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MPAA Expresses Concerns

The Motion Picture Association of America has submitted a letter to the U.S. government expressing concerns over the direction that the online casinos related negotiations with Antigua are headed. Antigua has the right to ignore U.S. copyrights (via permission from the World Trade Organisation - WTO), and based on information and statement’s from Antigua’s legal representation the country plans to infringe on movie copyrights first as a way to gain the $21 million that Antigua was awarded at last December’s WTO hearing related to the online casinos dispute between the two countries. The MPAA notes that the U.S. government would cause severe harm to the Motion Picture industry if Antigua is allowed to break copyrights.

Basically, Antigua’s representation, Mark Mendel, has commented that Antigua is prepared to act on the ability to reproduce American movies despite copyrights if the U.S. does not work toward a resolution to the online casinos dispute by the end of the month (March ’08). The WTO authorized Antigua to recoup $21 million in damages by ignoring U.S. copyrights on music, videos, and really any of the nation’s intellectual property.

Antigua sought significantly more than $21 million from the WTO ruling (the nation asked for roughly $3.4 billion in online casinos damages. And though the $21 million is certainly less than the country asked for, it is more than enough to cause serious damage within the Motion Picture industry. A letter from the MPAA to the U.S. Trade Representative notes, "The proposed retaliation would be impossible to manage. The real and resulting economic harm would vastly exceed any amount the (WTO) might approve, even the grossly exaggerated amount ($3.4 billion) for which Antigua seeks approval, plus the economic harm would extend to other WTO members. MPAA believes it would be very difficult to insulate other WTO members from the effects of Antigua's proposed retaliation. The unfortunate reality is that the failure to offer or enforce adequate protection of intellectual property rights in Antigua could foster abuses in other countries."

Antigua’s threats to the MPAA are serious according to Mendel, but on top of the threats, the nation is hoping that the action against the movie industry will prompt the industry’s support in forcing the Bush administration to address the online casinos gambling industry.