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RR RUEHAG RUEHAST RUEHDA RUEHDBU RUEHDF RUEHFL RUEHIK RUEHKW RUEHLA
RUEHLN RUEHLZ RUEHNP RUEHPOD RUEHROV RUEHSK RUEHSL RUEHSR RUEHVK
RUEHYG
DE RUEHLJ #0219/01 2091441
ZNR UUUUU ZZH
R 281441Z JUL 09
FM AMEMBASSY LJUBLJANA
TO RUEHC/SECSTATE WASHDC 7414
INFO RUEHZL/EUROPEAN POLITICAL COLLECTIVE

UNCLAS SECTION 01 OF 02 LJUBLJANA 000219 
 
SENSITIVE 
SIPDIS 
 
E.O. 12958: N/A 
TAGS: ECON ETRD KCRM SI
SUBJECT: IPR ENFORCEMENT TAKEN SERIOUSLY IN SLOVENIA 
 
Summary 
-------- 
¶1. (SBU) Overall, the government of Slovenia takes 
intellectual property rights (IPR) enforcement seriously, 
even though it is not a large problem for Slovenia in 
comparison to other central and eastern European countries. 
The general public is aware of IPR issues and various state 
offices and agencies dealing with these issues are eager to 
facilitate change and to improve enforcement practices.  The 
main hindrance to IPR enforcement in Slovenia is the court 
backlog of its judicial system.  The Government of Slovenia 
has repeatedly expressed its interest in working with the USG 
on IPR issues by continuing to learn about western practices. 
 End summary. 
 
Cooperation with American IPR Specialists 
----------------------------------------- 
¶2. (U) IPR protection in Slovenia is regulated by different 
acts and decrees covering individual fields of IPR as well as 
by EU legislation. Slovenia has signed virtually all 
international agreements, treaties, and conventions regarding 
IPR protection.  A number of state offices are involved in 
IPR enforcement including, the Customs Administration of 
Slovenia, the Market Inspectorate of Slovenia, the General 
Police Directorate and the Slovenian Intellectual Property 
Office (SIPO).  Post organized three visits of American IPR 
specialists in Spring of 2009.  They met with prosecutors, 
private law firms, the Ministry of Economy, Customs officers, 
SIPO, etc.  Slovenian agencies and institutions expressed a 
focused and genuine interest in improving the structure and 
enforcement of their IPR system. 
 
Piracy Level in Slovenia among the lowest in Central and 
Eastern Europe 
--------------------------------------------- ----------- 
3.(SBU) According to IPR enforcement specialist Matt Lamberti 
from the U.S. Department of Justice, who is based in Bulgaria 
and visited Slovenia from June 16-17, the Slovenian 
population is very much aware of IPR issues and the 
importance of IPR protection.  Slovenia has a strong legal 
system with Slovenes themselves acting as relatively law 
abiding citizens.  Software piracy level (47%) in Slovenia is 
one of the lowest compared to other Eastern European 
countries (66%).  However, Slovenia still experiences a 
higher level of pirated software when compared to the EU at 
35% or the US at 20%.  The Customs Authority of Slovenia 
reports that IPR violations are relatively high in number yet 
small in size.  It also notes that the violations include 
mostly Internet purchases of counterfeit drugs.  Slovenia is 
occasionally used as a transit country for counterfeit 
clothes and footwear to enter into the EU market.  However, 
according to Lamberti, the 2000 Slovene custom inspectors 
throughout Slovenia are extremely effective at intercepting 
and destroying most of this merchandise before it is able to 
leave Slovenia. 
 
Court Backlogs Hinder IPR Enforcement 
-------------------------------------- 
¶5. (SBU) Slovenia's biggest hindrance to IPR enforcement is 
its slow court system.  Every government official approached 
by Post mentioned the negative impact the court lag has on 
enforcing IPR law, specifically, the three to four years 
needed to resolve cases due to court backlogs. Although this 
remains a big problem, Slovenia has seen improvement in 
reducing the court backlog in 2007 and 2009 when it adopted 
various systemic measures while intensifying promotion of 
mediation between parties in dispute. 
 
New Penal Code Wording Creates Problems 
---------------------------------------- 
¶6. (SBU) The new Penal Code, which contains a problematic 
provision relating to IPR violations and enforcement, went 
into effect on November 1, 2008. The new text adds the 
provision "for the purpose of sale" in the first paragraph of 
article 148, which now reads: "Anyone who, for the purpose of 
sale, uses without authorization one or several Copyright 
works or copies thereof, the joint market price of which 
represents a substantial value (5,000 EUR), shall be punished 
by imprisonment for up to three years."  Article 148 is the 
legal basis for criminal enforcement of copyright 
infringements.  The wording makes effective prosecution 
impossible since many infringements occur without intent of 
further sale.  For example, a company that purchased a 
computer program and then distributes it throughout their 
office could not be prosecuted because it did not sell the 
program.  The Ministry of Justice has formed a commission to 
draft further changes to the penal code now in force.  During 
Lamberti's June 16-17 visit to Ljubljana, he discussed this 
issue with several lawyers and ministers stressing the 
problems created by the new wording.  Although internet 
piracy does exist, there have been no prosecuted cases of 
illegal software downloads. Slovenian experts are aware that 
 
LJUBLJANA 00000219  002 OF 002 
 
 
the Penal Code, as it stands, could violate WTO and TRIPS, 
both of which Slovenia is a member to. 
 
G-8 and Council of Europe 24/7 Network promoted by Lamberti 
in Slovenia 
--------------------------------------------- ------------- 
¶7. (U) During Lamberti's visit to Slovenia, he invited and 
encouraged the Slovene government to join the 24/7 Network 
where each member is required to designate a point of contact 
available on a twenty-four hour, seven-day-a-week basis in 
order to ensure immediate assistance on investigations or 
proceedings concerning criminal offenses related to computer 
systems and data, or for the collection of evidence in 
electronic form.  Using the network extends the storage time 
of internet data allowing the government to issue a proper 
search warrant before the data is erased.  The 24/7 Network 
is outlined in more detail in Article 35 of the Council of 
Europe's Convention on Cybercrime. 
 
Comment 
------- 
¶8. (SBU) Post will urge contacts to amend the problematic 
Article 148 of the Penal Code.  We will also continue to 
encourage Slovenia to join the 24/7 network.  Lamberti 
mentioned that Slovenia is likely to be a strong role model 
for IPR enforcement in the region and that there is a strong 
interest throughout the former Yugoslavia in what Slovenia is 
doing.  Post looks forward to an ongoing engagement with the 
GoS and to focusing more directly on specifics such as 
training, clearly defining legalities, logistics, and 
regional activities. 
 
¶9. (U) Matt Lamberti did not have a chance to clear this 
cable. 
FREDEN