr. cited the example of how Coca-Cola borrowed money in the US against its popular trademark, which had previously been valued at more than $70 billion.

"But the size of the company does not matter. It (IP protection) is relevant for a giant company like Microsoft but also for the 25 small- and medium-sized [software] companies growing [locally]," Mr. Cristobal told the forum.

"Trademarks going around is advertising going around. It brings value to your company ... [it’s] a sign of quality," Mr. Cristobal added.

Officials are trying to shore up the number of Filipino inventions, designs and trademarks being patented, which have declined tremendously.

In 2006, patent applications totaled 4,766 — a minimal improvement from a decade earlier when applications hit 4,238, IP Philippines data show. Of the 2006 applications, only 3% came from Filipinos.

But before the government talks about exploiting intellectual property, it must first make sure trademark owners are protected against copycats.

The government must speed up the processing of cases involving IP rights violations, Christopher L. Lim of the Quisumbing Torres law office said during the forum.

"We get support from law enforcement agencies but it bogs down after the raid. Try putting one (an IP rights violator) in jail," Mr. Lim said.

"If you don’t get adequate protection, investors will be hesitant ... Highly technical industries will think twice before they invest here," Mr. Lim warned.

Mr. Cristobal, for his part, said that the Supreme Court had empowered IP Philippines to review the procedures for hearing an IP case in preparation for the impending revival of special IP trial courts. MANILA, Philippines -

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