. /.WORLD TRADE
ORGANIZATIONIP/C/W/255
3 May 2001
(01-2271)
Council for Trade-Related Aspects
of Intellectual Property RightsOriginal:  English
COMMUNICATION FROM HUNGARY
By means of a communication, dated 3 April 2001, the following proposal has been received
from the Permanent Mission of Hungary concerning the establishment of a multilateral system of
notification and registration of geographical indications.
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INCORPORATION OF ELEMENTS RAISED BY HUNGARY IN IP/C/W/234 INTO THE
PROPOSAL BY THE EUROPEAN COMMUNITIES AND THEIR MEMBER STATES ON THE
ESTABLISHMENT OF A MULTILATERAL SYSTEM NOTIFICATION AND REGISTRATION
OF GEOGRAPHICAL INDICATIONS
1. Hungary submitted a communication in December 2000 (IP/C/W/234) concerning the
opposition/challenge procedure in the multilateral system of notification and registration of
geographical indications with the aim of supporting and further developing the approach advocated by
the European Communities and their member St ates (IP/C/W/107/Rev.1).  Hungary continues to
believe that by providing for an adequate registration mechanism in addition to a system of
notification, so far only the proposal by the European Communities and their member States reflects
adequately the provisions of Article 23.4.
2. Hungary maintains the position expressed in  IP/C/W/234, i.e. that there should be a
multilateral possibility to challenge the registration of a notified geographical indication and that the
results of a successful challenge, where appropriate, should apply on an erga omnes basis.
3. Hungary is grateful for the positive reactions by many WTO Members regarding these
elements as well as their incorporation into the EC proposal.  In light of these comments Hungary
decided to submit this communication with the aim of providing draft language (contained in theAnnex) that incorporates the points raised in IP /C/W/234 into the revised proposal by the European
Communities and their member States.  Hungary believes that this, by improving clarity, would add
value and hopes that it would move forward the ma ndated negotiations on the establishment of the
multilateral system of notification and registration of geographical indications.IP/C/W/255
Page 2
ANNEX
The following text seeks to incorporate the points raised in Hungary's submission
(IP/C/W/234) into the proposal by the European Communities and their member States
(IP/C/W/107/Rev.1) on the establishment of a multilateral system of notification and registration of
geographical indications:
a. The following two sentences would be added at the end of Paragraph C2:
"If such bilateral negotiations do not yield a mutually satisfactory result within the 18 month
period the dispute arising from the challenge shall be settled by multilateral arbitration.  The
decision of the arbitrator shall be final and binding upon the parties."
b. Part D would read as follows:
"1. Geographical indications, which have been notified, published and have not been challenged,
shall be registered within 18 months of publication.
"2. Until a challenge made in connection with the multilateral registration of an individual
geographical indication is not settled under the provisions in paragraph C2, the notified
geographical indication shall not be registered.
"3. Geographical indications successfully challenged on the basis of Article 22.1 or Article 22.4
of the Agreement on TRIPS shall not be registered.
"4. Geographical indications successfully challenged on the basis of Article 24.4, Article 24.5 or
Article 24.6 of the Agreement on TRIPS shall be registered and the registration shall refer to
the successful challenge.
"5. Participating Members shall not refuse protection for registered geographical indications. A
successful challenge made on the basis of Article 24.4, Article 24.5 or Article 24.6 of the
Agreement on TRIPS shall justify the refusal of protection only in respect of the Member or
Members which successfully challenged registration.
"6. Participating Members shall facilitate the protection of an individual registered geographical
indication by providing the legal means for parties to use the registration as a presumption of
the eligibility for the protection of the geographical indication.
"7. The obligation to protect an individual geographical indication shall be suspended if the
geographical indication is not or ceases to be protected in its country of origin or has falleninto disuse in that country.
"8. The Secretariat shall publish the registered geographical indications and inform Members of
them."
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