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At-a-glance: Instituto Nacional de Propiedad Industrial (INAPI) Av Libertador Bernardo O'Higgins 194, Piso 1, Santiago, Chile Tel: Tel: +562 2887 0400, Fax: +562 2887 0401 Email: inapi@inapi.cl Website: www.inapi.cl Recent legislative changes... [more]

Recent legislative changes to the R&D Act and the Chilean government's focus on technological development – it has dubbed 2013 "the year of innovation" – may boost activity in the country's IP market, fulfilling expectations for an increase in patent applications that Chile's accession to the Patent Cooperation Treaty (PCT) failed to deliver.

Improved patent protection measures might also help the situation, according to the Global Intellectual Property Center (GIPC). The centre, which operates under the auspices of the US Chamber of Commerce, released the first edition of its International IP Index in January 2013. The index takes a look at the IP environment of 11 economically and geographically diverse countries. Overall, Chile ranks in the medium range. According to the report, one of its weaknesses is failing to institute a patent linkage mechanism despite its obligation to do so under the free trade agreement (FTA) it has signed with the US. As a result, "infringing products are known to be approved and resolution of patent disputes is often severely delayed," the GIPC report says. Amendments to the country's industrial property law which are being considered by its congress, "would introduce a fairly promising patent linkage system, including public listing of known patents relevant to new market approvals and proof in new applications that such patents are not infringed," states the report.

An overhaul to the trade mark law that would improve enforcement is also under consideration. The changes include the authorisation of licensees to file both civil and criminal actions on behalf of the licensor, an increase in fines in case of infringement, imprisonment of up to 540 days and new damages rules established in the US-Chile FTA.

In copyright, Chile ranked poorly in the GIPC Index, mostly due to its inefficient protection of online content. "For example, industry sources suggest that Internet piracy is around 90% of all music consumption," the report says, while software piracy is also high.

However, a recent case involving digital copyright infringement indicates a shift in the right direction. HBO filed a suit against the Chilean administrator of Cuevana, an Argentine site which provides online users illegal access to thousands of movies and TV shows. According to Silva & Cía, the law firm acting on behalf of HBO, it is the first case, not only in Chile but in South America, where a digital copyright case involving illegal streaming of protected content resulted in a favourable outcome for the IP owner.