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Vol.1979/0254

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COMMISSION OFTHEEUROPEAN COMMUNITIES
COM(79)768 final
Brussels.19thDecember1979
PROPOSAL FORACOUNCILDECISION
ONTHEREVISION OFTHEPARISCONVENTION
FORTHEPROTECTION OFINDUSTRIAL PROPERTY
(presentedbytheCommissiontotheCouncil>?
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COM(79)768final

ProposalforaCouncilDecision
ontheRevision ,oftheParisConvention
fortheProtectionofIndustrialProperty
. -■ ;. \
'1.IntheframeworkoftheWorldIntellectual PropertyOrganisation (VJIPO).'
andoftheParisUnion,towhichallMemberStatesoftheCommunity,but-
nottheCommunityassuch,belong,governments ofcountriesoftheParis -
Unionareatpresentnegotiating aRevisionoftheParisConventionforthe
ProtectionofIndustrialPro-perty."Thefollowingmattersareofparticular
-importancetotheCommunity: -
–theimprovement ofinternational protectionofgeographical indications
suchasappellations oforigin,.
–thepossibility ofgrantingcompulsoryexclusivelicences.forpatentsin
certaincasesf •. J
–theassimilation ofinventors'certificates ofthesocialisttypewith
patents,and , ,
–the.acceptanceofPreferential TreatmentwithoutreciprocityforDeveloping,•
countriesinrespectoffeesforindustrialpropertyandthe.termofpriority.
;2.EachofthesemattersisofparticularinteresttotheCommon .Market
Aneffectiveinternational protectionofappellations oforiginand
indicationsofsourceforagricultural andindustrialproductsisof
particularinteresttotheCommonMarket,giventhelargevolume
-....oftradeintheproductsprotectedbythesedesignations .
Exclusivecompulsorylicenc.es,grantedbydevelopingcountries,canimpair
thevalueofpatentsfiledtherebyfirmsbasedinthecommonmarket'andlead
tothereluctanceofthe.sefirmstofilenewpatentsinthesecountries.This
couldbeexpectedtohaveadiscouraging effectontradebetweentheCommunity
andthesecountries.Anextension'toallcountriesoftheParisUnion-ofthe-
righttograntexclusivecompulsorylicencescouldalsohave-conseruences
forinternalCommunitytrade..
Thefull.recognition'of'inventors.'certificates (RussianorMexicantypes),
whichdonotaffordtotheinventorthefullrightstohisinvention,and
theirassimilation topatents,as.existingintheindustrialised countries,
wouldfurtherprejudicetheopportunityforfirmsbasedinthecommonmarket
toenjoyfull.'patentprptecfcion'inthe.countries "concerned,whichmaintain
inventors' -certificates .
ThespecialinterestoftheCommonMarketinthequestionofacceptanceof-:
apreferential treatmentfordevelopingcountriesliesprincipally inthe
negativeconsequences whichadivergence onthequortionbetweentheMember
Statesof-(heCommunitycouldhaveontradewithdevelopingcountries.-
Differentrulesinindividual MemberStatesc.ouldleadtodistorsions of
tra.de.
■-""' --■ ■:V-':

3.Thepreparation oftheDiplomatic Conference ,vrhich istotake place in
Geneva on4+.hFebruary to4thMarch ,1900 ,hasinvolved numerous meetings
ofrepresentatives ofindustrialised countries (Group B)includinf -
representativcs oftheCommission ;as -wit PS-ar.ymeetinrs ofreprpr.ontal .ivpj -
ofMember States andtheCommission inBi-ussels ,Geneva ar.l 0-1herpl~'- 's.
Infact ,theMember States oftheCommunity h^ve taken acommon view onall
important points ;and ingeneral acommon view hasbeen shared bythewhole ex*
Group B.Theprincipal point ,onwhich Group Bisdivided ,concerns thescope
ofapossible protection ofgeographical indications ;butonthis point the
Community isunited andcarries byfarthegreater part ofGroup Bwith it.
4.TheCommission takes theview that ,forthetime being ,itisoutofthequestion
fortheCommunity assuch toaccede totheParis Union .Itis,however ,
essential toestablish inthe course oftheDiplomatic Conference an
effective procedure bywhich Member States continue towork onthebasis
ofcommon action ,bearing inmind especially thefact that further proposals
orcounters-proposals maybeexpected tobemade attheDiplomatic Conference
itself .
5.This isprecisely thesituation provided forinArticle 116oftheTreaty
establishing theEuropean Communities .The Paris Union for theprotection
ofindustrial property isaninternational organisation ofaneconomic
character ,since thereasons forprotecting industrial property arethemselves
economic .Thus ,inthefcase ofpatent protection ,themain economic principle
isthat ,since acountry 'seconomic development maylargely depend onits
capacity fortechnical innovation ,itneeds toencourage andreward inventors
adequately ,andtoprotect theproducts oftheir intellectual activity .
Geographical indications ,which have acommercial value ,areprotected
because they represent anopportjonity topromote trade ,andespecially
exports from theCommunity . _ - ^ .
1Theproposal oftheCommission forcommon action onthe ^basis of__
Art .116does notprejudice theCommunity 'sowncompetences andtheir
.exercise bytheCommunity infuture negotiations .This applies especially .
to .theprotection ofappellations of .origin andindications ofsouroe
inthewine sector ,forwhich the Council initsdeclaration of
26th March 1^79 hasexpressly recognized thenecessity ofnegotiations
bytheCommunity with third states inaccordance with .Article 113 .

Adoptionofa'commonaction "byMemberStatesduringtheDiplomatic
Conferenceisinfluencedbytheproceduralarrangements oftheWorld
Intellectual PropertyOrganisation ...Thereiscloseco-ordination :
withinGroupB.Thacommonactionshouldtherefor©bobaeodonth«
agreementalreadyreachedinGroupB.Thinmeansinparticularthat
MemberStatesoftheCommunityareopposedtotheinclusioninthe
ParisConventionofprovisionsgoverningthegrantingofexclusive \
compulsorylicences.Ontheotherhand,Mp'nberSpateswouldbeready
toexaminewhethertheopportunity couldbeextendedtodeveloping
countriestograntBolelicencesunderproperconditions,suchthat
thepatentees'rightswerenottherebydisturbed.Inadditionthe
MemberStatesopposeinprincipletheassimilation intheParis
Conventionofinventors *certificates andpatents,unlesstheprinciple
ofequalchoiceisaccepted. ~
TotheextentthatagreementcannotbereachedwithinGroupB,common
actionbyMemberStatesshouldbebasedondecisionsreachedinmeetings
alreadyheldbyrepresentatives ofMemberStatesandtheCommission.As
regardsgeographical indications ,MemberStatesinterveneonbehalfof
theproposal,whichhasalreadybeensubmittedbytheCommunity,onthe
improvement oftheirprotection.
WherenewproposalsaremadeinthecourseoftheDiplomaticConference,
ornewsituationsarise,MemberStatesshallnegotiateonthebasisof
decisionstobetakenwithinGroupB,provided:
.thatnoMemberStateshallbepartytosuchadecisionifinthe
opinionofaMemberStateortheCommission titrunscountertothe
laworinterestsoftheCommunity;and '»•
that,ifsuchadecisionshallbereachedorifGroupBfailstoreac
adecision,orrfeach.esa-decisionwhichrunscountertoCommunitylaw
orinterestcommonactionbyMemberStatesshallbebasedondecision
tobereachedatCotamunitymeetingsbetweenrepresentatives of
MemberStatesandtheCommission.Incases,wherecommonaction
cannotbeagreed,thepointsofdisagreement shallbereportedto.
.theCommitteeofPermanentRepresentatives or,ifnecessary,^
theCounoil. •
'. •-- *''••'
TheCommissionthereforeproposesthattheCouncilshouldadoptthefollowing
proposalforadecision. .

-4-
Proposal foraCouncil Declaration oncommon action by
Member States fornegotiation oftheRevision ofthe Paris
Convention during theDiplomatic Conference inFebruary ,1980
The Council oftheEuropean Communities
Having regard totheTreaty establishing theEuropean Economic Community ,
particularly Article 116thereof ,
Having regard totheproposal bytheCommission ,
Having regard totheCouncil Decision of26th March ,1979 »
Considering that theWorld Intellectual Property Organisation ispreparing
aDiplomatic Conference inFebruary ,1980 ,ontheRevision oftheParis
Convention fortheProtection ofIndustrial Property ,
Considering that theproposals forRevision oftheParis Convention include
matters ofparticular interest tothecommon market especially asregards
theeffects oftheproposals onCommunity trade with both developing and
industrialised countries , -
Considering that itwould have damaging consequences for the common market
andfor theCommunity ifMember States adopted different views inthe
Diplomatic Conference ,
Considering that itisnecessary forMember States toproceed bycommon
action within theframework oftheWorld Intellectual Property Organisation
andoftheParis Union atthe .Diplomatic Conference ,
Considering that common action ofMember States does not prejudice the
Community 'sowncompetences andtheir exercise bytheCommunity infixture
negotiations ,
Decides :
Sole Article
AttheDiplomatic Conference fortheRevision oftheParis Convention
fortheprotection ofindustrial property ,Member States shall proceed
bywayofcommon action inrespect ofallmatters which areofspecial
interest tothecommon market ,according tothedirective contained in
theAnnex .Tothis end ,representatives oftheMember States andofthe
Commission shall consult each other atmeetings during theDiplomatic
Conference .

page5
ANNEX*
MemberStatesshallnegotiateonthebasisofpolicieswhichhavealready
beendefinedandwhichresultfromCommunitymeetings.Theyshall
notbepartytodecisionswhich,intheopinionofaMemberStateorof
theCommission,would.runcountertothelaworinterestsoftheCommunity
Ifsuchadecisionshouldbereached.MemberStatesshallproceedby
commonactiononthebasisofdecisionstobetakeninthecourseof
meetingsofrepresentatives ofMemberstatesandoftheCommission.
Incases,wherecommonactioncannotbeagreed,thepointsofdisagreement
shallbereportedtotheCommitteeofPermanentRepresentatives or,if/
necessary,theCouncil.
CommunitymeetingsshallbeheldduringtheDiplomaticConferencein
Genevaontherequestofa'MemberStateoroftheCommission.,