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Copyright Law of the United States of America

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(b) Factors. In formulating recommendations under subsection (a), the
Register of Copyrights shall consider-

(1) the need for an exemption from exclusive rights of copyright owners
for distance education through digital networks;

(2) the categories of works to be included under any distance education
exemption;

(3) the extent of appropriate quantitative limitations on the portions
of works that may be used under any distance education exemption;

(4) the parties who should be entitled to the benefits of any distance
education exemption;

(5) the parties who should be designated as eligible recipients of
distance education materials under any distance education exemption;

(6) whether and what types of technological measures can or should be
employed to safeguard against unauthorized access to, and use or
retention of, copyrighted materials as a condition of eligibility for
any distance education exemption, including, in light of developing
technological capabilities, the exemption set out in section 110(2) of
title 17, United States Code;

(7) the extent to which the availability of licenses for the use of
copyrighted works in distance education through interactive digital
networks should be considered in assessing eligibility for any distance
education exemption; and

(8) such other issues relating to distance education through interactive
digital networks that the Register considers appropriate.

* * * * * * *

SEC. 405. SCOPE OF EXCLUSIVE RIGHTS IN SOUND RECORDINGS;

EPHEMERAL RECORDINGS.

(a) Scope of Exclusive Rights in Sound Recordings.

* * * * * * *

(5) The amendment made by paragraph (2)(B)(i)(III) of this subsection
shall be deemed to have been enacted as part of the Digital Performance
Right in Sound Recordings Act of 1995, and the publication of notice of
proceedings under section 114(f)(1) of title 17, United States Code, as
in effect upon the effective date of that Act, for the determination of
royalty payments shall be deemed to have been made for the period
beginning on the effective date of that Act and ending on December 1,
2001.

(6) The amendments made by this subsection do not annul, limit, or
otherwise impair the rights that are preserved by section 114 of title
17, United States Code, including the rights preserved by subsections
(c), (d)(4), and (i) of such section.

* * * * * * *

(c) Scope of Section 112(a) of Title 17 Not Affected.

Nothing in this section or the amendments made by this section shall
affect the scope of section 112(a) of title 17, United States Code, or
the entitlement of any person to an exemption thereunder.

* * * * * * *

SEC. 406. ASSUMPTION OF CONTRACTUAL OBLIGATIONS RELATED TO-

TRANSFERS OF RIGHTS IN MOTION PICTURES.

(a) In General. Part VI of title 28, United States Code, is amended by
adding at the end the following new chapter:

"CHAPTER 180-ASSUMPTION OF
CERTAIN CONTRACTUAL OBLIGATIONS

"Sec. 4001. Assumption of contractual obligations related to transfers
of rights in motion pictures.

"Sec. 4001. Assumption of contractual obligations related to transfers
of rights in motion pictures

"(a) Assumption of Obligations. (1) In the case of a transfer of
copyright ownership under United States law in a motion picture (as the
terms 'transfer of copyright ownership' and 'motion picture' are defined
in section 101 of title 17) that is produced subject to 1 or more
collective bargaining agreements negotiated under the laws of the United
States, if the transfer is executed on or after the effective date of
this chapter and is not limited to public performance rights, the
transfer instrument shall be deemed to incorporate the assumption
agreements applicable to the copyright ownership being transferred that
are required by the applicable collective bargaining agreement, and the
transferee shall be subject to the obligations under each such
assumption agreement to make residual payments and provide related
notices, accruing after the effective date of the transfer and
applicable to the exploitation of the rights transferred, and any
remedies under each such assumption agreement for breach of those
obligations, as those obligations and remedies are set forth in the
applicable collective bargaining agreement, if-

"(A) the transferee knows or has reason to know at the time of the
transfer that such collective bargaining agreement was or will be
applicable to the motion picture; or

"(B) in the event of a court order confirming an arbitration award
against the transferor under the collective bargaining agreement, the
transferor does not have the financial ability to satisfy the award
within 90 days after the order is issued.

"(2) For purposes of paragraph (1)(A), 'knows or has reason to know'
means any of the following:

"(A) Actual knowledge that the collective bargaining agreement was or
will be applicable to the motion picture.

"(B)(i) Constructive knowledge that the collective bargaining agreement
was or will be applicable to the motion picture, arising from
recordation of a document pertaining to copyright in the motion picture
under section 205 of title 17 or from publication, at a site available
to the public on-line that is operated by the relevant union, of
information that identifies the motion picture as subject to a
collective bargaining agreement with that union, if the site permits
commercially reasonable verification of the date on which the
information was available for access.

"(ii) Clause (i) applies only if the transfer referred to in subsection
(a)(1) occurs-

"(I) after the motion picture is completed, or

"(II) before the motion picture is completed and-

"(aa) within 18 months before the filing of an application for
copyright registration for the motion picture under section 408 of title
17, or

"(bb) if no such application is filed, within 18 months before the
first publication of the motion picture in the United States.

"(C) Awareness of other facts and circumstances pertaining to a
particular transfer from which it is apparent that the collective
bargaining agreement was or will be applicable to the motion picture.

"(b) Scope of Exclusion of Transfers of Public Performance Rights. For
purposes of this section, the exclusion under subsection (a) of
transfers of copyright ownership in a motion picture that are limited to
public performance rights includes transfers to a terrestrial broadcast
station, cable system, or programmer to the extent that the station,
system, or programmer is functioning as an exhibitor of the motion
picture, either by exhibiting the motion picture on its own network,
system, service, or station, or by initiating the transmission of an
exhibition that is carried on another network, system, service, or
station. When a terrestrial broadcast station, cable system, or
programmer, or other transferee, is also functioning otherwise as a
distributor or as a producer of the motion picture, the public
performance exclusion does not affect any obligations imposed on the
transferee to the extent that it is engaging in such functions.

"(c) Exclusion for Grants of Security Interests. Subsection (a) shall
not apply to-

"(1) a transfer of copyright ownership consisting solely of a mortgage,
hypothecation, or other security interest; or

"(2) a subsequent transfer of the copyright ownership secured by the
security interest described in paragraph (1) by or under the authority
of the secured party, including a transfer through the exercise of the
secured party's rights or remedies as a secured party, or by a
subsequent transferee.

"The exclusion under this subsection shall not affect any rights or
remedies under law or contract.

"(d) Deferral Pending Resolution of Bona Fide Dispute.

"A transferee on which obligations are imposed under subsection (a) by
virtue of paragraph (1) of that subsection may elect to defer
performance of such obligations that are subject to a bona fide dispute
between a union and a prior transferor until that dispute is resolved,
except that such deferral shall not stay accrual of any union claims due
under an applicable collective bargaining agreement.

"(e) Scope of Obligations Determined by Private Agreement. Nothing in
this section shall expand or diminish the rights, obligations, or
remedies of any person under the collective bargaining agreements or
assumption agreements referred to in this section.

"(f) Failure to Notify. If the transferor under subsection (a) fails to
notify the transferee under subsection (a) of applicable collective
bargaining obligations before the execution of the transfer instrument,
and subsection (a) is made applicable to the transferee solely by virtue
of subsection (a)(1)(B), the transferor shall be liable to the
transferee for any damages suffered by the transferee as a result of the
failure to notify.

"(g) Determination of Disputes and Claims. Any dispute concerning the
application of subsections (a) through (f) shall be determined by an
action in United States district court, and the court in its discretion
may allow the recovery of full costs by or against any party and may
also award a reasonable attorney's fee to the prevailing party as part
of the costs.

"(h) Study. The Comptroller General, in consultation with the Register
of Copyrights, shall conduct a study of the conditions in the motion
picture industry that gave rise to this section, and the impact of this
section on the motion picture industry. The Comptroller General shall
report the findings of the study to the Congress within 2 years after
the effective date of this chapter."

* * * * * * *

SEC. 407. EFFECTIVE DATE.

Except as otherwise provided in this title, this title and the
amendments made by this title shall take effect on the date of the
enactment of this Act.

* * * * * * *

Title V-Protection of Certain Original Designs

SEC. 501. SHORT TITLE.

This Act may be referred to as the "Vessel Hull Design Protection Act".

* * * * * * *

SEC. 503. CONFORMING AMENDMENTS.

* * * * * * *

(b) Jurisdictions of District Courts Over Design Actions. (1) Section
1338(c) of title 28, United States Code, is amended by inserting ", and
to exclusive rights in designs under chapter 13 of title 17," after
"title 17".

(2)(A) The section heading for section 1338 of title 28, United States
Code, is amended by inserting "designs," after "mask works,".

(B) The item relating to section 1338 in the table of sections at the
beginning of chapter 85 of title 28, United States Code, is amended by
inserting "designs," after "mask works,".

(c) Place for Bringing Design Actions. (1) Section 1400(a) of title 28,
United States Code, is amended by inserting "or designs" after "mask
works".

(2) The section heading for section 1400 of title 28, United States Code
is amended to read as follows:

"Patents and copyrights, mask works, and designs".

(3) The item relating to section 1400 in the table of sections at the
beginning of chapter 87 of title 28, United States Code, is amended to
read as follows:

"1400. Patents and copyrights, mask works, and designs.".

(d) Actions Against the United States. Section 1498(e) of title 28,
United States Code, is amended by inserting ", and to exclusive rights
in designs under chapter 13 of title 17," after "title 17".

SEC. 504. JOINT STUDY OF THE EFFECT OF THIS TITLE [2]

(a) In General. Not later than November 1, 2003, the Register of
Copyrights and the Commissioner of Patents and Trademarks shall submit
to the Committees on the Judiciary of the Senate and the House of
Representatives a joint report evaluating the effect of the amendments
made by this title.

(b) Elements for Consideration. In carrying out subsection (a), the
Register of Copyrights and the Commissioner of Patents and Trademarks
shall consider-

(1) the extent to which the amendments made by this title has been
effective in suppressing infringement of the design of vessel hulls;

(2) the extent to which the registration provided for in chapter 13 of
title 17, United States Code, as added by this title, has been utilized;

(3) the extent to which the creation of new designs of vessel hulls have
been encouraged by the amendments made by this title;

(4) the effect, if any, of the amendments made by this title on the
price of vessels with hulls protected under such amendments; and

(5) such other considerations as the Register and the Commissioner may
deem relevant to accomplish the purposes of the evaluation conducted
under subsection (a).

SEC. 505. EFFECTIVE DATE. [3]

The amendments made by sections 502 and 503 shall take effect on the
date of the enactment of this Act.

-------------------
Appendix V Endnotes

1 Part V of the Appendix contains provisions from the Digital
Millennium Copyright Act, Pub. L. No. 105-304, 112 Stat. 2860, that do
not amend title 17 of the *United States Code.*

2 The Satellite Home Viewer Improvement Act of 1999 amended section
504(a) in its entirety. Pub. L. No. 106-113, 113 Stat. 1501, app. I at
1501A-593.

3 The Intellectual Property and Communications Omnibus Reform Act of
1999 amended section 505 by deleting everything at the end of the
sentence, after "Act." Pub. L. No. 106-113, 113 Stat. 1501, app. I at
1501A-593.

------------------------------------------------------------------------

Appendix VI. Definition of "Berne Convention Work"

The WIPO Copyright and Performances and Phonograms Treaties
Implementation Act of 1998 deleted the definition of "Berne Convention
work" from section 101. [1] Pub. L. No. 105-304, 112 Stat. 2861. The
definition of Berne Convention work, as deleted, is as follows:

A work is a "Berne Convention work" if-

(1) in the case of an unpublished work, one or more of the authors is a
national of a nation adhering to the Berne Convention, or in the case of
a published work, one or more of the authors is a national of a nation
adhering to the Berne Convention on the date of first publication;

(2) the work was first published in a nation adhering to the Berne
Convention, or was simultaneously first published in a nation adhering
to the Berne convention and in a foreign nation that does not adhere to
the Berne Convention;

(3) in the case of an audiovisual work-

(A) if one or more of the authors is a legal entity, that author has its
headquarters in a nation adhering to the Berne Convention; or

(B) if one or more of the authors is an individual, that author is
domiciled, or has his or her habitual residence in, a nation adhering to
the Berne Convention; or

(4) in the case of a pictorial, graphic, or sculptural work that is
incorporated in a building or other structure, the building or structure
is located in a nation adhering to the Berne Convention; or

(5) in the case of an architectural work embodied in a building, such
building is erected in a country adhering to the Berne Convention.

For purposes of paragraph (1), an author who is domiciled in or has his
or her habitual residence in, a nation adhering to the Berne Convention
is considered to be a national of that nation. For purposes of paragraph
(2), a work is considered to have been simultaneously published in two
or more nations if its dates of publication are within 30 days of one
another.

-------------------
Appendix VI Endnote

1 For a discussion of the legislative history of the definition of
"Berne Convention work," see endnote 2, chapter 1, *supra.*

------------------------------------------------------------------------

Appendix VII. Selected Provisions of the U.S. Code Relating to Copyright

Title 18 - Crimes and Criminal Procedure

Part I - Crimes

Chapter 113 - Stolen Property

* * * * * * *

Sec. 2318. Trafficking in counterfeit labels for phonorecords, copies
of computer programs or computer program documentation or packaging, and
copies of motion pictures or other audio visual works, and trafficking
in counterfeit computer program documentation or packaging. [1]

(a) Whoever, in any of the circumstances described in subsection (c) of
this section, knowingly traffics in a counterfeit label affixed or
designed to be affixed to a phonorecord, or a copy of a computer program
or documentation or packaging for a computer program, or a copy of a
motion picture or other audiovisual work, and whoever, in any of the
circumstances described in subsection (c) of this section, knowingly
traffics in counterfeit documentation or packaging for a computer
program, shall be fined under this title or imprisoned for not more than
five years, or both.

(b) As used in this section-

(1) the term "counterfeit label" means an identifying label or container
that appears to be genuine, but is not;

(2) the term "traffic" means to transport, transfer or otherwise dispose
of, to another, as consideration for anything of value or to make or
obtain control of with intent to so transport, transfer or dispose of;
and

(3) the terms "copy", "phonorecord", "motion picture", "computer
program", and "audiovisual work" have, respectively, the meanings given
those terms in section 101 (relating to definitions) of title 17.

(c) The circumstances referred to in subsection (a) of this section are-

(1) the offense is committed within the special maritime and territorial
jurisdiction of the United States; or within the special aircraft
jurisdiction of the United States (as defined in section 46501 of title
49);

(2) the mail or a facility of interstate or foreign commerce is used or
intended to be used in the commission of the offense;

(3) the counterfeit label is affixed to or encloses, or is designed to
be affixed to or enclose, a copy of a copyrighted computer program or
copyrighted documentation or packaging for a computer program, a
copyrighted motion picture or other audiovisual work, or a phonorecord
of a copyrighted sound recording; or

(4) the counterfeited documentation or packaging for a computer program
is copyrighted.

(d) When any person is convicted of any violation of subsection (a), the
court in its judgment of conviction shall in addition to the penalty
therein prescribed, order the forfeiture and destruction or other
disposition of all counterfeit labels and all articles to which
counterfeit labels have been affixed or which were intended to have had
such labels affixed.

(e) Except to the extent they are inconsistent with the provisions of
this title, all provisions of section 509, title 17, United States Code,
are applicable to violations of subsection (a).

Sec. 2319. Criminal infringement of a copyright [2]

(a) Whoever violates section 506(a) (relating to criminal offenses) of
title 17 shall be punished as provided in subsections (b) and (c) of
this section and such penalties shall be in addition to any other
provisions of title 17 or any other law.

(b) Any person who commits an offense under section 506 (a)(1) of title
17-

(1) shall be imprisoned not more than 5 years, or fined in the amount
set forth in this title, or both, if the offense consists of the
reproduction or distribution, including by electronic means, during any
180-day period, of at least 10 copies or phonorecords, of 1 or more
copyrighted works, which have a total retail value of more than $2,500;

(2) shall be imprisoned not more than 10 years, or fined in the amount
set forth in this title, or both, if the offense is a second or
subsequent offense under paragraph (1); and

(3) shall be imprisoned not more than 1 year, or fined in the amount set
forth in this title, or both, in any other case.

(c) Any person who commits an offense under section 506(a)(2) of title
17, United States Code-

(1) shall be imprisoned not more than 3 years, or fined in the amount
set forth in this title, or both, if the offense consists of the
reproduction or distribution of 10 or more copies or phonorecords of 1
or more copyrighted works, which have a total retail value of $2,500 or
more;

(2) shall be imprisoned not more than 6 years, or fined in the amount
set forth in this title, or both, if the offense is a second or
subsequent offense under paragraph (1); and

(3) shall be imprisoned not more than 1 year, or fined in the amount set
forth in this title, or both, if the offense consists of the
reproduction or distribution of 1 or more copies or phonorecords of 1 or
more copyrighted works, which have a total retail value of more than
$1,000.

(d) (1) During preparation of the presentence report pursuant to Rule
32(c) of the Federal Rules of Criminal Procedure, victims of the offense
shall be permitted to submit, and the probation officer shall receive, a
victim impact statement that identifies the victim of the offense and
the extent and scope of the injury and loss suffered by the victim,
including the estimated economic impact of the offense on that victim.

(2) Persons permitted to submit victim impact statements shall include-

(A) producers and sellers of legitimate works affected by conduct
involved in the offense;

(B) holders of intellectual property rights in such works; and

(C) the legal representatives of such producers, sellers, and holders.

(e) As used in this section-

(1) the terms "phonorecord" and "copies" have, respectively, the
meanings set forth in section 101 (relating to definitions) of title 17;
and

(2) the terms "reproduction" and "distribution" refer to the exclusive
rights of a copyright owner under clauses (1) and (3) respectively of
section 106 (relating to exclusive rights in copyrighted works), as
limited by sections 107 through 120, of title 17.

Sec. 2319A. Unauthorized fixation of and trafficking in sound recordings
and music videos of live musical performances [3]

(a) Offense. Whoever, without the consent of the performer or performers
involved, knowingly and for purposes of commercial advantage or private
financial gain-

(1) fixes the sounds or sounds and images of a live musical performance
in a copy or phonorecord, or reproduces copies or phonorecords of such a
performance from an unauthorized fixation;

(2) transmits or otherwise communicates to the public the sounds or
sounds and images of a live musical performance; or

(3) distributes or offers to distribute, sells or offers to sell, rents
or offers to rent, or traffics in any copy or phonorecord fixed as
described in paragraph (1), regardless of whether the fixations occurred
in the United States;

shall be imprisoned for not more than 5 years or fined in the amount set
forth in this title, or both, or if the offense is a second or
subsequent offense, shall be imprisoned for not more than 10 years or
fined in the amount set forth in this title, or both.

(b) Forfeiture and Destruction. When a person is convicted of a
violation of subsection (a), the court shall order the forfeiture and
destruction of any copies or phonorecords created in violation thereof,
as well as any plates, molds, matrices, masters, tapes, and film
negatives by means of which such copies or phonorecords may be made. The
court may also, in its discretion, order the forfeiture and destruction
of any other equipment by means of which such copies or phonorecords may
be reproduced, taking into account the nature, scope, and
proportionality of the use of the equipment in the offense.

(c) Seizure and Forfeiture. If copies or phonorecords of sounds or
sounds and images of a live musical performance are fixed outside of the
United States without the consent of the performer or performers
involved, such copies or phonorecords are subject to seizure and
forfeiture in the United States in the same manner as property imported
in violation of the customs laws. The Secretary of the Treasury shall,
not later than 60 days after the date of the enactment of the Uruguay
Round Agreements Act, issue regulations to carry out this subsection,
including regulations by which any performer may, upon payment of a
specified fee, be entitled to notification by the United States Customs
Service of the importation of copies or phonorecords that appear to
consist of unauthorized fixations of the sounds or sounds and images of
a live musical performance.

(d) Victim Impact Statement.

(1) During preparation of the presentence report pursuant to Rule 32(c)
of the Federal Rules of Criminal Procedure, victims of the offense shall
be permitted to submit, and the probation officer shall receive, a
victim impact statement that identifies the victim of the offense and
the extent and scope of the injury and loss suffered by the victim,
including the estimated economic impact of the offense on that victim.

(2) Persons permitted to submit victim impact statements shall include-

(A) producers and sellers of legitimate works affected by conduct
involved in the offense;

(B) holders of intellectual property rights in such works; and

(C) the legal representatives of such producers, sellers, and holders.

(e) Definitions. As used in this section-

(1) the terms "copy", "fixed", "musical work", "phonorecord",
"reproduce", "sound recordings", and "transmit" mean those terms within
the meaning of title 17; and

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