The law prohibits the registration of a trademark by parties with no legitimate interests or who knew or should have known that another party already owned the mark. Provisions provide specific protection for well-known trademarks. The law also includes stronger enforcement measures and penalties for infractions. In practical terms, trademark violation is still rampant in Paraguay, and resolution in the courts is slow and non-transparent. The new law provides an important first step, but must be followed by increased enforcement and modernization of the judicial system to become fully effective.
Software programs receive the same treatment as literary works under the law.
The law contains norms that regulate contracts related to copyrights. Practical application of copyright protection suffers the same systemic challenges as trademark protection. In October 1993 the Paraguayan Congress approved a new Labor Code that met International Labor Organization standards. The Constitution allows both private and public sector workers, except the armed forces and police, to form and join unions without government interference. It also protects the right to strike and bans binding arbitration.