[Annex 1]
Effectiveness Verification Committee

Effectiveness Verification Implementation Method
This effectiveness verification will be implemented to verify how effective the measures against
infringement taken for Internet auctions are in a sustainable way by numerically measuring how
many infringing goods and infringements currently exist in Internet auctions.
Description
Date of Implementation:
Any one day during the period from January 24 to February 4, 2011
regardless of time and day of the week.
Target Auctions:Bidders Auction.
Yahoo! Auction.
Rakuten Auction.
MOBAOKU.
However, no voluntary fact-finding survey will be precluded for:girls auction,
Pawaoku, and/orWanted Auction.

Target Verification Items:
Target verification items are at the option of the verifiers (organizationsand companies). However, they shall select the items allowing for
fixed-point long-term verification because there is a need to have thesame target items in all the target auctions as well as to continue thesame verification in the future. This will not prevent them fromchoosing target verification items different from those for the previous
fiscal year.
In addition, the popularity of the item in the market shall be taken intoaccount in choosing the target items.
Note: Although it is not necessary to disclose company and brandnames associated with the chosen targets, prior consent of concerned
companies shall be obtained because it is inevitable to disclose certain
information such as “spreadsheets business software from a well-known

[Annex 1]
Effectiveness Verification Committee

American company.”

Methodology:

The calculation shall be done by dividing the number of auctioned
infringing goods and items involved in infringements by theverification parameter.
Example: If 10 infringing goods are found among 100 auctioned items,the infringement rate will be 10%.
If the number of auctioned target items exceeds 100, the verification
parameter will be 100. In this case, the top 100 items in a search list
(such as a list ranked for example by remaining time, or a randomly
created list) will be verified. Notwithstanding the foregoing, if thenumber of auctioned target verification items exceeds 100, verifying
more than 100 items will not be precluded.

Judgment Criteria:

Any auctioned items that should be counted as infringing goods /infringements shall be those deemed to be infringing copyrights
and/or trademarks based on on-screen descriptions and images andallowing right holders to make suspension requests to auction
operators.
If a target verification item infringes both a copyright and trademark, it
shall be counted as an infringement of either of them.
The target verification item’s infringement of a copyright or trademark
shall be indicated in the attached spreadsheet.
Remarks: Any auctioned items which may violate the Unfair
Competition Prevention Act shall not be counted because we cannot
make a definitive judgment due to the nature of the said act.
However, in regard to those deemed to be infringing goods based on
various pieces of information indicating that their right holders
would definitely claim they were infringing goods if they werepurchased and checked by the right holders although there was nodirect ground in the provided information allowing auction
operators to remove such goods (in the light of guidelines or the[Annex 1]
Effectiveness Verification Committeelike) (auctioned items with high probability), they shall be counted
separately from the above data.
If any alarming case or the like is found in the course of verification, it
can be indicated in the margin as a special note.
Example: Those deemed as an illegal act or infringement although they
do not allow right holders to make suspension requests to auction
operators and it is impossible to treat them as auctioned items with highprobability in the light of guidelines or the like.
Recording Method:

Recording verification shall be arbitrary. However, it is required to keepa record deemed as a reasonable proof showing to third parties that theverification results are based on actual work done.
Remarks: Proofs showing that the verification is implemented should
be kept by the verifier at hand.

Reporting Method:

Fill out the attached spreadsheet and submit it to the chief of the rightholders side of the committee by February 7, 2011.