Change to copyright law a step in right direction
Change to copyright law a step in right direction
Chris Rivituso
The government plans in coming weeks to send to the Sejm amendments to the copyright law, but intellectual property protectors said even with these changes the country's fight against piracy has a ways to go.
"If you have an underpaid and overloaded court and police system, it is difficult to expect miracles," said Jan Skrzypowski, a lawyer with Baker & McKenzie who works on intellectual property cases.
The proposal, which was approved by the Cabinet on Sept. 15, will bring legislation in line with European Union (EU) laws. Copyright protection will increase to 70 years from 50 years, while neighboring rights will extend to 50 years from the current 25 years.
Prosecutors will also be able to take their own initiative in pursuing cases against pirates. Currently, action could be taken only due to a formal complaint.
Fighting copyright infringement is especially important for software makers here.
According to Business Software Alliance, in Poland losses from pirating business software came to $107 million in 1997, with 61% of packaged business software pirated. By comparison, Germany, which was the biggest culprit of pirated software in Western Europe in 1997, had only 33% of its business software pirated. Losses there, however, totaled well over $500 million. Krzysztof Janiszewski, marketing manager responsible for anti-piracy at Microsoft in Poland, said industry losses in 1998 increased to $140 million-$146 million.
The music industry has also suffered from pirating. Although he could not detail losses, Marek Koscikiewicz, president of music company Zig-Zac, said the industry here lost 50-60% in revenue in 1998 due to pirated recordings. The phenomenon is also costing the government $100 million each year in tax revenue, he added.
The government's proposed amendments to the 1994 copyright law also institutes stiffer penalties for violators. Under existing law, distribution of pirated goods for personal gain was punishable by fines and jail terms of up to five years. Under the new penal code, introduced at the beginning of 1999, according to Skrzypowski, infringement of copyrights is punishable by a fine and imprisonment of up to one year. Copying and distribution can mean imprisonment of up to two years.
Although the proposal is a step in the right direction, authorities will still have to face a simple economic fact in dealing with piracy, those involved said. That is that the average salary in Poland is roughly zl. 1,500 a month and many people would prefer to pay a pirate's price either for a computer game, video or record, rather than the much higher price from legal producer.
"I think $50 for a young boy who is willing to play games is a bit high," said Jan Sobolewski, communications manager with Oracle in Poland, who estimated that up to 80% of computer games being played in Poland are pirated. And any changes in legislation that do come through will hardly have a lasting effect.
For software companies like Oracle, the problem is not as serious, but nonetheless an issue they must also face.
"In this sector of business solutions, the problem is not so big," Sobolewski said. This is because the software Oracle produces is specialized and requires consultants to properly install it on office computers. But sometimes software bought and meant for five computers will actually wind up on 10 computers, something on which Oracle itself tries to act.
"There is a kind of gentle pressure, it is a matter of a personal talk with management," Sobolewski said.
Regardless of any uphill battle, some progress has been made, Skrzypowski claimed. "I think it's getting better based on the fact that intellectual property cases are increasing," Skrzypowski added.
Part of the battle, he said, is for all legal officials to become familiar with information technology something the Justice Ministry is undertaking with judges.
While also welcoming the amendments to the bill, the music industry also has its doubts about its real-world applicability.
"I think it's the next step to beat piracy," Koscikiewicz said. "But it will not be easy to convince pirates to stop making money."
In the early 1990s, record piracy was done mostly in the home and the quality was not very good. But improved recording technology has allowed piracy to increase. Koscikiewicz also said that organized crime gets involved in a profitable business for which the penalties are low.
"It's less risky than drugs or pornography," Koscikiewicz said. And because of the low costs of records or computer games, consumers are supporting piracy.
"If we could sell more records we could go down with the price," Koscikiewicz also said. The problem, however, is that record companies must meet overhead costs, such as paying taxes and funding promotions. Pirated tapes, however, can be sold without such costs.
In addition to legislative changes, those looking to combat piracy said there must also be an educational campaign. They must also wait for salaries to climb nearer to Western levels.
"I think that we should fight on the level of the law and we should cooperate with police and prosecutors," Koscikiewicz suggested.
