intellectual property rights in the eu – file, protect, or...

Mobius TherapeuticsPresident & Founder, Ed Timm

Also in this issue:New Canadian Consul GeneralSpotlight on May Heartland World Trade EventsHeartland Tourism

Intellectual Property Rights in the EU – File, Protect, or Ignore?

International Business NewsApril 2014

Held Advertorial – April 2014 IBNewsmag

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International Legal Issues

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IBNewsmag TM: in this issue

The FDA-approved Mitosol® kit is patented in a number of EU countries based on the combination of ingredients and complete kit.

COVER STORY: Do you file for EU patents and then back off from enforcement? There are alternatives for both patents and trademarks that could protect - and save you money. You will learn about them in this edi-tion of IBNewsmag. See page 4

page 3April 2014

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The voice of international trade in the HeartlandNow in our 10th year of continuous publishing by InterMark3, Inc., IBNewsmag is an independent online magazine for Heartland traders - small to medium-sized enterprises (SMEs) - to keep them current on compelling developments affecting exports and other international business developments. In this edition, we are reporting on another seldom recognized export – inbound travel and tourism to the Heartland. In terms of sheer numbers of tourists, most come from our neighboring states. International tourists, however, spend many more times the amount of money as our do our domestic counterparts. The US Office of Travel & Tourism Industries (OTTI) does not typically pull numbers for specific states, but based on our specific request, they customized the report for this issue of IBNewsmag.In every issue, and on our website – www.IBNewsmag.com – we’ll bring you the latest international BREAKING NEWS – current news items that may affect your international business and of a regional interest for our Heartland region readers. In addition to special events, we will announce SME company news as appropriate. So feel free to send your editorial suggestions and news releases. Email them to: [email protected].

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Defending your intellectual property rights (IPR) in EU countries is one of those unending processes that can drain a company’s pocketbook faster than your affordable health care program.The approach to summoning your defensive legal warlords is as varied as your product array itself.

If you are a Small to Medium-Sized business/Enterprise (SME) with a great number of products slated for export, you may avoid the most troublesome countries and take your chances by not patenting or trade-marking your product or service from the outset.

Steve Pope, CEO of R2FACT Prod-uct Development, who has experience with small company exporters, said, “Before you decide to patent and vali-date in specific countries, or not, it helps to have eyes on the ground to see what your competition is doing, particularly at each brick and mortar site where you envision your product to be distributed. If you anticipate widespread sales and you also have strong competition, you should prob-ably file and plan to enforce your pat-ent.” He pointed out.

“On the other hand, with broad dis-tribution of a wide range of products throughout, say, the EU, yet with limited sales, you may find the cost of filing and protecting a patent in each country outweighs sales revenue,” Mr. Pope said.

Another IP consideration, and of lower cost, is to trademark or copy-write the product or service, accord-ing to Mr. Pope. He pointed out that in many cases competitors will view these marks as a warning to stay away. In addition, since the recent ruling of Apple versus Samsung over product design, design patents are coming more into focus and may provide fur-ther protection.

Mr. Pope worked with a small East coast company for a short time that developed a special kit for eye glass re-pair. The technology enabled anyone to easily insert a replacement screw into the tiny hole on the frames and then snap off the stud on the end of the screw once it was tightened. “The woman who developed this screw, patented it all over the world and is selling it successfully,” he said. “But, she spent hundreds of thousands of dollars up front to file for interna-tional patents a long time before sales kicked in.” IP Continued on page 11

Intellectual Property Rights in the EU – File, Protect, or Ignore?

Steve Pope, CEO of R2FACT Product Development. www.R2FACT.com

IBNewsmag TM

April 2014page 4

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CARGO BUSINESS NEWS PRESENTSHEARTLAND

SHIPPERSTHE

CONFERENCE

May 13-14

2014 InterContinental Kansas City at the PlazaKansas City, MO

All roads lead to...

Kansas City

Don’t miss the 3rd Heartland Shippers Conference in Kansas City May 13-14, that will bring the shipping and logistics world to the U.S. Midwest!

Register online here.

You can view the 2013 Heartland Shippers Conference by clicking here.

You can view the 2014 Agenda by clicking here.

Sponsorship opportunities are here.

Quick facts:Where: The Midwest intermodal hub of Kansas City

When: May 13-14, 2014

Who: The Heartland Shippers Conference is presented by Cargo Business News and the International Trade Council of Greater Kansas City, and supported by several other U.S. Midwest shipper organizations.

Why: The U.S. Midwest is home to major manufacturing, agriculture, and a significant consumer market of over 66 million. The Heartland Shippers’ Conference will address themes pertinent to the global supply chain’s vital connection to the region and its developing infrastructure.

Dynamic networking opportunities include Cargo Business News’ popular Collaboration Dinners held in fine eateries conveniently located throughout Downtown Kansas City, along with receptions and opportunities to meet and mingle with customers, prospects and service providers.

Primary conference demographic: Midwest beneficial cargo owners (BCOs) and those who service them globally.

For speaking and sponsorship opportunities:

Contact Peter Hurme at: 206.709.1840 ext. 233 – [email protected] - for more information.

Kansas City Kansas City

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IBNewsmag TM

April 2014page 6

Source: U.S. Department of Commerce, Survey of International Air Travelers, Office of Travel& Tourism Industries (OTTI).

2012 2011 2010Est. visits Est. visits Est. visits

Overseas Visitors to Mid-America States

Arkansas

Iowa

Kansas

Minnesota

Missouri

Nebraska

Oklahoma

N. Dakota

S. Dakota

Wisconsin

Mid-America Total:

All Overseas to U.S.

0.1%

0.3%

0.4%

0.7%

0.6%

0.1%

0.3%

0.0%

0.1%

0.6%

0.2%

0.2%

0.2%

0.1%

0.6%

0.2%

0.3%

0.0%

0.2%

0.6%

55,766

55,766

55,766

27,883

167,298

55,766

83,649

0

55,766

167,298

724,958

27,883,000

(31.4% increase 2011-2012)

(6.7% increase 2011-2012)

29,761

89,283

119,044

208,327

178,566

29,761

89,283

0

29,761

178,566

952,352

29,761,000

0.2%

0.2%

0.3%

0.6%

0.7%

0.1%

0.2%

0.0%

0.1%

0.6%

52,706

52,706

79,059

158,118

184,471

26,353

52,706

0

26,353

158,118

790,590

26,353,000

***

*** Percent of all international visitors who visited each state.

Overseas Travel to Heartland Represents Drop in Bucket, but Big Money

It never has been a big number com-pared to total US, but 952,352 inter-national visitors in 2012* totaled ap-proximately $1.9b in exports.

And, that does not take into consid-eration a sometimes used 5x trickle-down effect, which could conceivably push that number to nearly $10b or more in total dollars rolling through the ten-state economy with foreign visitors spending for hotels, meals, entertainment, car rentals, souvenirs, gifts and tips, among other expendi-tures.

It is encouraging to note that inbound tourism to the ten-state Heartland from 2011 to 2012 increased much greater (31.4% **Note below) than to total US (6.7%).

Former President of both the In-dianapolis and Kansas City Conven-tion & Visitors Associations, Rick Hughes, put it in perspective, “The US is a perennial favorite with inter-national tourists. After gaining confi-dence with travel to the gateway cit-ies – New York City, San Francisco, Los Angeles, Miami, etc. - tourists are discovering the Heart of America. It has become a preferred alternative because of its American authenticity that is represented by the people and places of the Heartland. “

Granted, these numbers are based on

airline surveys as visitors leave the US designating the states they visited, with an average single visitor spend of $2,000, not including airfare.

Even considering how difficult it is to get exact figures, this is new found money for our states.Below is a state-by-state depiction of overseas visitors to the Heartland.

*Last year figures available by state because report customized exclusively for IBNewsmag. These figures are not intended to be actual amounts. Based on surveys as described above. **Note: Minnesota artifi-cially low in 2011 because of surveys not accounted for due to Northwest merger with Delta Airways. Since then, OTTI surveys outbound passengers at the MSP Airport gates. It is the opinion of OTTI that visitors come to ND, but not mentioned in outbound surveys as of 2012. Figures reported by the Office of Travel & Tourism Industries (OTTI), International Trade Administration (ITA). Figures com-puted by individual states may vary from the above chart.


SHIPPERSTHE

CONFERENCE

May 13-14

2014InterContinental

Kansas City at the PlazaKansas City, MO


Kansas City







When: May 13-14, 2014







Kansas CityKansas City



SHIPPERSTHE

CONFERENCE

May 13-14



Kansas City







When: May 13-14, 2014










SHIPPERSTHE

CONFERENCE

May 13-14



Kansas City







When: May 13-14, 2014









n April 10th I had the opportunity to meet new Canadian Consul General,

Dr. Roy Norton, in his Chicago 24th floor “dugout” with a view of Soldier Field. His bio is truly impressive, which I’ve posted on www.ibnewsmag.com, under Breaking News. What is not on his Detroit bio is his tireless battle with a Detroit billionaire, owner of the current Ambassador Bridge linking Detroit with Windsor, Ontario, in an effort to end private ownership of an “additional” bridge with greater capacity set to begin construction soon. This took place when Dr. Norton was CG of the Detroit Canadian Consulate. Having been on the one of the NAFTA negotiating teams, he understands the essentiality of public ownership of the new bridge, which is one of the most important NAFTA trade links. Here is a backgrounder of Dr. Norton, written by himself for IBNewsmag. FB

The photo gives me away. When I’m not promoting closer U.S.-Canada business ties, I’m working towards my goal of see-ing baseball in all 30 major league parks.

O The picture here is from July 30, 2013 – when, in my capacity as Canada’s Consul General to Michigan, Ohio, Indiana & Kentucky, I was honored to throw the first pitch at a Tigers/Nationals game. On my first official visit to St. Louis as Canada’s new Consul General to Missouri, Illinois, and Wisconsin, I’ll see a game at Busch Stadium (that’ll be my 23rd).

Readers of IBNewsmag probably know this already: Canada is the best customer of every one of the ten states in which the magazine is widely distributed (AR, IA, KS, MN, MO, ND, NE, OK, SD, WI). My country is also the most important two-way trading partner for each of those 10 states. Meaning Canadian compa-nies – including small and medium-sized businesses – and your companies, includ-ing SMEs, already know one another quite well. In my experience, familiarity breeds more opportunity. We must all do everything we can to connect businesses, promote trade, and create good jobs as a result. I encourage you to visit www.chicago.gc.ca. And I encourage business leaders across the region to visit my coun-try in search of opportunities. We have a highly attractive business climate with, according to KPMG, the lowest business costs of all G-7 countries. Several gov-

ernors from the region have recently led business delegations to Canada. This past March, I had the pleasure of accompany-ing Missouri Governor Jay Nixon, along with senior State officials and business people, on a visit to Quebec and Ontario. My sense is that he was so impressed by the opportunities for Missouri compa-nies, that he’ll visit again soon.

One issue on which believers in trade and commerce need to work closer together is the proposed ‘New International Trade Crossing’ – a new bridge connecting the U.S. to Canada across the Detroit Riv-er. The 85-year-old Ambassador Bridge, the USA’s most important connection to Canada, already carries 25% of the total two-way trade relationship every year. For states in the Midwest and the plains, the percentage of trade with Canada car-ried by the existing bridge is much higher. Getting a new one built is Canada’s #1 national infrastructure priority – which is why my country has committed to pay (or guarantee) 95% of the total cost of the project. The one remaining piece is the U.S. Customs Plaza – at which traffic coming into your country from Canada will be questioned and inspected. Con-struction of this urgent project cannot get underway, however, until there’s certainty around funding for the U.S. plaza.

At its Annual Meeting in Kansas City in September, 2013, the U.S. Council of State Governments unanimously passed a resolution calling on the U.S. Govern-ment to act quickly to fund the U.S. Cus-toms Plaza. State legislatures in Ohio, Indiana, Kentucky and Alabama have passed similar resolutions. Organizations representing business and labor from across the USA have likewise written to the President, calling for quick action. In other words, this is clearly an issue of national importance.

You can learn more about it here: http://buildthedricnow.com

Consul General Roy Norton throws the first pitch at in Detroit’s Comerica park

IBNewsmag TM

April 2014page 8

New Canadian Consul General, Chicago, is also a loyal Major League Baseball fan

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http://buildthedricnow.com/

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Heartland World Trade events spotlight the month of May

IBNewsmag TM

April 2014page 10

NW Arkansas – International Trade ManagementWorld Trade Center Arkansas––––––––––––––––––––––––––––Date: May 17, 2014Time: 9:00am – 3:00pmLocation: AR World Trade Center, Rogers, ARPresentation: Learn how to make effective, strategic decisionsInformation: Laura James, [email protected], tel: 479-418-4803

Omaha – 2014 World Trade Conference Midwest International Trade Association (MITA)––––––––––––– Date: Tuesday, May 13Time: 7:30am – 2:30pmLocation: Embassy Suites Omaha-LaVistaPresentations: Practical Advice for Making Export Programs Work for You See www.mitaonline.org for subjects and speakersInformation: Email [email protected], or call 402-596-1210.

Milwaukee – Wisconsin International Trade ConferenceMadison International Trade Association (MITA), Metropolitan Mil-waukee Association of Commerce World Trade Association (WTA)Date: Tuesday, May 13Time: 8:00am – 6:00pmLocation: Wisconsin Center, MilwaukeePresentations: Lessons Learned in Global BusinessInformation: See www.mitatrade.org events for subjects and speakers

Kansas City – 2014 World Trade MonthInternational Relations Council (IRC)–––––––––––––––––––––––Date: Tuesday, May 6Time: 4:30 – 7pmLocation: Board Room, Union StationPresentation: EU and US: An Important Relationship for the MidwestInformation: See www.irckc.org for subjects and speakers, or call 816-221-4204.

Kansas City – 2014 World Trade Month (continued)Heartland Shippers Conference, Cargo Business News in conjunc-tion with the International Trade Council–––––––––––––––––––Date: Tues, May 13 & Wed, May 14Time: Tues, 8am – 5pm Wed, 8am – 12;30pmLocation: Intercontinental Kansas City at the PlazaPresentation: US Midwest Intermodal Hub of Kansas City See www.cargobusinessnews.com/heartland shippers/ for subjects and speakersInformation: Christie Daigle, tel 206-324-5644, ext 222, [email protected]

People to People International––––––––––––––––––––––––––– Date: Wed., May 15Time: 8:30 – 11:30amLocation: Board Room at Union Station, Kansas City, MOPresentation: Doing Business with Austria Market Briefing Austrian Deputy Chief of Mission, Sigurd Pacher Information: Patricia O’Connor, Tel: 816-374-5457, email: [email protected] World Trade Center – Kansas City (WTC-KC)–––––––––––––––––Date: Thurs., May 22Time: 1:15 – 5pmLocation: The Museum at Prairie FirePresentation: Making a Splash: How Kansas City Impacts Water, by KC business leaders on water initiatives and projectsInformation: Patricia O’Connor, Tel: 816-374-5457, email: [email protected]

They take place every May as Commerce declares the month of May as World Trade Month. Their purpose is to recognize the importance of international trade in the country’s economy. Here is a summary of World Trade events here in the Heartland.

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IP Continued from page 4 Loss of vision is a human problem and eyewear is a global solution.

Her product solved a global problem of easy and inexpensive eye glass re-pair, so filing and now enforcing her many international patents have prov-en to be well worth the expense.

On the other end of the spectrum, are highly specialized product com-panies, such as Mobius Therapeutics, based in St. Louis, Missouri. Mobius is, at present, a single-product com-pany that produces the only FDA-approved ophthalmic formulation of mitomcyin in the form of a Mitosol® Kit containing 0.2 mg/vial of mitocyn solution, applicator and sponges for topical use in three situations imme-diately following:

• Glaucoma filtration surgery • Corneal surgery • Refractive surgery

“We have Mitosol patents in the EU countries, and others,” said Mobius President & Founder, Ed Timm. “We purposely avoided China, Russia and India because of those countries’ IPR uncertainties.”

When asked how Mobius protects their product in the EU and other countries, Mr. Timm explained that they engaged experienced IPR law firms in those regions, “and to date, we’ve not had any problems with our patents.”

Mitrosol contains mitomycin to pre-vent bacterial infection, and mannitol to lower intraocular pressure follow-ing eye surgery. It’s the combination of the ingredients and the accompaying kit that allowed the patent.

“While we’ve not experienced patent infringements, we’re always on alert through our legal counsel in each of our markets,” explained Mr. Timm.

Scott Brown, partner at the IP pat-ent and trademark law firm of Hovey Williams, looks at a European patent situation as a step-by-step process.

• Apply and file a US patent first through the US Patent and Trade-mark Office (USPTO).

• Then file an application under the Patent Cooperation Treaty or PCT based on the USPTO filing. The PCT allows applicants to seek patent protection internationally for their inventions, helps patent offices with their patent granting decisions, and facilitates public access to a wealth of technical in-formation relating to those inven-tions. By filing one international patent application under the PCT, applicants can simultaneously seek protection for an invention in 148 countries throughout the world.

• More specifically, if seeking a Eu-ropean patent, the next stop is the European Patent Office (EPO) that provides a single patent grant pro-cedure, but not a single patent from the point of view of enforcement. It still requires patent validation in

each country targeted.

As Mr. Brown points out, “To be most effective we recommend a company focus on core technology protection overseas, versus filing for a wide range of attributes surrounding the prod-uct. Foreign patent protection can be expensive, so it is best to protect the most important parts of your technol-ogy, because at the end of the day, you want that basic technology protection that you labored so hard for in the first place.”

Looking ahead, in correlation with a pending Transatlantic Trade & In-vestment Partnership (T-TIP), Mr. Brown pointed to the proposed Uni-fied Patent Court (UPC) which was initially signed last year by 25 EU states. If it in fact, gets established, the UPC would eliminate the need for separate litigation of infringement of European patents in each country. But, as of this reporting, it is still in the proposed state.

In the Mobius Therapeutics patent situation, the enactment of a UPC could save the company great deal of money to protect its patent in the EU.

Mr. Timm agrees.

International Business News

page 11April 2014

*IATA Code: MCI

KANSAS CITY INTERNATIONAL AIRPORT

Kansas City International Airport (KCI*) is one of the most convenient commercial airports in the world. In 2013, nearly 10 million passengers used KCI, while 200 million pounds of air cargo was handled along "cargo row" with direct airfield access. Ten passenger airlines offer nearly 200 daily departures, with nonstop service to 40 destinations. All cargo carriers offer four daily departures, and operate an extensive Road Feeder Service network.

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