VïÔ COMMISSION OF THE EUROPEAN COMVUJNITIES 
C0M(94) 244 final 
Brussels, 08.06.1994 
Proposal for a 
COUNCIL DECISION 
on the extension of the legal protection of topographies 
of semiconductor products to persons from the United States of America 
(presented by the Commission) 
-1-
Proposal for a Council Decision 
on the extension of the legal protection of topographies 
of semiconductor products to persons from the United States of America 
Explanatory memorandum 
Community and international legal context 
Council Directive 87/54/EEC on the legal protection of topographies of semiconductor 
products1 lays down the basic principles which the Members States must respect for the 
protection of intellectual property in these topographies . The Directive provides that 
protection is to be available to natural persons who are nationals of, or have their habitual 
residence in, a Member State, and to companies or other legal persons which have a real 
and effective industrial or commercial establishment in the territory of a Member State. 
The Directive has been implemented in the legislation of all the Member States. 
Under the terms of the Agreement on the European Economic Area the Directive also 
applies, since 1 January 1994, in the EFTA countries which are Contracting Parties to 
that Agreement, as a binding act forming part of the internal legal system of those 
countries.2 
A series of Council Decisions, also taken over as binding acts in the Agreement on the 
European Economic Area already mentioned, have extended the legal protection of 
topographies of semiconductor products introduced by Directive 87/54/EEC to persons 
from certain countries and territories outside the Community. This protection has been 
granted on the basis of reciprocity to natural and legal persons, in some cases on a 
permanent, and in others on a temporary basis3. 
As provided in Article 4(1) and (2) of Protocol 28 to the Agreement on the 
European Economic Area, the Contracting Parties to the Agreement have the right to take 
decisions on the extension of the legal protection of topographies of semiconductor 
products to persons from any third country or territory, which is not a Contracting Party 
to the Agreement, who do not benefit from the protection afforded by the Agreement. 
They may also conclude agreements to this effect. 
1 Directive of 16 December 1986 (OJ No L 24,27.1.1987, p. 36). 
2 Article 65(2) and Annex XVII point 1 of the Agreement on the European Economic Area. 
3 Currently in force : 
- Council Decision 90/510/EEC of 9 October 1990 (OJ No L 285, 17.10.1990, p. 29), as amended by 
Decision 93/17/EEC of 21 December 1992 (OJ No L 11, 19.1.1993, p. 22), which introduces a 
system of permanent and unconditional protection in respect of certain countries and territories 
which have granted like protection to the Community Member States; 
- Council Decision 93/16/EEC of 21 December 1992 (OJ No L 11, 19.1.1993, p. 20), as amended by 
Decision 93/520/EEC of 27 September 1993 (OJ No L 246, 2.10.1993, p. 31), which grants interim 
protection to persons from the United States of America (until 31.12.1993) and from certain 
territories (until 31.12.1994) and Council Decision 94/4/EC of 20 December 1993 (OJ No L 6, 
8.1.1994, p. 23), which extends until 1.7.1994 the protection in respect of the United States of 
America. 
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Where the right to protection for topographies of semiconductor products is extended to a 
non-Contracting Party, the Contracting Party concerned must endeavour to ensure that the 
non-Contracting Party concerned will grant the right to protection to the other 
Contracting Parties to the Agreement under equivalent conditions to those granted to the 
Contracting Party concerned. 
In addition, the Agreement on trade-related aspects of intellectual property rights, which 
forms part of the results of the Uruguay Round of multilateral trade negotiations 
embodied in the Marrakesh Final Act of 15 April 1994, requires Member States to grant 
protection to topographies of integrated circuits in accordance with the provisions of that 
Agreement and those of the Treaty on Intellectual Property in Respect of Integrated 
Circuits to which it refers. This Agreement, together with that establishing the 
World Trade Organization, will enter into force on 1 January 1995 or as soon as possible 
after that date;4 the industrialized world will have one year following the entry into force 
of the Agreement establishing the World Trade Organization in which to apply the 
provisions of the Agreement on trade-related aspects of intellectual property rights.5 
Relations between the Community and the United States of America 
Council Decision 94/4/EC was adopted on 20 December 1993 in order to extend the 
interim protection already granted by the Community to persons from the United States 
of America by the successive Decisions which had been adopted from 26 October 1987 to 
that date. It thus granted, for the period 1 January to 1 July 1994, the protection accorded 
by Directive 87/54/EEC to natural persons who are nationals of the United States of 
America or who have their habitual residence there and applies the principle of such 
protection being granted, subject to reciprocity, to companies or other legal persons from 
the United States which have a real and effective industrial or commercial establishment 
there. The recognition that companies and other legal persons from the Member States, 
entitled to protection under Directive 87/54/EEC, do enjoy protection in the United States 
was provided by Commission Decision 94/142/EC of 25 February 19946. 
In the United States America, by virtue of a temporary order promulgated on 
5 November 1992 in accordance with Section 914 of the 1984 Semiconductor Chip 
Protection Act, legal protection has been granted until 1 July 1994 to owners of 
topographies of semiconductor products who are nationals, residents or sovereign 
authorities of Community Member States. 
By virtue of points (c) and (c) of Section 914 of the Semiconductor Chip Protection Act 
already mentioned, the mechanism for provisional protection - applied by means of 
temporary orders - will come to an end on 1 July 1995 and no orders can take effect 
beyond that date unless, as has already been done in that regard, the Semiconductor Chip 
Protection Act is amended.7 
Given the likely application by that date, or soon thereafter, of the Agreement on trade-
related aspects of intellectual property rights already mentioned, the US authorities have 
announced that they plan to continue to use the mechanism of temporary orders until 
1 July 1995 and to forego applying - for such a short period - the system of permanent 
protection foreseen in Section 902 of the Semiconductor Chip Protection Act in relation 
to third countries, which requires a Presidential Proclamation. 
Article XIV of the Agreement establishing the World Trade Organization and point 3 of the Final Act 
embodying the results of the Uruguay Round of multilateral trade negotiations. 
Article 65 of the Agreement on trade-related aspects of intellectual property rights. 
Commission Decision of 25 February 1994 in accordance with Council Decision 94/4/EC determining 
the United States of America as a country to the companies or other legal persons of which legal 
protection of topographies of semiconductor products is extended (OJ No L 61, 4.3.1994, p. 30). 
Amendment effected by the Semiconductor International Protection Extension Act of 1991 (Public 
Law 102-64), dated 28 June 1991. 
Proposal 
Taking account of the intention indicated by the US authorities to extend, until 
1 July 1995 the protection currently accorded to owners of topographies of semiconductor 
products who are nationals, residents or sovereign authorities of Community 
Member States by means of a temporary order based on Section 914 of the 1984 
Semiconductor Chip Protection Act, it is proposed that the Council continues to grant 
protection under Directive 87/54/EEC to persons from the United States until 
1 July 1995, pending implementation of the Agreement on trade-related aspects of 
intellectual property rights. 
In this connection, it is also proposed that the Council : 
- note that the Commission has, since 26 October 1990,8 repeatedly determined that 
companies and other legal persons from the Member States, entitled to protection 
under Directive 87/54/EEC, enjoy protection in the United States, as well as the 
intention of the US authorities to extend the period of that protection until 
1 July 1995; 
- extend, accordingly, the right to protection under Directive 87/54/EEC to companies 
and other legal persons from the United States which have a real and effective 
industrial or commercial establishment there, without that protection being made 
conditional on a fresh determination of reciprocity by the Commission. 
Measures to be taken in connection with the Agreement on the European Economic Area 
Given that the Decision which it is suggested the Council adopts relates, as stated above, 
to a matter covered by the Agreement on the European Economic Area and is aimed at 
extending until 1 July 1995 the mechanism of protection introduced for persons from the 
United States by a number of Council Decisions already taken over as binding acts in 
point 3 of Annex XVII to that Agreement, the application of this Decision should be 
extended to the EFTA countries which are party to the Agreement. 
In addition, in accordance with Article 4(2) of Protocol 28 to the Agreement, the 
Community will endeavour to ensure that the United States will grant the right to 
protection to the other Contracting Parties to the Agreement under equivalent conditions 
to those granted to it. 
Commission Decisions 90/541/EEC of 26 October 1990 (OJ No L 307, 7.11.1990, p. 21), 93/217/EEC 
of 19 March 1993 (OJ No L 94, 20.4.1993, p. 30) and 94/142/EC of 25 February 1994 (OJ No L 61, 
4.3.1994, p. 30). 
i 
PROPOSAL for a 
COUNCIL DECISION 
on the extension of the legal protection of topographies of 
semiconductor products to persons from the United States of America 
THE COUNCIL OF THE EUROPEAN UNION, 
Having regard to the Treaty establishing the European Community, 
Having regard to Council Directive 87/54/EEC of 16 December 1986 on the legal 
protection of topographies of semiconductor products,1 and in particular Article 3(7) 
thereof, 
Having regard to the proposal from the Commission, 
Whereas the right to the legal protection of topographies of semiconductor products in the 
Community applies to persons qualifying for protection under Article 3 paragraphs (1) to 
(5) of Directive 87/54/EEC; 
Whereas this right can be extended, by a Council Decision, to persons who do not benefit 
from protection under the said provisions; 
Whereas the extension of the protection in question should, as far as possible, be decided 
upon for the Community as a whole; 
Whereas such protection has been extended to the United States of America since 
7 November 1987 by successive Council Decisions taken on an interim basis2, the last 
being Decision 94/4/EC of 20 December 1993; 
Whereas that Council Decision is applicable until 1 July 1994; 
Whereas protection has been extended to companies and other legal persons from the 
United States since 26 October 1990, the Commission having repeatedly determined 
since that date that the United States fulfils the condition of reciprocity laid down in 
Article 1 paragraph (2) of the Council Decisions extending protection to it3; 
Whereas the last Commission Decision making such a determination is 
Decision 94/142/EC of 25 February 1994, applicable until 1 July 1994; 
Whereas the United States has appropriate legislation and is expected to continue to 
protect topographies of semiconductor products under its national law and make this 
protection available to natural persons, companies and other legal persons from the 
Member States of the Community benefitting from the right to protection under 
Directive 87/54/EEC; 
1 OJ No L 24, 27.1.1987, p. 36. 
2 Council Decisions 87/532/EEC of 26 October 1987 (OJ No L 313, 4.11.1987, p. 22), 90/511/EEC of 9 
October 1990 (OJ No L 285, 17.10.1990, p. 31), 93/16/EEC of 21 December 1992 (OJNo L 11, 
19.1.1993, p. 20), 94/4/EC of 20 December 1993 (OJ No L 6, 8.1.1994, p. 23). 
3 Commission Decisions 90/541/EEC of 26 October 1990 (OJ No L 307, 7.11.1990, p. 21), 93/217/EEC 
of 19 March 1993 (OJ No L 94, 20.4.1993, p. 30), 94/142/EC of 25 February 1994 (OJ No L 61, 
4.3.1994, p. 30). 
s 
Whereas all Member States of the European Community have adopted national measures 
implementing Directive 87/54/EEC; 
Whereas it is appropriate to continue to extend the protection in question to the 
United States of America to 1 July 1995, pending implementation of the Agreement on 
trade-related aspects of intellectual property rights, which forms part of the results of the 
Uruguay Round of multilateral trade negotiations embodied in the Marrakesh Final Act of 
15 April 1994, 
HAS ADOPTED THIS DECISION: 
Article 1 
Member States shall extend the legal protection provided for under Directive 87/54/EEC 
as follows: 
(a) natural persons who are nationals of the United States of America or who have their 
habitual residence in the territory of the United States of America shall be treated as 
if they were nationals of a Member State; 
(b) companies and other legal persons of the United States of America which have a 
real and effective industrial or commercial establishment in that country shall be 
treated as if they had a real and effective industrial or commercial establishment in 
the territory of a Member State. 
Article 2 
This Decision shall apply from 2 July 1994. 
Member States shall extend protection under this Decision to the persons referred to in 
Article 1 until 1 July 1995. 
Any exclusive rights acquired under Decisions 87/532/EEC, 90/511/EEC, 93/16/EEC, 
94/4/EC or this Decision shall continue to produce their effect for the period laid down by 
Directive 87/54/EEC. 
Article 3 
This Decision is addressed to the Member States. 
Done at Brussels, 
For the Council 
The President 
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COM(94) 244 final 
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