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+ Quarterly Legal Newswire,June 2016 NO.02


LATEST LEGAL NEWS



THE COPYRIGHT LEGISLATION TO BE AMENDED TO MEET TPP STANDARD


Trans-Pacific Partnership (TPP) is a trade agreement which is joined by 12 countries surrounding the pacific, the total GDP of the member countries hold about 37% total GDP of the whole world, and about 36.9% total volume of trade of R.O.C..And it is the reason why R.O.C. had been attempting to become a membership of TPP.

As it became an international economic policy of Executive Yuan, the R.O.C. Government had been taking lots of measures to attempt to join the TPP, including amending the related legislations to meet the TPP standard, especially the intellectual property part, which was made stricter than the WTO-standard in the TPP rule. The government said that amending the domestic legislation was a part of the plan for attempting to join the TPP. For this goal, the Executive Yuan asked the Intellectual Property Office (TIPO) to make a project of amendment.

At April 29th, TIPO held a hearing for announcing the project of amendment, and requesting public opinions. In this hearing, some important amendment of the Copyright Act was announced, such as the term of protection of copyright would be turned from 50 years to 70, and the competent authorities of each member may act upon their own initiative to initiate legal action without the need for a formal complaint by a third person or right holder in cases of copyright piracy which are on a commercial scale.

At June 5th, the Executive Yuan held a meeting for discussing the amendment of the Copyright Act. For defining the standard of “on a commercial scale” as above, the Ministry of Economic Affairs (MOEA) gave the Executive Yuan two schemes. One of them was to define the “commercial scale” as when the loss of right holder was more than one million New Taiwan dollars (NTD), the other one was to comprehensively consider the situation of the cases, like the volume of members of the copyright piracy website.

As dissents to the opinion of MOEA, the Executive Yuan held that defining the “commercial scale” as one million dollars loss lacked with a scientific basis, also the Ministry of Justice (MOJ) held that the definition of “comprehensively considering” was not clear, and may led the prosecutors to excessively initiate criminal procedures. The conclusion of the meeting was that the Executive Yuan preferred that the definition of “commercial scale” to be dealt with the amount of the loss of copyright holder. Yet the amount to be dealt as one million NTD like MOEA suggested or not, still needed to be discussed by MOEA and interested parties .

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GOVERNMENT FORMULATED “TAIWAN BIOECONOMY INDUSTRY DEVELOPMENT PROGRAM” TO PROMOTE BIOECONOMY DEVELOPMENT

In R.O.C., when the government mapped out the “Taiwan Bioeconomy Industry Development Plan”, it defined bioeconomy as “an economy using biological resources and biotechnology as a foundation for developing products and services. This includes all economic activities arising therefrom.” The government launched the “Taiwan Biotechnology Take-off Diamond Action Plan” in 2009 to strengthen the industry´s basic structure.

The “Taiwan Biotech Industrialization Take-off Plan” was introduced to bring the biotech regulatory environment closer in line with international norms in 2013, help commercialize biotech and pharmaceutical research outcomes, and meet the changing needs of health, welfare and industrial development.

The plan aims to commercialize pharmaceutical and medical device research conducted by academic and research institutions and equip biotech personnel with skills that match the needs of the industry. Taking advantage of rich experiences in high-quality healthcare management, the plan also promotes the export of smart, value-added health management services. All of these efforts are expected to create biotech industrial clusters, expand output value, and develop biotechnology into another trillion-dollar industry for R.O.C.. This plan will be achieved through the development of pharmaceutical drugs, medical equipment and health care management services.

In new drug development, the Ministry of Science and Technology is leading efforts in this regard by introducing the Supra Integration and Incubation Center (SI2C). A team of advisors will select high-potential projects and provide incentives to follow through on them. The SI2C will help establish a pharmaceutical core technology platform, enhance institutions´ pre-clinical core platform and translational medicine capacities, and promote the training and employment of high-end biotech talent and technicians. Venture capital funding will be the main source of investment, while a well-rounded regulatory environment that is in harmony with international practices will also be created. Together, these efforts will promote the commercialization and internationalization of R.O.C.´s pharmaceutical R&D industry.

In medical equipment industry, the Ministry of Economic Affairs is leading efforts to promote medical devices, with the SI2C, team of advisors, and venture capital playing the same roles they do for pharmaceutical R&D promotion and the regulatory environment undergoing parallel reforms. A strengthened medical device rapid-prototyping platform will be created. Meanwhile, the training and employment of high-end talent and technicians will be promoted. These efforts will hasten promotion of international collaborative research and will ultimately promote the commercialization and internationalization of medical device R&D industry.

In health care management services, the government is eyeing the global market and building “turnkey solutions” that offer a full professional service package including medical resources, medical equipment and medical logistics. The Ministry of Health and Welfare is promoting and leading efforts in this regard. It will combine medical informatics, medical resources and logistics into a comprehensive healthcare management support package and export these “turnkey solutions” to the international market. Near-term objectives will focus on healthcare service management, medical informatics, talent training, and quality counseling. Medium- and long-term goals will include the establishment of base hospitals and the export of healthcare service projects to market and build brand names for pharmaceuticals, medical devices, and health foods.

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EXECUTIVE YUAN PASSED A DRAFT OF “THE FIVE DIGITAL CONVERGENCE LAWS”

On May 5th, the Executive Yuan Council approved the National Communications Commission´s (NCC) proposals, drafts of “Broadcasting Terrestrial and Channel Service Suppliers Administration Act”, “Multichannel Cable Platform Service Administration Act”, “Telecommunications Service Suppliers Act”,“Telecommunications Infrastructure and Resources Administration Act”, “Electronic Communications Act”, also the five digital convergence laws. They will be sent to the Legislature for deliberation.

Premier Simon Chang said these five new acts are forward-looking laws aimed at tackling digital convergence issues, while our existing electronic communications regulatory environment and industrial development has substance out of touch for too long.

To create an environment conducive to digital convergence and competition in telecommunications industry, the National Communications Commission (NCC) has recently implemented two phases of regulatory changes.

The NCC proposed “the five digital convergence laws” to introduce horizontal-layered regulation, manage key infrastructure and resources, and encourage competition in the industry. It is hoped that these laws will create an innovative regulatory framework and bring telecommunications industry in line with international trends.

The content of drafts is as follows:

1. Broadcasting Terrestrial and Channel Service Suppliers Administration Act

(1)Current Radio and Television Act and Satellite Broadcasting Act will be merged.
(2)A vertical control structure of enterprise will be maintained, and specific chapters will be made to regulate wireless radio, wireless television, direct satellite broadcaster, and channel service providing enterprises, and at the same time a hierarchical management concept will be introduced.
(3)Current restrictions will be relaxed reasonably to enhance operational flexibility of radio and TV business.

2. Multichannel Cable Platform Service Administration Act A principle of “monitoring and management based on importance” is adopted, and therefore, in case that users of cable multichannel platform are not over 25% of the operation areas, and revenue of previous year is not more than the amount announced in public by competent authority, only general duties are required; while in case that above thresholds announced in public by the competent authority are reached, not only general duties but also special responsibilities for the public shall be performed, and specific management measures will also be adopted.

3. Telecommunications Service Suppliers Act

1. After analysis of related regulations in place in the EU and Japan, the current special licensing and approval procedures are being replaced by simplified registration and approval procedures with view to lowering market entry barriers.
2. Redundant restrictions are being removed, and general regulations concerning the service provided by telecommunication enterprises will be stipulated clearly; in addition, ex-ante control measures will be adopted only in specific service markets with insufficient competition.
3. In order to protect the users´ rights and interests, and to handle consumers´ disputes, special regulations that meet specific criteria to be observed by telecommunication enterprises might be publically announced.
4. Telecommunications Infrastructure and Resources Administration Act The Telecommunications Infrastructures and Resources Administration Act is being enacted in order to facilitate the construction and development of telecommunication network infrastructures, maintain network quality, security, and reliability, enhance reasonable utilization and effectiveness of resources, and promote technical development and compatible applications.
5. Electronic Communications Act

(1)In order to protect safety of electronic communication network, liabilities of electronic communication service providers to disclose public business information and to cope with governmental measures will be prescribed.
(2)In order to protect user´ equal access to electronic communication service, principles of management on communications protocols and traffic control will be prescribed.
(3)When there is a dispute between a user and an electronic communication service provider, the user may motion to a court for preliminary injunction.

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RECENT DEVELOPMENTS



PRELIMINARY INTRODUCTION OF U.S. E-COMMERCE POLICY AND SELECTED LEGISLATIONS

As the origin of most iconic internet companies in the world, e-commerce in USA is already a well-developed industry. The prosperity of e-commerce in USA should be attributed to the USA government's forward-looking and early movement. USA Gov. has set up e-commerce governance principles since 1997. In addition, by granting e-communication same effect through legislation, USA Gov. has built a solid base for the e-commerce development early in 1999. This article provides basic introduction of e-commerce industry policy of USA Gov., and important rules in electronic signatures regulations.

However, recent development of online sale tax has pointed out that USA Gov. may have reconsidered its policy toward e-commerce industry. This article gives a brief introduction about recent development of the controversial MFA and RTPA.

One of the biggest legal compliance burdons of doing business online is the consumer protection requirements. Consumer protection is in charge by FTC in federal level. This article briefly introduced shipment and refund requirement by FTC, the definition and responsibilities of concerned parties of deceptive and unfair advertisements.

In conclusion, this article brought up some suggestions that we could learn from American experience to revise concerned legislations in Taiwan in the future.

Keywords: e-commerce, electronic signature, internet tax, consumer protection, online store

<Source: Meng-Shan Hsieh, Preliminary Introduction of U.S. E-commerce Policy and Selected Legislations, Science and Technology Law Review Vol. 28 No. 4, April 2016 p.p. 50-70 >

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