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Code · BILL · 117th Congress · H.R. 4521 (EAS) — 112 HR 4521 EAS: United States Innovation and Competition Act of 2021 · Sec. 3402

Sec. 3402. Intellectual property violators list

608 words·~3 min read·/bill/117/hr/4521/eas/section-3402

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Not later than one year after the date of the enactment of this Act, and not less frequently than annually thereafter for 5 years, the Secretary of State, in coordination with the Secretary of Commerce, the Attorney General, the United States Trade Representative, and the Director of National Intelligence, shall create a list (referred to in this section as the intellectual property violators list ) that identifies— all centrally administered state-owned enterprises incorporated in the People's Republic of China that have benefitted from— a significant act or series of acts of intellectual property theft that subjected a United States economic sector or particular company incorporated in the United States to harm; or an act or government policy of involuntary or coerced technology transfer of intellectual property ultimately owned by a company incorporated in the United States; and any corporate officer of, or principal shareholder with controlling interests in, an entity described in paragraph (1).
To determine whether there is a credible basis for determining that a company should be included on the intellectual property violators list, the Secretary of State, in coordination with the Secretary of Commerce, the United States Trade Representative, and the Director of National Intelligence, shall consider— any finding by a United States court that the company has violated relevant United States laws intended to protect intellectual property rights; or substantial and credible information received from any entity described in subsection
(c)or other interested persons. In carrying out this section, the Secretary of State, in coordination with the Secretary of Commerce, the United States Trade Representative, and the Director of National Intelligence, may consult, as necessary and appropriate, with— other Federal agencies, including independent agencies; the private sector; civil society organizations with relevant expertise; and the Governments of Australia, Canada, the European Union, Japan, New Zealand, South Korea, and the United Kingdom. The Secretary of State shall publish, in the Federal Register, an annual report that— lists the companies engaged in the activities described in subsection (a)(1); and describes the circumstances surrounding actions described in subsection (a)(2), including any role of the PRC government; assesses, to the extent practicable, the economic advantage derived by the companies engaged in the activities described in subsection (a)(1); and assesses whether each company engaged in the activities described in subsection (a)(1) is using or has used the stolen intellectual property in commercial activity in Australia, Canada, the European Union, Japan, New Zealand, South Korea, the United Kingdom, or the United States. The report published under paragraph
(1)shall be unclassified, but may include a classified annex. The Director of National Intelligence may authorize the declassification of information, as appropriate, to inform the contents of the report published pursuant to subsection (d). The Secretary of State and the heads of all other Federal agencies involved in the production of the intellectual property violators list shall protect from disclosure any proprietary information submitted by a private sector participant and marked as business-confidential information, unless the party submitting the confidential business information— had notice, at the time of submission, that such information would be released by the Secretary; or subsequently consents to the release of such information. If confidential business information is provided by a private sector participant, a nonconfidential version of the report under subsection
(d)shall be published in the Federal Register that summarizes or deletes, if necessary, the confidential business information. Proprietary information submitted by a private party under this section— shall be considered to be trade secrets and commercial or financial information (as defined under section 552(b)(4) of title 5, United States Code); and shall be exempt from disclosure without the express approval of the private party.
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