US embassy cable - 04AMMAN1496

UNCLAS SECTION 01 OF 02 AMMAN 001496 
 
SIPDIS 
 
SENSITIVE 
 
STATE FOR NEA/ARN 
STATE ALSO FOR EB/TPP/MTA/IPC - P. QUIGLEY 
USTR PASS TO BPECK 
DOC PASS TO KSCHELFMILCH 
 
E.O. 12958: N/A 
TAGS: KIPR, ETRD, PREL, JO 
SUBJECT: SPECIAL 301 SUBMISSIONS - JORDAN 
 
REF: STATE 038125 AND PREVIOUS 
 
SENSITIVE BUT UNCLASSIFIED.  PROTECT ACCORDINGLY. 
 
1. (SBU) SUMMARY:  Although the International 
Anti-Counterfeiting Coalition (IACC) states that enforcement 
of IPR violations in Jordan is weak, the evidence available 
to us shows that enforcement efforts against pirating in 
Jordan are growing in scope and that significant numbers of 
convictions are being won.  The major problem in Jordan is 
the communication gap between enforcement, prosecution, and 
the courts.  Amendments to the copyright law to bring it in 
consonance with the FTA are on track.  Trademark protection 
is growing, with the addition in the Ministry of Industry and 
Trade of a Fulbright-trained lawyer.  The Jordan Institute of 
Standards and Metrology is also growing in strength and seeks 
to enforce safety and technical standards for more and more 
products.  While the system could be improved, the political 
will to strengthen protections for IPR is evident in the 
current government.  While Jordan needs some time to work 
through its remaining problems, we do not believe placing 
Jordan on the Special 301 watchlist now would advance IPR 
protections.  END SUMMARY. 
 
Evidence on Enforcement 
----------------------- 
 
2. (SBU)  There is growing evidence of strong IPR enforcement 
in Jordan.  In calendar year 2003, Jordan's National Library 
IPR enforcement unit sent 383 cases of IPR infringement to 
prosecutors nationwide.  The unit makes frequent raids on 
stores, shops, and even homes (used as stores).  Library 
Director Mahmoun Talhouni told us that he has devised a 
system to work with the police on raids, so that arrests can 
be made and confiscations of suspected counterfeits ordered. 
This year, because some of the targets were involved in other 
types of fraud (including passports and documentation), the 
police were involved in dangerous shoot-outs.  Yet, the unit 
persists.  From 5 cases brought in 2000 in the city of Amman, 
the caseload has grown to 214 in Amman in 2003, according to 
National Library statistics.  Nationwide, the cases went from 
6 in 2000, to 149 in 2002, to 297 in 2002, to 383 in 2003. 
 
3.  (SBU)  Talhouni also stated that he did not like to see 
the caseload go up, as it was an indication of the extent of 
the problem.  However, he said he believed that, as his unit 
presses ahead, the numbers of new cases will eventually 
plateau and decline as the public gets the message that IPR 
crime does not pay. 
 
4.  (SBU)  Talhouni said that, although the National Library 
did not receive reports back from the various jurisdictions 
in which IPR cases are filed, he cited an academic study 
noting that prosecutors got convictions in over 80 percent of 
IPR cases.  He conservatively estimated convictions for the 
cases his unit brought to court at about 75 percent, taking 
into account appeals.  One of the most significant remaining 
problems with IPR enforcement is the lack of systematic 
communication across functional jurisdictions.  Talhouni said 
that the National Library unit does not routinely hear back 
from the prosecutor once a case is in the courts, and 
obtaining a final decision from the court is difficult. 
 
Copyright Law Amendments 
------------------------ 
 
5.  (SBU)  With amendments to the Copyright law in 2001, the 
GOJ came into compliance with international (WIPO) standards. 
 Submission of the "internet treaties" to WIPO late last year 
was another positive step taken by the GOJ.  In the first 
months of this year, the Ministry of Industry and Trade 
(MOIT) has been working closely with the National Library to 
further amend the copyright law to bring it into full 
compliance with the U.S.-Jordan Free Trade Agreement.  This 
was also a "condition precedent" of U.S. assistance to 
Jordan;  the amendments should be submitted to Parliament 
soon. 
 
Trademarks 
---------- 
 
6.  (SBU)  The MOIT trademark section has a new U.S.-trained 
lawyer who was supported by a Fulbright scholarship.  This 
addition of an individual who understands U.S. values and 
international standards serves to strengthen IPR enforcement. 
 
JISM and Enforcing Product Standards 
------------------------------------ 
 
7.  (SBU)  The Jordan Institute of Standards and Metrology 
(JISM) has the mandate to enforce product safety and 
technical standards.  The organization appears to be growing 
in depth and experience in holding merchants accountable for 
the standards of their products.  JISM has a long way to go 
in this area, but enforcement against substandard auto parts 
is part of its mission. 
 
Transit a Problem... As It Is Worldwide 
--------------------------------------- 
 
8.  (SBU)  Jordan, like any strategic transit trade nation, 
will experience greater volumes of both legitimate and 
illegitimate trade crossing through its borders.  Embassy 
supports a strong USAID program to enhance Jordan customs 
operations.  The system of accountability and central checks 
in GOJ Customs are an indication that its reputation as the 
best customs operation in the region is well-deserved.  On 
February 26, the Jordan Customs Department renewed its offer 
to sign a Customs Mutual Assistance Agreement (CMAA) with the 
United States DHS Customs and Border Protection department 
(faxed to NEA/ARN), another indication of its sincerity. 
There is little direct evidence to indicate corruption is a 
major problem in Jordan's trading systems, which are so vital 
to its economy.  The reported increase in corruption-related 
cases in 2003 is likely a demonstration that the GOJ is 
facing up to problems of "traditional" practices, including 
influence-peddling. 
 
9. (SBU)  There is no evidence that "Earth Station 5", 
reportedly based in a refugee camp outside of Jordan, has any 
satellite operations in Jordan offering free downloads. 
Embassy has not been able to confirm such a presence. 
 
10.  (SBU)  RECOMMENDATION:   Embassy does not believe that 
it would advance IPR protections in Jordan to put Jordan on 
the Special 301 watchlist.  Deputy Prime Minister Halaiqa has 
stated unequivocally that the GOJ is committed to meeting WTO 
and FTA commitments on IPR.  Although Jordan has much to do 
to improve on its policies and procedures regarding 
intellectual property protections, we would be sending the 
wrong signal by placing the GOJ on a warning list just as it 
is making advances in this area. 
GNEHM