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Over half of UK companies have no system in place to protect intellectual property, according to a survey conducted by UK firm Marks & Clerk. The survey canvassed 203 companies in four sectors ? pharmaceutical, technology, engineering and financial. The survey revealed that 77% of companies believe they should protect their IP, but only 49% have a system in place to identify when they need to seek patent protection, and only 30% carry out regular IP audits.

Hong Kong's high profile anti-piracy legislation is to be partly suspended less than a month after it came into effect. The Hong Kong administration is to enact the Copyright (Suspension of Amendments) Ordinance, which will put parts of its anti-piracy legislation on hold after protests from the public and industry. The administration's much-lauded Intellectual Property (Miscellaneous Amendments) Ordinance to combat copyright infringement came into effect on April 1. The highly-publicized legislation aimed to make criminally liable anyone who possessed pirated copies of copyrighted works in the course of, or in connection with, any trade or business.

Monster.com, Unilever and Lucent have all recently suffered from the alleged theft of trade secrets. With more online companies and a greater dependence on electronic methods of storage and transfer of information, corporate espionage is set to become a major threat, reports Tabitha Parker

After much debate and a long gestation period, the EU Council of Ministers finally adopted on April 9 the Directive on the harmonisation of certain aspects of copyright and related rights in the information society. At the time of writing, the Directive had not been published in the Official Journal, but this is likely to take place within a few weeks of April 9. Following publication, member states must implement the Directive in national law within 18 months. The intention was that the Copyright Directive should be implemented within a timescale similar to that for the implementation of the E-Commerce Directive, which must be implemented by member states by no later than January 17 2002. The Copyright Directive will have to be implemented by member states by about a year later than that. The Copyright Directive seeks to achieve a number of objectives. These include a degree of harmonization of copyright and related rights laws throughout the Community. The Directive also seeks to introduce protections for technical measures and rights-management information.

The biotech industry is growing rapidly but facing many new challenges, from revised PTO guidelines to the possibilities of licensing and patent pooling. Tabitha Parker asks senior in-house counsel how they are coping with change

The Ukraine's reputation as the world's most persistent IP violator was confirmed in this year's US Trade Representative Special 301 Report. The Ukraine, identified as a Priority Foreign Country on March 12, almost certainly faces trade sanctions at the end of June unless it takes radical moves to address its severe IP problems.

The Baby-dry case is the first appeal to be heard by the Court of Justice in Luxembourg in proceedings concerning a Community Trade Mark. The Court of First Instance had decided not to register the term Baby-dry, used for babies nappies (or diapers). The court believed that the term is ineligible for registration as a Community Trade Mark. The examiner considered that the trade mark was descriptive of the goods for which registration was sought. She was of the opinion that Baby-dry was composed only of a simple combination of the non-distinctive words baby and dry. The mark therefore consisted exclusively of an indication which may serve in trade to designate the intended purpose of goods (Article 7 (1)(c) of the Trade Mark Regulation) such as those for which registration is sought, ie keeping a baby dry.

Hiroshi Sheraton, McDermott, Will & Emery, London

In the spotlight: Woody Ritchey, Chief Executive Officer, Delphion

Franchisors who try to stop franchisees from selling outside their allocated territories in the EU may fall foul of competition legislation. Mark Abell analyzes how EU law is developing to cope with the internet