Intellectual Property Bill [Lords] Debate

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Intellectual Property Bill [Lords]

Pete Wishart Excerpts
Wednesday 12th March 2014

(10 years, 9 months ago)

Commons Chamber
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Mike Weatherley Portrait Mike Weatherley
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I am sorry to disappoint the hon. Gentleman. Nevertheless, I do not intend to support his amendment which would harmonise unregistered and registered designs, at this time. The Bill is a step in the right direction and I merely put down the marker that should evidence be provided that the law is failing in this regard, we should come back to this issue and consider it again. I am prepared to see where the legislation as it stands takes us, rather than supporting the amendment now. All I ask now is that the Minister acknowledges the potential and agrees to return to the point in a future Bill.

The hon. Gentleman should be aware that an IPO conference is coming up in June, which will address some of the IP issues that he was talking about. I will return to the issue on Third Reading, but it is important that the Prime Minister and No. 10 make a clear declaration about intellectual property being a property right. If that is done, it is not necessary to add new clause 1 to the Bill.

Pete Wishart Portrait Pete Wishart (Perth and North Perthshire) (SNP)
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I am glad to have caught your eye, Mr Speaker, in this not so crowded Chamber. I presume that everybody is paying great attention to the debate on their television screens. It goes to show the lack of interest in intellectual property issues, which disappoints me very much. As I have said before, we need a Minister who is answerable for intellectual property in this House, so that we can raise these very important questions, and so that an IP Minister can respond to these critical debates on this very important issue.

Amendment 1 stands in my name. We have discussed the issue before—on Second Reading and in Committee—and we have had assurances from the Minister, but now is the time for a cast-iron commitment. He knows the anxieties and concerns about this issue, not just from the Law Society of Scotland and the Faculty of Advocates in Edinburgh, but from the whole legal community in Scotland, which remains very concerned that Scotland will lose the right to judge, assess and hear cases to do with patents.

The Minister may have his views about me as a Member of Parliament, but the Faculty of Advocates and the Court of Session in Edinburgh could hardly be described as hotbeds of nationalist militancy. If even the Faculty of Advocates could write to the Minister in such graphic terms about its concerns, surely those concerns should be taken into account and treated seriously. We have heard enough warm words from the Minister; we must now start to hear him express a commitment to Scotland.

It is possible that, after centuries, we will lose the right to consider patent issues in the Scottish courts. Clause 17 makes provision

“to confer…remove… or vary the jurisdiction of a court”

in relation to the new unified patent court, thus effectively allowing the United Kingdom to decide how to approach the whole issue of divisional courts. The UK can have up to three or four of them. Why can it not accept the Court of Session as one of those courts? My amendments would simply ensure that Scotland was once more a jurisdiction with the ability to rule on important patent cases.

We all support the arrival of the new unified patent court. Of course it makes sense for patent hearings to be unified across all the jurisdictions in the European Union, and many of us have argued long and hard to that effect. It will make life so much easier for our inventors, creators and artists. However, it cannot come at a price for Scotland’s legal establishment. For Scotland, with its history of invention and creation, to be denied the ability to consider the issue of patents is—patently—absurd. For decades, if not centuries, the Court of Session in Edinburgh has had the power to consider patent issues in Scotland. We have built up experience and skills that may be lost if we are denied access to a divisional court.

Scotland has a distinct legal establishment. For the last 300 years, as members of the United Kingdom, we have been able to keep our own Scots law when it comes to matters such as this, and people have acquired the necessary experience of that law—and, of course, we in Scotland have a history and culture of creativity that goes back for centuries. As you know, Mr Speaker, Scotland practically invented the modern world: everything from tarmacadam to television was invented by Scotsmen, and today we are still achieving things through our biotechnologies and biosciences. There has been Dolly the sheep, for instance, and—I recall that the Minister rebuked me when I mentioned this in Committee—our contribution to the Higgs boson. Scotland has a culture of being able to invent and create, and we must be allowed to consider issues relating to that culture in our own courts.

Yesterday, in advance of today’s debate, a programme on BBC Scotland showed some of our fantastic new creators and inventors, who are coming up with wonderful new products. They were discussing the importance of allowing these matters to be considered in Scotland. Our Scots law is a totem, an important centre. Some fantastic examples were shown during that BBC Scotland programme—and, I should add, there were some particularly good comments from me. The programme demonstrated the degree of interest in these issues that exists in Scotland, as indeed it should, because the creative industries are important to Scotland. Indeed, they are probably more important to Scotland than they are to the rest of the United Kingdom: we invest more in them, and they play a dynamic and important role in the overall Scottish economy.

Our history of invention and creation makes it plain that Scotland is more than adequately equipped to be a successful independent nation. We know that we could be one of the wealthiest nations in the world because of the resources and skill of our people. If we were independent, this would not be an issue, because, as a member state of the European Union, we would be allowed direct access to the unified patent court. There is an especially important reason why that should happen. It is important to the legal establishment, and it is important to all the individuals who are involved in business. Why should Scottish business men have to bear the extra costs of going to a different jurisdiction to have their day in court and secure justice in relation to important patent issues? We have some incredible new industries in Scotland, not least in the renewable sector and particularly in oil and gas. Our businesses, including small and medium-sized enterprises, need to be able to come to Edinburgh for this purpose. Not being able to do so is an inconvenience that small businesses in Scotland can ill afford.

This is in the Government’s gift. All the Minister need do is say “Yes, the court in Edinburgh will be one of the divisional courts.” London, of course, will have one of the central divisional courts, as will Paris and Munich. As I said in Committee, all that we need is New York: then we could have “Pop Muzik” by M. So London will be looked after, but what about the other capitals in the United Kingdom? We are always being told that Scotland has a part to play in the UK—indeed, that is what the debate that we shall continue to have over the next few months is all about—so why has it been overlooked?

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Lord Willetts Portrait Mr Willetts
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I do not want to give a time scale. The hon. Gentleman has already referred to one that I gave upstairs that has come back to haunt me, so I am wary of offering him any more time scales when faced with his blandishments. All I can say is that it will take time for the new system to take effect, and we will need to monitor it. We will undertake to do that.

I will now move on to the hon. Gentleman’s amendments 2 and 3. Having sought to broaden the criminal sanctions to cover unregistered designs, he is seeking in the same group of amendments to narrow the scope by effectively restricting the sanction to exact copying only. That would be the effect of amendments 2 and 3. That would go too far in narrowing the scope of the provision.

I remind the House that the clause was introduced to assist designers who told us of the problems they had in dealing with copyists who set out to copy their designs intentionally and blatantly. That is what we are tackling in this important legislation. They believed that such copyists were skilled at playing the legal system and counted on smaller businesses running out of time and money to pursue them. They told us—as I am sure they told my hon. Friend the Member for Hove and others—that the issue was not restricted to exact copying. Copyists are clever enough not to implicate themselves in that crude way; the issue often involves tweaking an existing design. The sanction protects against that by referring not only to exact copying but to the copying of

“designs which differ only in immaterial details”.

The amendments would in effect restrict the penalties for copying to exact and counterfeit copies only. The sanction would therefore fail to address the very problem the designers have told us about.

The combined effect of the amendments would be to create greater uncertainty by extending criminal penalties to unregistered designs, and to fail to tackle a genuine grievance by narrowing the provision to cover only exact copying. We are tackling that grievance in the Bill. I hope that, in the light of my comments, the hon. Gentleman will not press his amendments.

Let me now turn to the hon. Member for Perth and North Perthshire. I always enjoy his speeches, in which he proudly talks of the contribution of Scotland, not only to the UK but to nothing less than world history. He is absolutely right about that. For me, the Scottish enlightenment is one of the great events in the history of ideas, and I always enjoy hearing celebration of it.

I understand the principle behind the hon. Gentleman’s amendment and the importance of the issue to legal services and innovative businesses in Scotland. We have been working closely with the court services in Scotland and in Northern Ireland, as well as with Her Majesty’s Courts and Tribunals Service in England and Wales, so that we can take account of their views. Let me make it clear to him again: the Government will look favourably at any proposal to site a local division wherever there is a business need, and a local division can be located in Scotland should there be enough cases to support one. I said on Second Reading that it was very possible that there could be one in Scotland, and I stand by that.

I assure the hon. Gentleman that the Government will consult with the devolved Administrations in Scotland and Northern Ireland and with the court services in those jurisdictions. It is not necessary to legislate to ensure that the consultation and co-operation will happen, because we are already doing it. It is also not necessary to legislate nationally in order to set up a local division, because the process for doing so is purely administrative. That process is set out in the unified patent court agreement. We will be following it with consultation.

Pete Wishart Portrait Pete Wishart
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I am reassured by what the Minister has said. He has been consistent in his responses on the issue. Let me try to put it in another way. Does he foresee any reason why the Court of Session in Edinburgh could not acquire one of the divisional courts of the unified patent court?

Lord Willetts Portrait Mr Willetts
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The only reason I can imagine for that not happening is if there were a conspicuous lack of demand for the services of a local division. That is the issue: if there is no demand for it, there is no point setting it up. The hon. Gentleman, however, assures us and we are hearing a lot of people say that there is a demand for it. We are saying that, if there is a demand, it is likely to go ahead, but we do not need to legislate for what is an administrative process to set something up in response to demand. If demand is substantial, it will happen. I hope that I have made our position clear.

New clause 1 was tabled by the hon. Member for Hartlepool. On this, he is in a bit of a muddle. We have set out our plans on copyright exemptions, following the Hargreaves review. Some hon. Members may recall the large volume of reports and consultation exercises that I wielded in Committee. We have had an enormous amount of consultation and engagement with stakeholders on the planned copyright changes. We do not need a new clause such as this to provide for yet more consultation and consideration. We are grateful to all those who have responded to the various consultations and we have continued to engage with stakeholders since the timetable for the last review came to an end. We have made a number of technical changes following the helpful input of stakeholders, and we consider that the regulations have been improved as a result. They will be different in the light of the valuable consultation process.

The hon. Gentleman read out at great length my response to a parliamentary written question last week— I do not think there are any copyright exemption issues in quoting at such length from parliamentary answers—in which I said that the draft statutory instruments are now being finalised, and we anticipate that they will be laid before Parliament

“as soon as this process is complete.”—[Official Report, 6 March 2014; Vol. 576, c. 945W.]

I will go a tiny bit further for the hon. Gentleman and say that probably, and I very much hope that, they will be laid next week.

I fully recognise that laying the draft statutory instruments next week, if we are able to do so, still means that this process will have taken longer than we forecast and expected. That is a source of great frustration, but we are dealing with parliamentary draftsmen, and they need time to sharpen their quill pens, to get the right parchment out and to prepare their processes. Nevertheless, we will be laying the draft statutory instruments very soon indeed.

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The measures included in the copyright exemption package will benefit innovation, competition, research and education and will increase respect for copyright law. The sooner we can bring the measures into force, the sooner the benefits will start to be realised. The hon. Member for Hartlepool, however, is now calling for a further delay in the process—that would be the effect of his new clause—but we do not need further delay. The Labour Government tried to tackle the problem; as we had the Hargreaves report, so his Government had the Gowers review. The difference is that after Gowers, they were not able to make any progress and they did not bring legislation before the House. I believe that they broadly accepted Gowers, which was not dissimilar to Hargreaves, but we are making far more progress in getting on and implementing measures in this important area than the Labour Government did.
Pete Wishart Portrait Pete Wishart
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The Minister simply cannot get away with that. I am not leaping to the defence of the hon. Member for Hartlepool (Mr Wright), which I am sure he can do for himself, but the Labour Government did bring in the Digital Economy Act 2010, which the Conservative party said it would support and implement. Whatever happened to that?

Lord Willetts Portrait Mr Willetts
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We are talking about the copyright exemptions covered in new clause 1. Let me be absolutely clear that, by comparison with any previous Government, we are now moving on to implementation. I have said to the House that we will be aiming to lay the draft statutory instruments before Parliament soon.

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Pete Wishart Portrait Pete Wishart
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Thank you, Mr Deputy Speaker, for giving me the last Back-Bench word in this Intellectual Property Bill. It is significant that this is the first dedicated intellectual property Bill that I have actually seen in my 13 years in the House, and I would like us to mark that. I hope that we see many more in the future.

I thank all Members who have taken part, especially those on the Front Benches who have contributed so much to what has been a very friendly look at some of these issues. I did not know until Sunday that the Minister and I share a birthday. I wish him a belated happy birthday, and hope that he had as good a day as I did.

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Pete Wishart Portrait Pete Wishart
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I would not dare to answer that one. None the less, I hope that the Minister had a good day on Sunday. No Minister could be better equipped to deal with a Bill on intellectual property than the one who is famously known as “Two Brains”. He has deployed those brains to a fantastic extent as we have discussed this over the past few weeks.

Is the Chamber not quiet? We have had just one speech from the Opposition Benches and one from the Government Benches. That reinforces the point made by the hon. Member for Hove (Mike Weatherley), which is that we need a champion for IP in this House. We need to get this matter fixed properly. It is unsatisfactory that IP is placed in the Department for Business, Innovation and Skills when all the other disciplines that IP is there to serve—the creative industries, music, film and television—are handled by the Department for Culture, Media and Sport. There is something wrong in the way that this is managed across Departments. It is unsatisfactory that the Minister who is responsible for intellectual property is an unelected lord whom we do not get an opportunity to question and who does not lead debates in this House. We need to start thinking properly about how this matter is co-ordinated across Whitehall.

It is surprising that there is so little interest in this matter. Let me just go over the figures again. The creative economy has grown by 8.6% in recent years and is now worth something like 4.3% of our total GDP. That is £71 billion a year—that is what the IP industry contributes to our economy. I would expect people to be rushing into the Chamber to contribute to debates such as this, but, as I have said, the House is empty. It is disappointing to see so many empty seats and to hear so few contributions on something that is so important and significant for our whole economy.

When it comes to intellectual property, Governments only get one shot. We heard mention of the Gowers review, which was conducted in my first few years in the House under the first Labour Government. The Minister was right to say that progress on the matter was slow until Hargreaves stepped in. None the less, the Gowers review was really what defined that first Labour Government for me. I remember leading an Adjournment debate on the conclusions of the Gowers review in Westminster Hall. We managed to discuss some of the things that had been suggested.

Under the second Labour Government—the Minister was a little unfair on them—we had the Digital Economy Act 2010. With exceptions, it was an important and meaty piece of work that was prepared to be quite brave and to take on vested interests. I do not know whether other Members remember this but we had thousands of e-mails about that legislation. I remember too the bravery of the Labour Government in pursuing it in the face of such orchestrated opposition. The sheer number of e-mails coming through from organised groups and self-proclaimed digital champions is the sort of thing that spooks Members of Parliament. The Labour Government were brave and it was unfair of the Minister not to recognise that or the efforts that were made to address some of the clear issues that we have in the creative economy, especially in digitisation.

The Conservative Government said that they would pick up measures in the Digital Economy Act. I remember the then shadow Minister coming to the Dispatch Box passionately to support and defend the Digital Economy Act, but what happened? Absolutely nothing. That is not entirely the fault of the Government. They have had legal disputes and ongoing tensions with the internet service providers. Now that we are just about there, we have no clear way forward for the Digital Economy Act. That Act, in terms of the Hargreaves process, is probably more important than this Bill. It is probably the one thing that could make a real difference in re-educating new generations of people who want to access content responsibly. We need measures on the statute book. We are running out of time in this Parliament, so it is very unlikely that we will see them. It is a big, big loss and a massive disappointment for all of us who want to address, productively and constructively, the very many issues that concern our creative economy.

What has defined this Parliament is Hargreaves, and this Bill is probably the end of the process. Is it good enough? Well, there are good things in it. The digital copyright exchange is a fantastic innovation, and the things that Richard Cooper demonstrated proved that positive and good things can be done. There are obviously exceptions. I know that we will be looking at all that in a statutory instrument over the course of the next weeks. There is great anxiety and concern in the industry, and the Government must listen to it. Yes, I know that we consult stakeholders and hold meetings with them, but the Government must listen to these people and take what they are saying a little more seriously, because they run incredible creative industries.

I thank the Minister for his response to my concerns about the divisional court in Scotland, which I raised on Second Reading and again in amendments. I assure him that we will produce the demand for such a court, if that is the only thing stopping Scotland securing it. I am pleased that that was the only barrier that he was able to detect to our having a divisional court in Scotland. I look forward to reporting that back to the legal establishment in Scotland, so that we can move the matter forward.

Then we come to the huge elephant in the room—Google. We must address Google, because it is the gatekeeper—

Lindsay Hoyle Portrait Mr Deputy Speaker (Mr Lindsay Hoyle)
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Order. This is about what is in the Bill, and not what is not in the Bill. I have given the hon. Gentleman a little bit of scope, but we are now running into danger. I know that we are not under any time pressure, but we need to talk about what is in the Bill and not what is not.

Pete Wishart Portrait Pete Wishart
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My last word on Google is that we must deal with it. We must ensure that we address the matter. This Bill is good, but thin. I know that the Hargreaves process was dealt with in a number of ways. There has been the Enterprise and Regulatory Reform Bill, statutory instruments and of course this Bill. As I have said, this is the first dedicated intellectual property Bill. The response from the design industry has been mixed. Obviously, it welcomes some of the very good measures, such as criminal sanctions in the areas of registered designs. I note that there was disappointment that unregistered designs were not included, but we had a good debate about that. I hope that we can revisit that at some point and deliver more satisfaction to our design industry.

All in all, we are where we are with this. We look forward to going forward. Let us be a little more creative and imaginative when it comes to dealing with intellectual property and copyright issues. The Government have more or less concluded their look at intellectual property. Now it is time to start thinking about how we go forward. Let us go forward constructively and with a bit more imagination.