1. Strengthening the Protection and Enforcement of Intellectual Property Rights in Ukraine Activity 2.1.3 October 2014

2. Strengthening the Protection and Enforcement of Intellectual Property Rights in Ukraine Activity 2.1.3 October 2014 Communication from the Commission COM(2014) 392 final. 1.7.2014 "Towards a renewed consensus on the enforcement of IPR: An EU Action Plan"

3. FOCUS ON COMMERCIAL SCALE IP INFRINGEMENTS  Improve prevention  Increase cross-border cooperation between Member States  Prioritise IP enforcement policy on the basis of objective data 3

4. FAKE AIRBAGS 4

5. ACTION 1  New communication strategy/campaigns to raise awareness amongst citizens on the economic harm caused by commercial scale IP infringements.  Prioritise efforts to improve communication with younger citizens  Work with the Observatory to achieve this action. 5

6. In a recent article, the Wall Street Journal provided an update on drug theft and contamination warnings issued by the European Medicines Agency (EMA) in April. According to the report, Italian officials have identified a “highly organized criminal ring” as the culprit behind several incidences of stolen and counterfeit cancer drugs in Europe. Roche’s Herceptin (treats breast cancer), Eli Lilly’s Alimta (for lung cancer) and Johnson & Johnson / Merck’s Remicade (treats Crohn’s disease, rheumatoid arthritis) were among the drugs affected. Counterfeit versions surfaced in the U.K., Finland and Germany after batches disappeared in Italy. These fake or altered drugs can be ineffective or in some cases, even lethal.article Regulators intercept counterfeit cancer medicines in Europe's supply chain 6

7. ACTION 2  Launch a wide debate on applying due diligence in supply chains. Drawing on its outcome, develop a policy initiative in this field.  Green paper. 7

8. F OLLOW THE M ONEY  Detection and interruption of commercial scale IP- infringing activities  Reducing the profits of commercial scale IP infringers  Involvement of downstream intermediaries  wholesalers, retailers, advertisers, payment service providers, shippers 8

9. 9 Example LEVIS ad captured at 04.13 UTC on 4 October on novamov.com Example ERMENEGILDO ZEGNA ad captured at 02.51 UTC on 9 October on rnbxclusive.se Example ADIDAS ad captured at 22.52 UTC on 28 June on freebookspot.es EXAMPLES: FASHION/BEAUTY INDUSTRIES Example SIMPLE (Unilever) ad captured at 23.49 UTC on 5 July on avaxho.me Example NIVEA (Beiersdorf) ad captured at 21:59 UTC on 14 October on mafia-bb.com

10. ACTION 3  Initiate stakeholder dialogues.  Agree Memoranda of Understanding to reduce incentives of, and prevent, commercial scale IP infringements.  Both for on-line environment (advertising, payment services) and also off-line (shippers, retailers, wholesalers etc.)  Broad consultation via Green paper: see Action 6 10

11. ACCESS TO JUSTICE FOR SMEs 11

12. ACTIONS 4 & 5  Map and analyse national initiatives seeking to improve IP civil enforcement procedures for SMEs (e.g. small claims procedures) and consider possible action in this field.  Review national schemes assisting SMEs to enforce their IP rights.  Green Paper. 12

13. ACTION 6  Consultation/ Green Paper on "Follow the money" & IP prevention schemes.  Look in detail into upstream and downstream (incl. chargeback schemes) payment channels and consider how payment service providers can assist:  consumer protection  disrupting the financial flow  detecting repeat IP infringers 13

14. ACTION 7  Member State Expert Group on IP Enforcement, to share best practice on the work within the EU of all enforcement authorities seeking to reduce IP infringements.  Themes will be put forward by Commission in consultation with Member States.  Forum where prioritisation can be discussed.  First meeting possibly in October 2014. 14

15. ACTION 8  Further encourage European Observatory on IPR infringements to:  Develop a comprehensive set of sectoral IP enforcement training programmes for Member State authorities in the context of the Single Market. 15

16. ACTION 9  Consultation of public authorities to exchange views on the problem of IP infringing products infiltrating public procurement supply chains.  Sectoral pilot exercise for medical sector to gauge size of the problem.  Compile a guide on best practice to help public authorities avoid purchasing counterfeit products. 16

17. ACTION 10  Work with Observatory to report on level of and trends of IP infringement (Pilot studies following RAND and cooperation with OECD underway).  Develop academic network (via workshops) to develop economic research on IP enforcement policy questions.  Biennial report, IP in the EU economy, for more effective monitoring of the impact of the EU's IP enforcement policy. 17

18. FURTHER INFORMATION:  http://ec.europa.eu/internal_market/iprenforcement/action- plan/index_en.htm http://ec.europa.eu/internal_market/iprenforcement/action- plan/index_en.htm  http://ec.europa.eu/internal_market/iprenforcement/workshops/ index_en.htm http://ec.europa.eu/internal_market/iprenforcement/workshops/ index_en.htm 18

19. Thank you! Activity 2.1.3 19