The Kellis IP Weekly: Issue 7.2
BRAZIL
Patents
INPI Joins Global PPH: As of July 6, INPI belongs to Global PPH. The change comes five years after INPI ended individual pilot PPH programs and initiated a uniform PPH request for all PPH partner offices, even though it still maintained a separate bilateral PPH agreement with each partner. Over the past five years, INPI has significantly expanded the scope of its PPH program as well as the number of countries with which it has bilateral agreements. While INPI will retain the existing 800-application annual cap on PPH applications, the switch to Global PPH eliminates the need to maintain bilateral agreements with PPH partners while also increasing the number of PPH partner countries from approximately 23 to approximately 27. See https://www.gov.br/inpi/pt-br/servicos/patentes/pph/pph (Portuguese); https://www.jpo.go.jp/e/toppage/pph-portal/globalpph.html (English). #patents #IPoffice
As a reminder, INPI’s PPH program—including now that it is a member of Global PPH—is subject to the following limits: one PPH application per applicant per week; 250 applications per year from the same IPC section; 100 applications per year based on PCT results; and 800 applications per year total. In 2023, INPI reached the 100-application limit for applications based on PCT results in June, but in 2024 that limit was reached in early March. Similarly, INPI reached the 800-application overall limit in July 2023, and issued an announcement on June 17, 2024 that application numbers were approaching the 2024 limit. See https://www.gov.br/inpi/pt-br/servicos/patentes/legislacao/legislacao/portaria-ndeg78-16-12-2022.pdf (Portuguese); https://www.gov.br/inpi/pt-br/central-de-conteudo/noticias/limite-de-requerimentos-de-pph-em-2024-esta-perto-de-ser-atingido (Portuguese).
Trademarks
São Paulo Court of Justice Awards Damages for Trademark Infringement: The First Reserved Chamber of the São Paulo Court of Justice issued an opinion finding Brazilian retailer Osklen liable for trademark infringement. A competitor of the plaintiff, Osklen used the plaintiff’s registered mark on its own t-shirts, albeit in a different typography. Judge João Batista de Mello Paula Lima concluded that the circumstances created a risk of confusion, and ordered Osklen to pay R$30,000 in moral damages and a to-be-determined amount in material damages, and to cease sales of the products in question. See https://www.conjur.com.br/2024-jul-07/comercializacao-e-uso-indevido-de-marca-geram-dever-de-indenizar-diz-tj-sp/ (Portuguese); https://www.migalhas.com.br/quentes/410805/osklen-indenizara-por-vender-roupa-com-marca-registrada-de-concorrente (Portuguese). #trademarks
Lula Optimistic About EU-Mercosur Agreement: Shortly after the 64th Summit of Heads of State of Mercosur and Associated States, held on July 8 in Asunción, Paraguay, President Luiz Inácio “Lula” da Silva expressed optimism with respect to the EU-Mercosur Agreement. If signed, the agreement—which has run into political roadblocks in both the EU and Mercosur despite both sides having completed major negotiations several years ago—would require Mercosur countries to recognize a lengthy list of EU-registered geographical indications. Also at the Summit, the presidency of Mercosur switched from Paraguay to Uruguay. See https://www.gov.br/planalto/pt-br/acompanhe-o-planalto/noticias/2024/07/lula-celebra-potenciais-novos-acordos-do-mercosul (Portuguese). #trademarks
Copyright
AI Bill Committee Vote Delayed for the Third Time: An expected July 9 vote on artificial intelligence bill PL 2338/2023 by the Senate’s Temporary Internal Commission on Artificial Intelligence was postponed indefinitely due to “points of divergence” among committee members. The bill faces opposition from, among others, the Brazilian Association of Software Companies (ABES) and the Brazilian Association of Electronic Security System Companies (ABESE). In its most recent form, the bill includes three pages of provisions regarding copyright, allowing the free use of copyrighted works in some instances and requiring authorization and payment of remuneration for such use in other instances. See https://www1.folha.uol.com.br/tec/2024/07/projeto-de-ia-deve-ser-votado-na-proxima-semana-sob-ataque-cerrado-das-big-techs.shtml (Portuguese). #copyright
Artists’ Union to Sue Brazilian Media Conglomerate: The Union of Artists and Technicians of Rio de Janeiro has announced that it will sue Globo for paying artists so little for soap opera reruns. According to the Union’s president, copyright is an inalienable right, and the Union will “fight tooth and nail” to prevail in court. Globo, for its part, claims that it makes all necessary payments for copyright and related rights. See https://f5.folha.uol.com.br/voceviu/2024/07/sindicato-dos-artistas-diz-que-vai-processar-a-globo.shtml (Portuguese). #copyright
Enforcement
IPKey Latin America Public Awareness Campaign Highlights Risks of Counterfeit Products: The social media campaign aims to inform Brazilian youth regarding the dangers of counterfeit products, including medicines and toys, and the negative economic impacts associated with the consumption of such products. See https://ipkey.eu/en/latin-america/news/successful-video-campaign-against-counterfeit-products-brazil (English); https://www.linkedin.com/posts/ipkey-eu_diganaetoaeqpirataria-produtopirataaezcilada-activity-7213978608665567233-BUM1?utm (Portuguese); https://www.linkedin.com/posts/ipkey-eu_diganaetoaeqpirataria-produtopirataaezcilada-activity-7216087765682122755-KCdm?utm (Portuguese). #IPenforcement
Other
INPI Receives Authorization to Appoint 120 New Employees: INPI is one step closer to onboarding its first new group of employees since 2017 after the Ministry of Management and Innovation in Public Services (MGI) authorized, by Ordinance No. 4,860/2024 published in the Official Gazette of the Union (DOU) on July 9, the appointment of the 120 individuals who were selected through a recent public competition for the vacancies. The authorization includes several conditions that must be met, but INPI expects to verify compliance with those conditions during July. Forty employees each will be added to INPI’s patent, trademarks, and administrative divisions. See https://www.gov.br/inpi/pt-br/central-de-conteudo/noticias/mgi-autoriza-a-nomeacao-de-120-aprovados-no-concurso-do-inpi (Portuguese); https://www.in.gov.br/en/web/dou/-/portaria-mgi-n-4.860-de-8-de-julho-de-2024-570876427 (Portuguese). #IPoffice
Effort to Restructure Career and Position Plan for INPI Employees Draws Industry Support: Several industry associations have sent the Ministry of Management and Innovation in Public Services (MGI) written letters of support for INPI’s plan to adjust the position and salary classification of its employees. The plan, proposed to MGI via Ofício SEI Nº 3869/2024/MDIC, would make INPI salaries more competitive, modernize payment mechanisms, and modify the promotion process. Supporting entities include the Brazilian IP Association (ABPI), Grupo FarmaBrasil, the São Paulo IP Association (ASPI), the Brazilian Association of Electric and Electronic Industry (ABINEE), the American Chamber of Commerce of Brazil (Amcham Brazil), the Brazilian Association of Industries of Fine Chemistry, Biotechnology and their Specialties (ABIFINA), and the Brazilian Association of Bioinnovation (ABBI). See https://www.gov.br/inpi/pt-br/central-de-conteudo/noticias/instituicoes-apoiam-reestruturacao-da-carreira-do-inpi (Portuguese); https://www.gov.br/inpi/pt-br/central-de-conteudo/noticias/abifina-envia-oficio-ao-mgi-apoiando-a-reestruturacao-do-inpi (Portuguese); and https://www.gov.br/inpi/pt-br/central-de-conteudo/noticias/abbi-envia-oficio-ao-mgi-apoiando-reestruturacao-do-inpi (Portuguese). #IPoffice
Non-IP Topics of Interest
Executive Group of Health Economic-Industrial Complex Publishes PDP and PDIL Program Submission Details: Last month, Brazil’s Ministry of Health has published ordinances (Portaria GM/MS 4472 of June 20, 2024 and Portaria GM/MS 4473 of June 20, 2024) that establish the country’s revised Productive Development Partnerships and Local Development and Innovation programs. Now, the Executive Secretary of the Health Economic-Industrial Complex Executive Group (GECEIS) has published additional information for those wishing to participate in either program. See https://abifina.org.br/outras-noticias/informacoes-e-periodo-de-submissao-aos-programas-pdp-e-pdil/ (Portuguese).
Chamber of Deputies Passes Tax Reform Bill: Just one day after voting to treat PLP 68/24 with urgency (meaning that the bill would skip the normal committee process and go straight to the Chamber plenary for debate), the Chamber of Deputies voted 336 to 142 in favor of the bill, which now heads to the Senate. The bill adjusts the to-be-implemented Value Added Tax by reducing the tax for products such as medicine, baking supplies, and bread, and eliminating the tax for meat, fish, cheese, and salt. As a result, Brazil’s VAT is expected to rise from the original target of 26.5% to 27.03%, which would make it the highest VAT in the world. The Senate, for its part, has already opted to remove the bill from the fast-track procedure and send it through the committee process to ensure ample time for analysis. See https://www.camara.leg.br/noticias/1082375-camara-aprova-isencao-para-carnes-e-conclui-votacao-de-projeto-que-regulamenta-a-reforma-tributaria/ (Portuguese); https://www.camara.leg.br/noticias/1057389-infografico-conheca-o-projeto-que-regulamenta-a-reforma-tributaria-aprovado-pela-camara/ (Portuguese); https://www12.senado.leg.br/noticias/materias/2024/07/11/senadores-defendem-retirada-de-urgencia-de-regulamentacao-da-reforma-tributaria (Portuguese).
Brazil 5th Most Popular Destination for Foreign Investment: According to the UN, Brazil receives the fifth highest amount of foreign direct investment, after the US, China, Singapore, and Hong Kong (in that order). In the first half of 2024, 188 investments in Brazil were announced, with a total value of US$28.5 billion. The top industries receiving these 2024 investments are: automotive, paper manufacturing; biomass electricity generation; and data hosting and processing. See https://apexbrasil.com.br/br/pt/conteudo/noticias/Investimentos-Estrangeiros-Direitos-os-dados-mais-atualizados.html (Portuguese).
ARGENTINA
Converse Licensee Wins 30% of Infringing Sales in Damages: Licensee ID Argentina SA, which had express authorization to independently enforce the Converse trademarks, successfully sued the manufacturer, distributor, and other involved parties for trademark infringement. Ruling in favor of ID Argentina, the National Chamber of Appeals in Federal Civil and Commercial Matters set the damages award at thirty percent of infringing sales. See https://www.worldtrademarkreview.com/article/argentina-court-grants-high-proportion-of-damages-converse-licencee (English). #IPenforcement
PARAGUAY
DINAPI Director Highlights Priorities at 65th WIPO Assemblies: National Director Claudia Franco Quevedo noted the important role of IP in Paraguay’s economy during her speech, and identified as key priorities (1) strengthening the fight against piracy and counterfeiting; (2) the creation of public policies to promote the growth and international positioning of Paraguay’s creative industries; and (3) development of a national law for the protection of traditional knowledge; and (4) promoting academic growth, fostering technological innovation and opening new markets for Paraguayan researchers. See https://www.dinapi.gov.py/portal/v3/noticias/detalle-noticia?idNoticia=440 (Spanish). #IPoffice
VENEZUELA
SAPI Works to Monitor, Revitalize Collective Management Organizations: Venezuela’s IP office, the Servicio Autónomo de la Propiedad Intelectual (SAPI), is focusing on oversight of Venezuela’s two active collective management organizations, the Society of Authors and Composers of Venezuela (Sacven), the Venezuelan Association of Performers and Phonogram Producers (Avinpro). The effort is intended to ensure that the rights of the creators they represent are protected. SAPI is also working to reactivate the Copyright of Visual Artists (Autoarte). See https://sapi.gob.ve/special-sapi-intensifico-fiscalizacion-a-entidades-de-gestion-colectiva/ (Spanish). #copyright
LATIN AMERICA GENERALLY
EUIPO’s IPKey Latin America Sponsors Multilateral Copyright Enforcement Seminar in Brazil: The seminar brought together representatives of authorities from Argentina, Brazil, Chile, and Paraguay to share best practices for copyright observance and strengthen cooperation among authorities responsible for enforcing IP rights. See https://www.linkedin.com/posts/ipkey-eu_ipkeyla-chile-paraguay-activity-7212549823093248000-NGr_?utm (English). #IPenforcement
U.S. PUBLIC CONSULTATIONS
USPTO – Experimental Use Exception Request for Comments: Published June 28, 2024; closes September 26, 2024. See https://www.federalregister.gov/documents/2024/06/28/2024-14164/experimental-use-exception-request-for-comments (English).
USPTO – Listening Session on Impact of the Proliferation of AI on Prior Art and PHOSITA: The listening session will be held in hybrid format on July 25, 2024 from 10:00 am to 3:00 pm ET. Those who wish to speak must register by 8:00 pm ET on July 19, 2024, and those who wish to attend without speaking must register by 8:00 am ET on July 25, 2024. See https://www.federalregister.gov/documents/2024/07/05/2024-14691/impact-of-the-proliferation-of-ai-on-prior-art-and-phosita-notice-of-public-listening-session (English).
USPTO – Public Roundtable on Protections for Name, Image, Likeness, Other Indicia of Identity, and Reputation: Separate in-person and virtual roundtables will be held on August 5, 2024. Requests to speak must be submitted by 11:59 pm ET on July 31, 2024. See https://www.federalregister.gov/documents/2024/07/01/2024-14455/public-roundtable-on-protections-for-name-image-likeness-other-indicia-of-identity-and-reputation (English).
QUESTIONS OR CONCERNS
Kellis IP is available to provide consulting services to help you understand and respond to any of the developments highlighted in this newsletter, or any other IP issues in Brazil and the surrounding region.
