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Copyright © 2009, AFTA™ - American Free Trade Association
Click Here for new information on FSC- First Sale Coalition
Click Here for new information on Decoded Product Specimens
Click Here For Important New Information About The Protect IP Act
Companies may be forced to pay hundreds of thousands of dollars, and lose their imported goods in seizure or
forfeiture actions, for infringement of U.S. Copyright law if they import a product made outside the U.S., or which
cannot be proven to have been made in the U.S. This is the impact of the recent Second Circuit Decision in Wiley
v. Kirtsaeng which held that the "first sale" protection under U.S. Copyright law does not apply to foreign-made
goods, even if manufactured under authority of a US copyright holder. Click here to read the Court's
decision.
CBP may soon be authorized to provide confidential commercial information about imports to owners of
copyrights and trademarks regarding the importation of products, their source and distribution. This fall,
Congress will consider legislation which will authorize CBP to provide samples, along with their labels,
immediate and outer packaging to intellectual property owners without removing any commercially sensitive
information. The legislation is strongly supported by the Administration and Intellectual property owners.
If you are a U.S. importer, or resell imported merchandise ask yourself these questions:
1)
Do you know absolutely and without any doubt exactly where your products were originally manufactured?
Do you have enough proof of place-of-manufacture to convince CBP? Not who manufactured them - but where
they were manufactured. Because according to the Court's decision, knowing that a U.S. company authorized the
manufacture of the goods isn't good enough. If you don't know that the product was manufactured in a U.S.
manufacturing facility, you can be found guilty of copyright infringement if that product with a copyrighted label
was actually manufactured in an overseas facility and was imported without authority of the U.S. copyright owner.
2)
Do you know what each and every code on a product's packaging identifies? Because according to
legislation brand owners want the Congress to pass this year, protecting codes necessary for recall isn't good
enough. U.S. brand owners are entitled to see all packaging on all imported products if there is any reason to
believe that the product being imported infringes or may infringe a U.S. intellectual property right.
The stakes are huge as American consumers face dwindling supplies of critical consumer goods and rights
holders are aggressively urging Courts and Congress to expand their ability to control global trade. The question
is no longer whether or not the products are genuine - the question is whether you have any the ability at all to
distribute imported products if you cannot prove exactly where they were made. And, even if you can get them
into the country, will there be retailers willing to purchase your inventory without similar guarantees and
assurances? Do U.S. importers have any protections under U.S. laws for legitimate U.S. business intended to
provide U.S. consumers with a competitive marketplace in non-counterfeit, non-infringing consumer goods?
Your support is urgently needed; the work is monumental and we cannot prevail without you. If you are not yet a
member of AFTA, please click here and join today. Help AFTA fight on the Hill, in the Courts and through federal
rulemaking to make sure first sale protection is available to all U.S. importers of genuine merchandise and that
U.S. importers are as able as any other U.S. business to protect confidentiality of their supply chains.
For further information, please contact AFTA at afta@aftaus.com or 1-800-600-4179.
U.S. IMPORTERS UNDER ATTACK
NO FIRST SALE PROTECTION
NO PROTECTION AGAINST DISCLOSURE OF PROPRIETARY
SUPPLY CHAIN INFORMATION